Will a new mobile home installed on my street decrease my home value?
December 6th, 2010 | by admin |A neighbor recently sold part of his land and now someone has bought it for there new mobile home which was delivered today. I am worried that this will decrease the property value. There is one other mobile home on the street and the zoning in the area is mixed. All other property has houses averaging $175000 to $200,000.
You already have one manufactured home on the street so it would seem this is permitted under the covenants, conditions and restrictions of your development if any exist. Apparently you live in the "country" or at least in an area with larger lots as you mentioned that your neighbor subdivided his lot and sold part of it off so obviously the lots are large enough to accomplish this. And in those areas it is typical not to have restrictive covenants on the land that prohibit manufactured housing. And even where these types of covenants exist, they generally restrict home sizes to above a certain minimum as opposed to excluding any specific type of construction. If you were concerned with this possibility, you should have purchased a home in a community that had restrictive covenants.
However, in an unregulated environment manufactured homes are not uncommon and it is quite likely that the values in your area already reflect both the existing manufactured home on the street and the potential for others to exist. So, no, this would not necessarily lower your values.
And if this home is finished nicely and well landscaped, it might even be worth more than some older stick-built homes. There are some areas in the northeast (parts of upstate New York and Connecticut, for example) where manufactured homes are a very common product for new housing and they sell for upwards of $400,000. And in some rural areas I have seen manufactured homes that are worth over $1,000,000.
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6 Responses to “Will a new mobile home installed on my street decrease my home value?”
By Jellybean on Dec 6, 2010 | Reply
There goes the neighbourhood. Be watchful for trailer park boys moving in.
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By notblue on Dec 6, 2010 | Reply
It most likely will it all depends who will move in it could be a nice retired couple or the hells angels
Good luck
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By Sue on Dec 6, 2010 | Reply
I have seen mobile homes that are kept better than stick built homes. So, no, a mobile home on your street doesn’t automatically spell disaster.
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By saaanen on Dec 6, 2010 | Reply
Don’t worry about the neighbors. Their home has the approximate value yours has, or it wouldn’t be allowed! Worry about your own place.
Your home value is probably already 1/2 of what it was 3 years ago, just like everybody else’s on the street. If anything, a NEW home would raise it.
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By Karen L on Dec 6, 2010 | Reply
Maybe, maybe not. But if it’s legal for someone to put a mobile in that location, there’s not a thing you can do about it so what’s the point of even thinking about it?
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By Daniel R. on Dec 6, 2010 | Reply
You already have one manufactured home on the street so it would seem this is permitted under the covenants, conditions and restrictions of your development if any exist. Apparently you live in the "country" or at least in an area with larger lots as you mentioned that your neighbor subdivided his lot and sold part of it off so obviously the lots are large enough to accomplish this. And in those areas it is typical not to have restrictive covenants on the land that prohibit manufactured housing. And even where these types of covenants exist, they generally restrict home sizes to above a certain minimum as opposed to excluding any specific type of construction. If you were concerned with this possibility, you should have purchased a home in a community that had restrictive covenants.
However, in an unregulated environment manufactured homes are not uncommon and it is quite likely that the values in your area already reflect both the existing manufactured home on the street and the potential for others to exist. So, no, this would not necessarily lower your values.
And if this home is finished nicely and well landscaped, it might even be worth more than some older stick-built homes. There are some areas in the northeast (parts of upstate New York and Connecticut, for example) where manufactured homes are a very common product for new housing and they sell for upwards of $400,000. And in some rural areas I have seen manufactured homes that are worth over $1,000,000.
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