Factors to Consider When Buying a Mobile Home in North Carolina
The Federal Trade Commission has recommended that lenders disclose more information about the costs and risks of mobile homes. The rule was designed to protect the consumer and the lender. But the industry objected to the requirement, and regulators eventually conceded that there was no need to require appraisals for new manufactured homes. Regardless, consumers need to be aware of all the risks involved. Below is a list of factors to consider when deciding whether or not to take out a loan on a mobile home.
While North Carolina is home to a diverse range of climates, mobile homes play an important role as affordable housing stock. Their vulnerability to damage is often highlighted during extreme weather. These homes are particularly common among poor, elderly, and disabled people. However, in the right place, mobile homes are an important source of affordable housing for low-income North Carolinians. Listed below are some tips to keep in mind when determining whether to purchase a mobile home.
Before we buy mobile homes, you must ensure that it is legally affixed to the land. To deed the land to the county, you must also pay property taxes on the land. Even new mobile homes can have problems, but most come with a one-year manufacturer’s warranty. Some manufactured home builders offer warranties of up to seven years. Dealers usually take care of any issues that arise from the factory. But, if the problem does occur after that, you’ll have to pay for repairs or replace parts or the whole mobile home.
In addition, mobile homes must meet certain minimum size requirements. For example, a 14-foot-wide unit cannot exceed 12 inches of overhang. If the mobile home is over 14 feet, a permit is required to install an anchor system to support the entire structure. If the mobile home is larger than that, it may require a route survey. This rule is in place for the safety of the residents. If the owner wants to put a mobile home in a mobile home park, they must meet all of the regulations.
Before securing a loan on a mobile home, you should consider the type of loan you’re applying for. There are many different types of loans that you can take out on a mobile home. For example, a conventional mortgage may require the buyer to pay off the mortgage in five years, whereas a mobile home loan can be for as long as 30 years. A mobile home may have a low-interest rate, but it’s likely to depreciate over time.
Mobile homes are built in a factory and transported to the installation site in one or two sections. If they’re on a permanent foundation, you can obtain mortgage financing. However, if they’re not, manufactured homes are considered personal property and therefore harder to finance. Moreover, they are subject to depreciation, which makes them less desirable. So, if you’re thinking about purchasing a mobile home, read this article first.