If you are the proud owner of a manufactured house and you are now in a situation wherein you are planning to sell the house rather than move its location (considering all the painstaking factors that moving a mobile home entails), then you are now probably wondering, what is the current market value of your mobile house, and how can you increase that value before selling the property.
Financing can be daunting to any property buyer, and as such, many potential buyers look for value for money and cannot easily accept a mobile home with a steep price. If you would like to sell your manufactured house and make a profit, but at the same time entice potential buyers who would go to great lengths to finance the purchase- there are key considerations and some tips that could help you achieve that goal.
There are some risks and factors that you should consider if you have the idea of selling your manufactured house: the season, time, region on which you are targeting to sell, the conditions of the house. These are the main points having a great affection on the value.
So what to do?
Know the value of your home
First and foremost, for you to properly ascertain the value of your house, you need to have solid knowledge of its current value.
A little detail to take note first: while many use the terms “mobile homes” and “manufactured homes” interchangeably, there’s quite a big difference: if your home was factory-built before 1976, then it’s technically considered a “mobile home.” If the house was factory-built after 1976, and thus is covered by the safety standards set by the U.S. Department of Housing and Urban Development (HUD) under the National Manufactured Housing Construction and Safety Standards Act, then it’s called a “manufactured home.” Why is it important to know the difference? Lenders and financial institutions are less keen on approving home loans for mobile homes, as these were built in an era that precedes the HUD’s implementation of stricter safety standards.
There are other factors to consider in estimating manufactured home prices, including the condition of the property, the community where it is located, the size, materials used for the building, and if you are considering selling even the furniture with it. To lessen the hassle of computing for the current value of your property, there are certain services offered that can surely – and speedily – appraise the value of your property.
Offer to sell at the right time
In the current situation, when there is an ongoing housing crisis in the country, with one in three Americans not able to afford to buy – even renting – houses, offering to sell your manufactured house needs to be perfectly timed.
Not many people know that there is a “peak season” and an “off-season” in buying and selling the property. Usually, during summer and spring – peaking in the months of June and July – many buyers are actively seeking properties to buy, as these seasons practically make it more convenient for people to roam around in search for the perfect house. This period also enables parents to shop for properties with their kids who are mostly on vacation at this time. The net effect of having more buyers in the field at this time is that you can offer to sell at higher rates. Using the elementary law of supply and demand, the higher demand during this peak season also heightens the price of the limited supplies of properties.
On the other hand, try to avoid selling your manufactured home during late fall to winter, as the number of buyers drops significantly during this period. Why? For one, the weather does not make it convenient to shop for properties. Second, wise buyers will ensure that they already have a roof over their heads way before the snow and the temperature fall. Selling around this period will force you to offer your property at the barest minimum.
Location is key
The best thing about owning a manufactured home is that you can freely move the property to a new location. And if you are planning on selling that mobile home, then you better find the perfect spot before offering it in the market.
If your house is still in a mobile home park, chances are – you will not only find it difficult to sell the property for a profit, you definitely won’t even be able to sell! Though moving the house can be a strenuous and expensive process (costing a minimum of $1,000 and north of $10,000 if you are moving across states), such move will drastically increase the value of your mobile home. A leased lot in a prime community is a good upgrade, but if you can, why not move the house to private land? Such a house-and-lot combo offer will enable your buyers to quickly clinch home loans to finance the purchase.
Do necessary fixes and upgrades
Not all tips on increasing property values involve following certain tips extrinsic to the property itself. To fully to hike the value of your manufactured home, you can consider personal loans online for home repair and you know that this would be an investment with a good return. you need to take essential steps that involve physically upgrading the property for yours.
Such fixes range from ensuring that there are no leaks and all needed repairs to the house were completed, avoid having house remodeling mistakes. Be ready to make repainting, putting new amenities in the property, upgrading the house into a smart home, landscaping the lot where the mobile home is located, and a lot of other upgrades.
You can market your property using these improvements and make buyers come and outbid each other to purchase your offering. A word of caution though: do not overdo upgrades. Make every penny count – literally. The cost of fixes and upgrades should all be included in the price you are offering to sell. Otherwise, the cost of the upgrades may defeat your purpose of hiking your property’s value.
Follow these easy steps before selling that much-loved manufactured house and you will surely earn a handsome profit for all your efforts.