FHA SF purchase with Mobile home on site

[Zoe]

There are tons of manufactured homes considered real property in TN. Many are primary residences. Many are on rivers or lakes or resort areas. Need to be familiar with local code (if any) and go forward. Remember I was born hillbilly in TN on TN river. Manufactured homes considered real property are common as both primary residences and second homes along TN River. Same way on MS river in west TN. Just not in Shelby county TN, which is Memphis area.

There is some irony there considering Memphis and Shelby county has high poverty rate in some areas.. However, and none the less, you need to know your market where the subject is located.

Many people have one on a lake or river or other type resort area in some jurisdictions and rent them out for visitors who like to fish or hunt or whatever in the area or just a second home get away. You need to know the market on a MV appraisal.

 

[timd354]

perhaps it’s called something else, but you can’t get a mortgage on personal property. You can get a loan, but it’s a chattel or personal property loan.The loan terms are not real great.

You simply do not understand the property laws of other states. There are numerous states where it is possible to affix a manufactured home to the real estate and convert it into real property without surrendering the title. In fact, in some states (i.e., New York) it is not legally possible to surrender the title as there is no legal mechanism to do so.

 

[Zoe]

You simply do not understand the property laws of other states. There are numerous states where it is possible to affix a manufactured home to the real estate and convert it into real property without surrendering the title. In fact, in some states (i.e., New York) it is not legally possible to surrender the title as there is no legal mechanism to do so.

Yeah. That rhymes with why FHA has certain rules on it being classified as real property instead of personal property like a car. By the same token the title lawyer and title insurance company with bank would know if it was titled or not and get bank to put a lien everyway they could to secure their lien. The bank could file like UCC-1 and mortgage in title records and place a lien on title if it had one.

 

[Zoe]

I am telling you in TN and Arkansas in many places they rent them out on like weekends or whatever like a timeshare. Require a deposit and you can go and hike, fish, hunt or whatever. You can get guided tours if you want. Similar to how you rent a motel or hotel. You can hire a fisherman to take you out on their boat and help you catch fish. You can go hiking if that is your thing. There are many manufactured homes in Arkansas and Tennessee that are on permanent foundation and considered real property by FHA standards or any standards. Just not many in Shelby County TN. Shelby County used to have a few manufactured home dealers when I was young. They sold big RVs and manufactured homes. I don't know of any manufactured home dealer in Shelby County TN now because the County won't issue a new building permit for a manufactured home.

You have to know the jurisdiction you are working in is my main point. Take a manufactured home out on 4 acres in shelby county and it is destroyed. I would have to ask the County if they could replace it with a new manufactured home or would they have to go back stick built or something else? Idk. My client would need to know.

It rhymes with MV definition and H&B use. Legally permissible.

Many subdivisions won't allow a manufactured home in their subdivisions. I am preaching to the choir but you know what I mean on MV and H&B use.

 

[Zoe]

I am not sure State of TN would even have a title on a manufactured home if it had been converted to real property. I am not sure how the State would handle it or the title insurance company for the property.

I don't get paid to secure the lien on the real property.

 

[Sadie]

You simply do not understand the property laws of other states. There are numerous states where it is possible to affix a manufactured home to the real estate and convert it into real property without surrendering the title. In fact, in some states (i.e., New York) it is not legally possible to surrender the title as there is no legal mechanism to do so.

Reread my post. I stated I didn’t know how it was was done in other states, but it still needed to be converted to real property. Don’t be so hasty to find fault in others that you overlook something that doesn’t fit your narrative.

 

[sputnam]

perhaps it’s called something else, but you can’t get a mortgage on personal property. You can get a loan, but it’s a chattel or personal property loan.The loan terms are not real great.

100% correct. A mortgage is the legal instrument that allows the lender to take possession of the real property that is collateral for a loan if you don't pay up. You don't have a mortgage when you finance a car.

 

[Sadie]

100% correct. A mortgage is the legal instrument that allows the lender to take possession of the real property that is collateral for a loan if you don't pay up. You don't have a mortgage when you finance a car.

No but the lender holds the title until its paid off.

 

[sputnam]

No but the lender holds the title until its paid off.

They might.. but it's a not a mortgage... which was the question.