Manufactured Housing : Consumer Tips

A manufactured home is a major purchase, and as a consumer, you should take the time to educate yourself about every aspect of the deal.  Our research indicates consumers are confronted with difficult choices when shopping for a mobile home, but you can avoid potential pitfalls and complete a successful purchase.  

• Be sure to evaluate all of the costs of homeownership, including land rental (or purchase), financing charges, insurance, taxes, maintenance and more.  Avoid wrapping costs unnecessarily into your home purchase loan.  Interest rates on manufactured home loans that are not tied to land are typically several percentage points higher than typical mortgage loans.
• Make sure you compare what lies "behind the walls" in the manufactured homes you consider, not just visual appeal and floor plans.  Choosing a durable home on a solid foundation will allow you to enjoy your home long after you finish paying for it.
  
• Think carefully about where you place your home.  Placing your home in a rental community reduces the chances you will gain equity from your purchase.  Even the best rental communities are subject to  ownership changes and rent increases, which can add unexpected costs to your monthly budget.  If you own the land, you can reduce your financing costs as well as increase the stability of your tenure.
  

The resources we have gathered below will help you negotiate the manufactured home purchase maze.  We examined in detail the experiences of consumers who bought manufactured homes, allowing us to make recommendations to help you get the best deal possible.

           Buying Guides and Tips

• NEW! Buying a Manufactured Home, a 30-minute consumer education video.
• Consumers Union’s Tips on Mobile Homes (buying guide)
• Consumers Union Dealing with Dealers and Financiers: A Manufactured Home Buyers Guide (tips) (HTML)  (PDF)
  
• Consumers Union's Manufactured Home Warranty Tips (tips)

           Articles and Reports

• In Over Our Heads:Predatory Lending and Fraud in Manufactured Housing (report)
• Paper Tiger Missing Dragon: Poor Service and Worse Enforcement Leave Manufactured Homeowners in the Lurch (report)
• Dream home. . . or nightmare? Manufactured Housing Has Come A Long Way. But It's Still 'Buyer Beware' In The Market For Mobile Homes (Consumer Reports Article)
• Manufactured Homeowners Who Rent Lots Lack Security of Basic Tenants Rights (report)
• "The Aribitration Trap": How Consumers Pay For 'Low Cost Justice' (Consumer Reports Article)
• "Give up your right to sue?" (Consumer Reports Article) 

          Links to Other Resources

• Buying Tips
• Complaint Information
• Home Quality and Safety Concerns
• Discussion Groups
• Homeowner Organizations
• Community Conversion
• Landlord Tenant Law

updated 4/21/03