Finally, mobile home park residents get protections

HB 557, effective April 1, works towards leveling playing field with other renters in Texas

AUSTIN, TX -- Beginning Monday (April 1), owners of manufactured homes who live in rental communities will reap the benefits of a 2001 law that provides key tenant protections granted to other renters in Texas.

Rising complaints about unfair rules and poor park maintenance across the state prompted the passage last year of HB 557, by Rep. Dawnna Dukes of Austin and Sen. Eddie Lucio of Brownsville. Up to now, owners of manufactured homes have had little recourse if a park owner wishes to evict them, close the park, or simply raise their rent unexpectedly and often.

Effective on Monday, the law:

· guarantees lot-renters be offered a minimum initial lease term of six months
· requires landlords to notify tenants at least 60 days before the lease's expiration date if the landlord chooses not to renew the lease
· requires landlords to give tenants at least 90 days to comply with amendments -- necessitating expenditures of over $25 -- not declared in the lease
· requires proprietors to give a 120-day-notice if they choose to close the park.
· requires landlords to maintain a healthy, safe and functional community, and to make a diligent effort to remedy existing conditions materially affecting the health or safety of renters.

"This law is about providing much needed stability to rental communities," said Kevin Jewell, policy associate for Consumers Union's manufactured home project in Texas. "It is especially important because it protects lot renters, many of whom are low-income families or retirees, from unfair community rules and evictions. For the first time, the relationship between property owners and tenants will be clearly defined."

Home to over 1,300 manufactured housing communities, Texas has not previously provided tenants of mobile home parks the same rights enjoyed by apartment dwellers and other renters. "Basically, they have lived all this time at the whim of park owners and operators," said Jewell. "A manufactured home is very expensive to move. Most residents cannot afford to find a new housing park if the landlord unfairly or rapidly increases the rent, or does not maintain the park or utilities."

The new legislation also requires that community rules not be "arbitrary" or "capricious." "Unclear stipulations in community rules often force tenants to abruptly move," Jewell said. "Indeed, with the cost of moving a mobile home easily running from $1,500 to $3,000, it's important that community rules be logical and impartial. It can be very difficult to find a suitable lot in a short amount of time with the current shortage of spaces for used homes."

"This bill is an important first step, but with many manufactured homes purchased on a 30-year loan, a six month minimum lease offer is hardly adequate. Likewise, we'd like to see park residents have the right to match an offer if the owner chooses to sell the park. Such a "right of first refusal" can reduce the large scale evictions that can occur if a park closes."

The Austin Tenants Council has prepared a brochure of the rights of Texas manufactured home park Community tenants under the new law. The brochure is being made available at their website at www.housing-rights.org. Additional information on mobile home park residents can be found in Consumers Union's February 2001 report "Manufactured Homeowners Who Rent Lots Lack Security of Basic Tenants Rights," available online at www.consumersunion.org/other/mh/owners.

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Consumers Union, publisher of Consumer Reports, is an independent, nonprofit testing and information organization serving only the consumer. We are a comprehensive source of unbiased advice about products and services, personal finance, health nutrition, and other consumer concerns. Since 1936, our mission has been to test products, inform the public, and protect consumers.

View Files Sorted By Office: Consumers Union OPI, New York - Washington DC Office
West Coast Regional Office - Southwest Regional Office - Consumer Policy Institute

  
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