Comparing Double Wides To Single Wides For FHA Appraisal

[Mr Rex]

new construction must meet foundation requirements, not existing

This is not correct. I have confirmed with the Atlanta HOC within the past 12 months. All manufactured homes are subject to a engineers certification of the foundation system.

 

[J Grant]

new construction must meet foundation requirements, not existing

This was not new construction, it was an older mobile home ( not manufactured looked more like a mobile home from the MLS photos aluminum not wood construction), anyway it is an existing older subdivision and one of the things that made me turn down the assignment is when I researched the subdivision, none of the transactions were financed, they all sold for cash which led me to believe something about the homes either construction or something does not qualify for financing....anyone who does more of these ever come across that? Since I do not do MH on a regular basis I did not feel qualified to deal with a situation where it might be poor construction or some other factor that is not qualifying these for financing.

 

[CANative]

new construction must meet foundation requirements, not existing

This is incorrect. The foundation system must meet the requirements found in FHA Handbook PFGMH (Permanent Foundation Guide for Manufactured Homes.) New or old. Existing, new or proposed.

Only a registered engineer can certify.

 

[CANative]

Aluminum siding and other visual clues have nothing to do with the building code used to construct the house in the factory. The only way to know is to know what code was used. The data labels and data plate will tell you.

A while back a forumite tried to tell us if the meter was on a pole it was a mobile home.

 

[CANative]

As to MH's in fee parks, you might find sales in MLS but often there is no record in data sources like NDC, CoreLogic, FNC, etc because they don't sell as fee properties.

 

[Mr Rex]

There are few mortgage lenders loaning on singlewides these days. Vanderbilt Mortgage, a Berkshire Hathaway entity owned by Warren Buffet does alot of them as a land mortgage and a personal loan on the house. Most are for new homes produced by Clayton Homes, another Berkshire Hathaway owned company. They often fish first for a mortgage appraisal for the package and come back later and get a land appraisal when the package doesn't make the numbers work.

 

[J Grant]

As to MH's in fee parks, you might find sales in MLS but often there is no record in data sources like NDC, CoreLogic, FNC, etc because they don't sell as fee properties.

All the more reason for me to decline the assignment ..they are sold with the lot from the records online ) There were 28 sales in past year listed on MLS they each sold cash - perhaps there are sales in other sources but if they are not selling as fee properties I don't want to appraise that...maybe another appraiser could take it on, I was not the right person for this assignment. I gave the client the truth, I was declining if for lack of competence. I am ok with plain vanilla manufactured but this was a red flag hot mess ( at least for me ) - to top if of subject had highest SC price and a flip sale 2 years post remodel...

thanks Mr Rex and others for advice...I found an online course on MH/Mobile will sign up for it. Don't get many assignments for them, hardly any but they come up once in awhile and if I ever move to another county with more of them a good thing to learn.

 

[CANative]

Look, I think you're mixing things a bit. Mobile (before '76) and MH (after '76) sell in parks and on fee land, with and without locally sanctioned permanent foundations. It doesn't really matter because the foundation itself is not the only metric that establishes "personal" vs. "real" and how the market buys and sells this property type. You also have to consider connection to utilities, the intent of buyers and sellers as to whether or not the dwelling is to remain or be located elsewhere etc., etc. In CA, you can get a cert recorded for $25 that states the foundation meets the requirements and the dwelling is now considered real property. What that does is prevent someone from LEGALLY removing the dwelling without notification to lien holders.

Then there is the issue of MH's and mobiles in fee or rental parks. Typically, a unit will sell for a lot more or many times more than depreciated RCN or even the RCN. That's due to location. You don't own the land, you own the leasehold. And that leasehold has a "value" based on the location and the parks amenities or lack of amenities. It has a value like fee land because it is generally understood that the dwelling is going to stay. Indeed, most (all) parks are required by statute to not evict a unit owner as long as the terms are met (rent paid, rules complied with.) You can dial in a credible opinion of value by comparing sales in x park to similar units in y park and in the cost approach by the difference between hard cost and sale price.

 

[J Grant]

Watergate, FL Real Estate & Homes for Sale - Estately

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Was curious so looked up some listings...this is not the subject but it is in same community ( no HOA fee and buyer owns the land) I got the above off the internet so not a confidential listing- it says in comments HUD Uninsurable - ...( with a comment about may be insurable depending on appraisal?) I saw not insurable comment in another listing as well.

.I already turned the assignment down but interesting,,,,,my suspicions why all the sales were all cash with none financed turning out correct if they are not HUD insurable.. (wonder what the reason is) .it was ordered as an FHA appraisal, guess the listing RE agent has no clue?

 

[CANative]

It says HUD has it as uninsured. Doesn't that just mean there is no FHA mortgage on it currently? It didn't say it was uninsurable.

Lot's a reasons HUD won't insure... having been moved from a different site is one.

HUD won't do a Title II on a MH in a rental park. But they might do a Title I on a MH in a rental park. Has to meet the requirements for a HUD home. And the loan only goes so high.