Mobile Homes (Manufactured Housing): Putting the Pieces Together
Whether you’ve inherited a mobile home, or are trying to round out your real estate knowledge, there’s a lot to learn about manufactured housing. Our Tennessee title attorneys can help you better understand buying, selling, and titles for these unique properties.
Don’t let the jargon confuse you.There’s no legal distinction between a mobile home and a manufactured housing unit. If it’s manufactured off-site and brought to the property on wheels, it’s considered a manufactured or mobile home.
What’s Considered a Mobile Home?
In Tennessee, a “Manufactured Home" is any structure, transportable in one (1) or more sections, which, in the traveling mode, is eight (8) or more body-feet in width or forty (40) or more body-feet in length, or when erected on site, is three hundred twenty (320) or more square feet, and which is built on a permanent chassis and designed to be used as a dwelling with or without a permanent foundation when connected to the required utilities, and includes the plumbing, heating, air-conditioning and electrical systems contained therein.
“Manufactured Housing Units” (aka “Mobile Homes”) are always capable of being transported to the site on their own wheels, and transported on a steel chassis that is never removed. Each unit is assigned a Vehicle Identification Number (VIN) and are considered vehicles.
What Type of Property is a Mobile Home?
Depending on the circumstances, a mobile home can be considered real property (fixed, i.e. land and buildings), or personal property (any movable property someone owns).
A mobile home is typically considered real property when it’s affixed to the land on a foundation, underpinned, or connected to utilities. There also needs to be an Affidavit of Affixation recorded and the title surrendered to the State. In these cases, the land and mobile home are assessed as a single unit.
A mobile home is typically considered personal property when they’re still on wheels/not connected to utilities and are not affixed to the land.
This classification is important when determining ownership and tax responsibilities, among other considerations.
How Do I De-Title a Mobile Home in TN?
The steps to surrender a mobile home title in TN vary based on whether you’re refinancing/purchasing an existing manufactured home or purchasing a new one.
More Tips for Successful Mobile Home Transactions
Asking the right questions on the front end will make things less challenging. If you have the VIN, call the State Department of Revenue to ask if they have a record of ownership. If they say yes, and the owner name you have matches their owner of record, you’re on the right track. If the VIN is off by one digit, but you had the correct owner’s name, it is possible they could still find the record.
Doing the initial legwork pays off. Determine up front who has the title. If the lender has it, ask for a copy of the certificate of title along with the payoff statement.
After closing, you need to secure a release of any mortgages and recover the title (if it is being held by the lender).
Always ask for the title to be returned to you. Many times it is automatically sent to the seller, in which case you’ll have to track it down and recover it.
If you’re working with manufactured homes on behalf of real estate clients, make sure your fees reflect such labor-intensive projects.
Still Puzzled? We Can Help
Our experienced Tennessee title attorneys are ready to help you decipher and demystify the ins and outs of mobile home ownership and real estate transactions. Whether you’re trying to understand what to do with an inherited mobile home, or trying to advise real estate clients, we can guide you through it. Book a consultation today to get your questions answered.
