You’ve decided it’s time to move on and sell your manufactured home (also known as a mobile home). After weighing your options, you decided to tackle the FSBO arena and sell it yourself in order to avoid the commissions and fees. Good for you! Now, let’s take a look at the first stumbling block you face — just what is your manufactured home with land worth?
Comparative market analysis
If you were to work with a real estate agent, one of their first actions would be to obtain a CMA or comparative market analysis. They’d look for recently sold and currently listed properties in your area that are similar to yours in size, features, and neighborhood. This would lead them to an estimated value as well as a basic knowledge of the competition you face. And here’s where you’ll most likely encounter your first obstacle.
Sure, there are several homes up for sale in your area — even a few manufactured homes. But, no matter how long or where you search, it’s evident that there is no manufactured home with land up for sale or recently sold. Oh, wait, there is one! But the manufactured home was built in 1970, is on its last leg, and it’s evident that the price tag is based solely on the value of the land. Awesome!
So what do you do if you have a unique scenario such as this with no comparisons found in Zillow, Trulia, or MH Village? As Joe Girard so wisely noted: “The elevator to success is out of order. You’ll have to use the stairs…one step at a time.”
So, let’s take this dilemma one step at a time and get you headed in the right direction. The first step? Determine the value of your manufactured home and take your land out of the picture…for now.
Your manufactured home value
Here are the most important considerations when determining the value of your home:
● Condition. Is it move-in ready or will the new owner need to plunk down a chunk of change to make it relatively and comfortably habitable?
● Size. Consider the number of bedrooms, bathrooms and overall square footage.
● Location. This aspect, surprisingly, is one of the more important considerations. Why surprisingly? Most people consider manufactured homes “mobile”. Therefore, if you don’t like where it is, you can always move it — right? As you probably know from your years as a manufactured home owner, moving your home comes at a great expense. According to Moving.com, you can expect to pay anywhere from $5,000 for a single wide to $13,000 for a double wide. At that price, you may just be spending more on the move than what the actual home is worth!
● Book Value. Similar to the Kelley Blue Book for a car, the book value of your manufactured home is determined by the make, model, age, size, and upgrades. You can find this through the NADA Manufactured Home Value Estimate for a cost of anywhere from $26 to $50.
The value of your land
You’ll often find that your land is more valuable than your home. Land, after all, cannot be made. I believe it was Mark Twain who said, “Buy land, they’re not making it anymore.” While your manufactured home may depreciate over time due to needed repairs and updates, the land almost always appreciates.
More than ever, people are looking to live close to towns that provide all the amenities–good schools, quality entertainment venues, and potential job opportunities. They also don’t mind living just out of reach of suburbia. If your land happens to be on a few acres near a nice town with low crime rates and a good school, you may be pleasantly surprised when it comes to the valuation.
If you’re in good standing with your neighbor who happens to collect what he considers antiques and others consider rusted automobiles, you may want to suggest a weekend barbeque that incorporates a little sprucing up. After all, “You never get a second chance to make a good first impression.” — Will Rogers.
Now you know what standards are used for valuation, let’s take a look at where you can find the numbers. One good place to start is your property tax statement to see what the tax appraiser valued your land at. Another is to look for land that has recently sold or is on the market in your area. Make sure to take into account size, zoning, and topography. Now add the estimated value of your land with the value of your home and you will have a figure to start with. The bottom line is, of course, your property is really only worth what someone will pay for it.
If you’re feeling a headache coming on, don’t hesitate to reach out for help. We, at Land Home Buyer, have been in the business of selling and buying manufactured homes for years. In fact, we may just be the buyer you’re looking for. So, set aside cleaning up your neighbor’s yard for a day and give us a call at 1-866-652-5263. We purchase manufactured homes in as-is condition and you don’t have to pay any commissions or fees.