Resident Purchase of Spaces

Park residents may voluntarily decide to purchase their spaces. The Mobilehome Parks Act addresses such conversions. Manufactured homes on leased lots generally are classified as personal property. When residents purchase their space, the manufactured homes become fixtures on the underlying real estate lot.

Home owners should establish an organization to act in their behalf. The residents’ organization hires an escrow agent. In behalf of each home owner, the escrow agent:

• Collects owner’s application forms provided by HCD;
• Gathers certificates of title and registration for each manufactured home;
• Obtains written consent to the conversion from lienholders;
• Holds application fees of $22 per home section; and
• Works with home owners to prepare escrow instructions.

Escrow officers follow through on the individual transactions. They make sure taxes and insurance premiums have been paid and deeds are recorded.

Mobilehome Parks Act. Section 18555.

Copyright - Carl Eric Leivo, Ph.D.

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