Buzz
An efficient way to determine the resale value of a mobile home is by referencing its book value. Yet, if you plan to sell your mobile home with the land it occupies, it's essential to factor in the land’s valuation. Conduct thorough research by comparing your home to recently sold mobile homes in your vicinity. Alternatively, you can opt to hire an appraiser for a precise valuation.
Procedures
Identifying the Book Value
Find the appropriate blue book. In the US, the NADA Manufactured Housing Appraisal Guide serves as the standard “blue book” for assessing the value of mobile homes. Check your local library for its availability.
- Search the guide for your specific type of manufactured home and then use the provided step-by-step instructions to calculate the retail book value. The valuation will be influenced by the condition of the mobile home.
Access the NADA website. Alternatively, you can request a value report online through the NADA website. A fee is required to obtain the report.
- The Basic Used Home Value Report is priced at $35 and can be used when there are no distinctive features in your mobile home.
- The Professional Used Home Value Report is available for $55, offering a detailed analysis and a precise estimate of the home’s worth.
- A New Home Price Report is priced at $45.
Provide the necessary details. The NADA guide determines your home's value considering the following aspects:
- Year of manufacture
- Brand of manufacturer
- Dimensions of the home (width and length)
- Your geographical location (state and region)
- The condition of the home
- Additional features like granite countertops, hardwood floors, or a garage.
Access your valuation report. Upon submitting your online request, your report will be immediately available. Simply click on the “View Your Report” button on the payment confirmation page.
- You have the option to print or save your report.
Recognize the limitations of the book value. The book value often excludes the land's value, which can be more significant than the mobile home itself. Therefore, additional research is recommended if your mobile home is attached to a piece of land.
Conducting Your Own Assessment
Investigate comparable sales in your area. Each local real estate market varies, and the book value doesn't consider the current market conditions. Examine the selling prices of similar mobile homes in your vicinity. This information can be found at your county recorder’s office or on platforms like Zillow.
- Ensure the mobile homes are similar in size, age, overall condition, and land size.
- An exact match isn't necessary. Look for mobile homes of similar age and size.
- Prioritize recent sales. The market differs significantly from four years ago.
- If you reside in the city, comparison properties should be within half a mile; in suburban areas, within a mile; and in rural areas, within 5 miles.
Evaluate the home's interior condition. The mobile home's overall state affects its value. Inspect the interior and note any required repairs as they can decrease the home's worth. Focus on the following:
- Roof: Look for interior signs of leaks, particularly water stains on ceilings or walls.
- Walls: Examine wall stability and check for mold.
- Flooring: Check for holes, soft spots, and unevenness.
- Plumbing: Investigate potential water leaks and water pressure.
- Electricity: Test outlets and light switches for functionality.
Assess the home's exterior. Exterior repairs are often necessary for mobile homes. Walk around and evaluate the following:
- Roof: Inspect the exterior for soft spots, holes, or missing shingles by walking on it.
- Siding: Check for damage, rot, dents, and overall appearance. Poor siding can reduce the home's value.
- Underside: Examine for stability, remove some skirting pieces if needed, and check for insulation, debris, or animal presence.
- Ensure the home is anchored to the ground, as this is essential for property financing.
Highlight value-adding features. Certain features can enhance your mobile home's value. Recognize any appealing attributes, including:
- Neighborhood quality: Being in a well-maintained, uncrowded area can increase your home's value.
- Proximity to amenities: Homes near hospitals, schools, or transportation hubs often have higher values.
- Upgrades like granite countertops or new appliances can attract buyers willing to pay more.
Consult a real estate agent for a market analysis. Some real estate agents may offer a complimentary comparative market analysis (CMA). Locate agents in your directory or seek recommendations from acquaintances.
Examine your property tax statement. Property taxes are determined by your home's value. Check your tax statement to see the appraised value of the mobile home.
- These records are public, allowing you to compare with other homes in your area. Visit the tax assessor's office for this information.
- Note that homes often sell for more than the assessed value on tax forms.
Selecting an Appraiser
Choose a certified appraiser. Opt for someone with proper certification or state licensing, indicating adequate training and expertise. Locate an appraiser through:
- A state appraisal board referral. Search “your state” and “appraisal board” online to find a directory.
- Accreditation society directories, like the American Society of Appraisers.
- Consult a real estate agent for a trusted recommendation.
Inquire about the appraiser’s mobile home expertise. Appraising mobile homes can be challenging without the right experience. Ask potential appraisers about their certification or training in mobile home appraisals.
- Continue your search until you find an appraiser with adequate mobile home knowledge.
Arrange a meeting with the appraiser. Schedule a meeting at the mobile home. Be prepared to answer questions about the property and the surrounding area.
- Allow the appraiser space to conduct the appraisal without interference.
- An appraisal typically takes a few hours and costs around $500.
- Expect a brief 10-minute on-site meeting. The appraiser will measure the home, take photos inside and out, check systems, and suggest any necessary repairs.
Review the appraisal report in detail. Upon receiving the report, scrutinize it carefully to ensure the appraiser used suitable comparables for valuation.
- Verify the appraiser has accurately assessed value-adding features like proximity to public transit or a desirable school district.
- If you have disagreements with the appraisal, address them directly with the appraiser by drafting a letter outlining any overlooked aspects.
