It is time to sell your mobile home in the greater Sarasota Florida area.
While this may be met with some sadness it can also be met with some excitement for the next chapter of your life and where it will bring you!
Before putting a price tag on your mobile home or, better yet, working with a licensed mobile home broker such as The Mobile Home Dealer for guidance in pricing your home, one needs to understand the pros and cons of the price you put on your mobile home.
How are there pros and cons of pricing a mobile home, isn’t the higher the price the better?
While this may be true in some instances we here at The Mobile Home Dealer are continuing to see that this thought can backfire quite a bit to the Seller.
Let us explain.
Mobile homes that are located on leased land in the state of Florida are viewed as and taxed as personal property, not real property.
What this means is that a mobile home that is located within a land leased mobile home park is sold the exact same way a vehicle is in the state of Florida.
While there are some lending agencies that will lend on these types of homes, most traditional lending agencies will not and, as such, there are only a few options for the Buyers to seek financing should the need to do so.
With the higher and higher prices of single family real estate and the continued low interest rates offered for traditional mortgages the need for affordable housing is at an all time high throughout the Sarasota Florida area.
Single family homes, also more commonly known as real estate, have the ability to have any traditional lending agency provide financing should it need to be used to fund a propety.
Since there are more lending options with less cash required on traditional homes comparing financing between the two is hardly a fair comparison.
Most mobile homes on leased land are purchased with cash, not financing.
With the rise in mobile home prices one needs to ask, if the Seller is looking to increase the price of their mobile home exponentially further pushing out the availability of cash Buyers while at the same time financing is limited, is this really a good idea?
Here is an example:
Buyer has $40,000 to buyer their new mobile home in Sarasota Florida.
Mobile home is worth $40,000 but Seller is caught up in real estate craze and charges $80,000 for their mobile home.
Buyer can’t obtain financing because the home is too old for lender requirements and doesn’t have an additional $40,000 in cash to purchase home.
Buyer purchases inflated priced single family home, uses $40,000 as down payment for home, gets traditional financing at record low interest rates and their entire mortgage is less than the lot rent of the mobile home park.
Seller is stuck paying lot rent with a home that may not be able to financed.
Although this may sound like a far fetched idea, we here at The Mobile Home Dealer have seen this happen time and time again throughout the first quarter of the year and don’t see it changing anytime soon.
When looking to sell your Sarasota Florida mobile home we always suggest pricing your home aggressively in order to bring the best cash offers to you in as quickly as a time frame as possible. Getting caught up in the inflated pricing of a mobile home could lead to the Seller holding on to the home for several months with the added stress of continuing to pay for a mobile home they do not want.
This is Mark Kaiser with The Mobile Home Dealer and we help mobile home Buyers and Sellers get to a better place in life.