Additional Costs to Consider When Buying a Michigan Manufactured Home
Buying a Michigan manufactured home can save you a lot of money, particularly when you compare it to a site-built home. But there are some additional costs of buying a home above and beyond the purchase price to be aware of. Several additional items may or may not need to factor into your budget.
Delivery, Installation, and Set-up Charges
Whether buying a new mobile home or a resale, there may be delivery and set-up charges to consider. This should be clearly defined in your purchase agreement, whether buying a brand-new mobile home or purchasing a resale manufactured home.
Delivery could also include anchoring and leveling charges as well as setting up all utilities (water, sewage, electricity, heating, etc.). Be sure you have a clear idea of what is and is not included with a quote for any associated charges to avoid unpleasant surprises.
Tip: Find out if skirting is included in the set-up fees or if the buyer has to purchase mobile home skirting separately. Some Michigan manufactured home communities require skirting as part of their rules and regulations where others make this optional.
Where will you put your manufactured home? Costs will depend on what type of mobile home community you choose to live in. There will be lot or pad fees for leased land and these may or may not include the cost of putting down a concrete pad and/or hooking up utilities.
If you are moving into a mobile home community, there may be other associated costs, such as providing a credit report as part of your application process. You may also be responsible for additional pad fees, so be sure you have a complete understanding of all costs.
Utilities and Water/Sewage
Costs vary for utility hook-up depending on many factors, including your mobile home’s location. In addition to electricity and natural gas (or an alternate heating fuel, depending on where you live), you’ll also want to consider water and sewage. Will you need help with the plumbing, such as having a septic tank drilled and installed, for example? Will you have access to city water or will you need a well and water purification system?
In some cases, all of these things are included in the purchase price. In other situations, there are delivery and set-up charges that include hook-up of utilities. And in some circumstances the buyer needs to arrange for all of this on their own.
Note: Beyond basic utilities, there may also be installation fees for internet and / or cable to take into consideration.
Sales tax, property taxes, and other fees need to be taken into consideration. Some taxes are required at the time of purchase where others (like property taxes) are ongoing. Some helpful information is available – FAQs about Michigan Manufactured Housing includes information about manufactured home sales tax in the state of Michigan as well as “use” taxes.
Research All Costs Associated with Buying a Manufactured Home
The additional costs of buying a home, regardless of the size or style of home, is something to be prepared for with a bit of research and due diligence.
While there are fees above and beyond the price of buying a home, the cost of a mobile home continues to be a lot less than a typical resale or new site-built home. And once those initial costs are taken care of, most Michigan residents agree that the ongoing costs of living in a mobile home are far less, making this an affordable lifestyle more attainable, particularly for those either starting out or downsizing and on a fixed income.