Resident-Owned Parks

Can residents buy their rental Park and convert it to resident ownership?

There are an estimated one hundred and fifty resident-owned mobilehome parks (rops) in California, the majority of which have been purchased by the residents and converted to some form of resident ownership. In a rop, residents have a voice in setting park policies and controlling park rents. Since residents own their spaces or shares in the park property, they have an incentive to maintain the park in good condition. Resident owners also gain equity on their interest in the park, which they can cash in on when they sell. But the conversion process can be complicated, as park owners are often reluctant to sell to residents, residents may not be able to agree to purchase the park, and initial costs of purchasing may be challenging. The state and some local governments may be able to provide some loans or other limited financial assistance. More information can be found in the booklet A Guide to Mobilehome Park Purchases by Residents, found at www.dre.ca.gov.

Resource: What Every Mobile Home Owner Should Know, published by the Senate Select Committee on Manufactured Home Communities.

How is my mobilehome taxed?

Mobilehomes manufactured and sold new prior to July 1, 1980 are usually subject to an annual state vehicle license fee (VLF). Mobilehomes manufactured on or after that date and those permanently fixed to the land are subject to local property taxation. The sale of new mobilehomes and the resale of used mobilehomes subject to the VLF are also subject to a sales tax. Homeowners may have to pay property taxes on their mobilehome accessories (carports, cabanas, etc.), depending on the value of the accessories. In newly developed parks or spaces, new buyers may also have to pay a school impact fee. Mobilehome owners in parks may also be subject to a rent ‘pass through’ of certain government fees, such as rent control space fees or park inspection fees.

Resource: What Every Mobile Home Owner Should Know, published by the Senate Select Committee on Manufactured Home Communities. 

Mobilehome vs. Manufactured Home

Are you aware of the difference between a mobile home and a manufactured home? They sound interchangeable but they actually have two different definitions, according to the California Health and Safety Code. Read the two definitions below and see if you had the correct knowledge of the two:

HSC 18007: “Manufactured Home”

Means a structure, that was constructed on or after June 15, 1976, is transportable in one or more sections, is eight body feet or more in width, or 40 body feet or more in length in the traveling mode, or when erected on site, is 320 or more square feet, is built on a permanent chassis and designed to be used as a single-family dwelling with or without a foundation when connected to the required utilities, and includes the plumbing, heating, air conditioning , and electrical systems contained therein. Manufactured home includes any structure that meets all the requirements of this paragraph and with the National Manufactured Housing Construction and Safety Standards Act of 1974.

HSC 18008: “Mobilehome”

Means a structure, that was constructed prior to June 15, 1976, is transportable in one or more sections, is eight body feet or more in width, or 40 body feet or more in length in the traveling mode, or when erected on site, is 320 or more square feet, is built on a permanent chassis and designed to be used as a single-family dwelling with or without a foundation system when connected to the required utilities, and includes the plumbing, heating, air conditioning, and electrical systems contained therein. Mobilehome includes any structure that meets all the requirements of this paragraph and complies with the state standard s for mobilehomes in effect at the time of construction.

Now that you are aware of the difference between the two terms, will you be able to identify the home you or your neighbors live in?

Resource: California Department of Housing and Community Development, and California Legislative Information

http://leginfo.legislature.ca.gov/faces/codes_displayText.xhtml?lawCode=HSC&division=13.&title=&part=2.&chapter=1.&article=