Buying or Selling a Mobile, Manufactured, or Modular Home: What You Need to Know

Buying or selling a mobile home in Kansas City isn't as simple as a traditional real estate transaction. These homes are classified differently depending on their construction date, foundation type, and state regulations. Understanding how these factors impact titles, financing, and resale value can help you avoid costly mistakes and delays.

Understanding the Different Home Types

Many people confuse mobile, manufactured, and modular homes, but their differences significantly affect ownership and sale processes.

Mobile homes, built before June 15, 1976, do not meet modern HUD Code standards. Because of this, they are typically classified as personal property unless permanently affixed to land. Financing them can be difficult since they lack modern construction standards.

Manufactured homes, built after June 15, 1976, follow HUD Code requirements. These homes offer better materials, durability, and safety features. Depending on whether they are permanently attached to land, they can be considered personal property or real estate and titled accordingly.

Modular homes are factory-built in sections and assembled on-site on a permanent foundation. Unlike manufactured homes, they must comply with local and state building codes rather than HUD Code. Because of this, modular homes are always considered real estate, making financing and resale more like traditional site-built homes.

How Titles Work and Why They Matter

A title is the legal document proving ownership of a mobile or manufactured home. Understanding how it works is critical when buying or selling a mobile home in Kansas City.

State agencies like the Department of Motor Vehicles (DMV) or Housing Authority typically manage mobile and manufactured home titles. Modular homes, on the other hand, are classified as real property and are recorded through a traditional deed process.

If a manufactured home is on leased land, such as a mobile home park, it remains personal property with a title, much like a vehicle. However, if it is permanently attached to owned land, some states allow the title to be retired and converted into real estate. This process, called an Affidavit of Affixation, enables the home to be financed like a traditional house.

Before purchasing a home, buyers should always check its title status. If the home still has a personal property title, but the buyer intends to place it permanently on land, a title conversion may be required. Sellers must ensure the title is clear and lien-free before listing the home to prevent complications during the sale.

Buying a Mobile, Manufactured, or Modular Home

For buyers, the key to a smooth purchase lies in verifying title status, financing options, and legal classification.

Financing depends on the home’s classification. Pre-1976 mobile homes generally do not qualify for traditional mortgages, requiring buyers to pay in cash or secure personal loans. Post-1976 manufactured homes can qualify for FHA, VA, USDA, or conventional loans if they meet foundation and land ownership requirements. Modular homes, which meet local building codes, qualify for traditional mortgages just like a site-built home.

Property taxes also vary. If a mobile or manufactured home is still classified as personal property, the owner may pay annual registration fees rather than property taxes. If the home has been converted to real estate, standard property taxes will apply.

Another major factor is whether the home includes land. Homes in mobile home parks require approval from the park owner and a land lease agreement. If the home is sold with land, buyers should verify local zoning laws and deed restrictions.

Selling a Mobile, Manufactured, or Modular Home

Sellers need to be prepared with the proper paperwork, title, and financing knowledge to attract the right buyers and close the sale efficiently.

The most critical document is the title or deed. If the home is still classified as personal property, the sale will go through the DMV or housing authority. If it has been converted to real estate, the sale requires a deed transfer through the county recorder’s office.

Before listing the home, sellers should check for liens or unpaid loans. Any outstanding debts, back taxes, or unpaid lot rent must be cleared before transferring ownership. Failing to do so can cause delays or even cancel the sale.

Pricing depends on classification. A manufactured home on leased land may sell for less than one permanently affixed to land. Older mobile homes (pre-1976) often have lower resale value because they don’t qualify for traditional financing. Modular homes, however, tend to appreciate similarly to traditional homes and typically command higher prices.

State-Specific Rules and Regulations

Each state has different processes for title transfers, taxation, and legal classification. Some states require an Affidavit of Affixation to convert a home to real estate, while others have strict zoning laws about where manufactured homes can be placed.

Buyers and sellers should check with their state’s housing authority, DMV, or real estate professionals to ensure they comply with local laws. Mistakes in title transfers, tax obligations, or financing approvals can cause unnecessary costs and delays.

Final Thoughts: A Smooth Sale Starts Here

Understanding how mobile, manufactured, and modular homes are classified can prevent roadblocks when buying or selling. Buyers should verify the title, financing eligibility, and property status before making a purchase. Sellers must ensure all documents, taxes, and liens are cleared to allow for a smooth transaction.

If you need to sell your mobile home quickly, we can help! At Mastiff Home Buyers, we specialize in buying mobile homes, whether they’re in a park, on private land, or need title work. We make selling easy and hassle-free. Contact us today to get a fair offer and sell your home with ease!