Should you consider investing in Mobile Homes at tax sale auctions? There are certainly risks that must be considered. In this video we discuss the two biggest risks.
Transcript:
Hey, everybody! It’s Casey Denman here with The Tax Sale Academy. And today, we’re talking about mobile homes. Mobile homes will appear quite frequently at tax sale auctions. So, what’s the deal with them? Should you invest in them? Should you steer clear of them? Why or why not?
Well, in my opinion, you can make money in just about every aspect of real estate, including mobile homes, if you know what you’re doing. When it comes to mobile homes, there’s two main issues that you need to be made aware of and that you need to pay special attention to.
The first one might seem quite obvious to some people. Does it look like it can be towed away any time soon? Are the axels still attached? Does it have wheels and tires on it? Or is it set in a permanent fixed position? You need to be able to know whether or not somebody can back a semi-truck up to it and haul off that mobile home the day before the auction. Believe it or not, this does happen. I know it sounds kind of silly, but it happens every single year. I’ve actually heard different stories throughout the years of the mobile home being hauled off the day of the auction. Somebody goes to the auction. They buy what they think is a mobile home. They get out there and realize it’s been towed.
So that’s your first issue. Your second issue, you need to know if it’s considered real property or personal property. Real property is real estate and anything permanently attached to it. Personal property is just that. It’s personal property. It can be a watch, it can be a purse, it could be a mobile home.
Now, you think to yourself, a mobile home? Well, that should be a real property. Not necessarily. If it was permanently attached to the land and if they file the appropriate paperwork with the county, then it would be considered real property. But there are certain steps that you have to take in order to do this. Sometimes, those steps aren’t taken. If the mobile home was just simply placed on the property and they never permanently attached it or they didn’t file the proper paperwork with the county, guess what? It’s still personal property and the way you can identify the owner of that personal property is the person holding the title to that mobile home.
So you might have a beautiful double-wide or triple-wide that you think is worth a lot of money. But if it has not been considered real property because it has not gone through the appropriate steps with the county, it has not been permanently attached to the land, then it is just personal property. You don’t own the mobile home. You might buy this beautiful piece of property with this mobile home attached to it and you don’t own that mobile home. The owner can come and get it any time he wants to because it is his personal property now sitting on your real estate.
That’s all I got for you today, folks! For more information about the very lucrative tax sale business, check out my website at TaxSaleAcademy.com. And while you’re there, get your copy of the free e-book, The Tax Sale Blueprint. Have a wonderful day!