Wall Street vs Main Street
The American Dream of Home Ownership is disappearing thanks to Wall Street
Rental rates and evictions are rapidly increasing due to Wall Street's aggressive strategy of buying single family homes throughout the USA as an investment vehicle for REIT's and hedge funds.
Since 2008, large corporations saw a huge opportunity for housing acquisition. With super-powered AI based analysis, hedge funds increased their buying strategies during COVID and continue to push Americans into rentals vs home ownership.
If you feel priced out of the housing market - you're not alone! Check out the video below for insights into today's market dynamics killing the American dream of home ownership.
Manufactured Homes as Affordable Housing Solution
Land lease communitiies, also known as Manufactured Home Communities, Mobile Home Parks or historically called Trailer Parks, offer opportunities for affordable home ownership. You own your home, but lease the lot its placed on. Usually on a month-to-month lease.
The term "trailer park" comes from when mobile homes were designed almost as an enhanced camper. Similar to an RV park, the lots were smaller and homes were considered a depreciating asset, like cars.
"Mobile Home" is also becoming an out of date term. Ironically, the very homes from "trailer park" days are not mobile. Permits for moving a mobile home are not allowed in most townships for older manufactured homes.
Even with a mortgage and lot rent your housing costs are dramatically lower then rentals, and you benefit from home ownership. As an owner, you have an opportunity for equity gain in today's market.
Manufactured homes have increased 60% in value in the past 5 years. Based on supply and deman challenges driven by the affordable housing crisis, it appears that equity growth will continue.
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Financing for Manufactured Homes
Manufactured homes, both new and used, do qualify for financing, but its a unique type of loan called a chattel loan. Since your home is a titled asset, not deeded real estate, your local bank, credit union or traditional lender will not work for financing.
Good news! Manufactured home loans only require 10% down. And you closing costs will be lower since you don't have to pay transfer taxes, which in some areas of PA can be as much as 2-4% of the home's value.
ABC Home Realty offers new construction manufactured homes which you can reserve with a small down payment while you finalize your financing. We have ready to move-in new homes placed in communities in your area, or you can be your own developer by selecting your lot, choose your model and customize your home with ABC Home Realty. We will coordinate the entire process for your success.
