Manufactured homes have become an integral part of the housing market in the country with over 17 million people adopting this option for living. The policies of the home manufacturer, as well as the numerous federal and state laws, govern the pricing of most new pre manufactured homes. The process of appraisal will exclude the various standardized forms and procedures once the home has been lived in. A manufactured home can be appraised using many available methods, which are described in detail below.
Assessing the Location
The location plays an important role in determining the value of a pre manufactured home. This value can be increased if the home is situated on its own land than on a leased land. Leased land can lead to depreciation in value for not only manufactured homes but also for site built homes. The general rate at which homes located in leased land depreciates is by an amount of five percent per year.
Modular home manufacturers say that while assessing the location of the home, the area surrounding the location should also be taken into consideration. This is because manufactured houses that are located in a good community or neighborhood offers much higher value than other site ready homes in any other location.
Evaluating the Home Condition
The general condition and status of the home is another major factor that affects the value of a manufactured home. This will vary depending upon the many aesthetic and purposeful improvements as well as the state of housing demands in the area. Manufactured homes that require many interior and exterior repairs will provide only lesser value than homes maintained in good condition. In the process of appraising, a buyer must calculate the cost of all the repairs and deduct it from the evaluated value of the home after the appraisal.
Besides, other factors like the condition of the surrounding manufactured units if the home is situated in a manufactured home community also needs proper consideration. The appraisal value of the can become much higher if the surrounding units are also well maintained.
Comparing the Home
Another effective way to calculate the value of pre manufactured homes is by comparing it with other home units with the same characteristics. This is better done by comparing the home with those in the surrounding neighborhood. The vital information concerning the homes can be accessed by utilizing many online resources. Contacting nearby home community managers and used home dealers is another option to gather this information.