They can also involve more paperwork than a typical house sale. Most of it is straightforward once you know what to look for, but missing a step can delay a sale. Here's what buyers and sellers should know.
1. The Manufactured Home Registry
In BC, manufactured homes must be registered with the Manufactured Home Registry before they can be sold. The registration identifies the home and records its ownership and location. Some homes on private property that are permanently attached to the land can be granted a residential exemption from the registry. The owner applies for it, and there are conditions. If you're not sure whether your home is registered, or it's an older home and you can't find its number, start there before you list.
2. The electrical approval label
This step is easy to miss. BCFSA notes that a manufactured home in BC can't be sold or advertised for sale without the electrical inspection sticker. Technical Safety BC explains that a used home can be offered for sale if it has an acceptable certification mark or label from an accredited agency, or a Technical Safety BC Silver Label.
If the home has neither, a licensed electrical contractor needs to inspect it, and a Technical Safety BC safety officer then assesses it before a Silver Label is applied. If electrical work was done without permits, a new inspection is needed before the home can be listed.
Sellers: think about any electrical work done over the years without a permit. Technical Safety BC certifies the home itself, not additions or outbuildings, so buyers should check permits for any additions with the municipality. It's much easier to deal with this before your home is on the market than after you've accepted an offer.
3. Homes in a park: the pad tenancy
If the home is staying in a park, the buyer will need to take over the pad. Usually the seller assigns the tenancy agreement to the buyer with the landlord's written consent. If there's no assignment, the buyer signs a new agreement with the landlord, who can then set a new pad rent. The seller first gives the buyer copies of the park rules and the relevant parts of the tenancy agreement, then asks the landlord using the Residential Tenancy Branch's form. The landlord has 10 days to respond in writing, or consent is deemed given, and can refuse only on the grounds the regulation allows. On an assignment, the pad rent stays the same (see the FAQ on pad tenancy).
Buyers: read the park rules carefully. Age restrictions, pet rules and rules about additions or sheds can all affect whether a home fits your plans.
4. Financing and insurance
Buyers should talk to a lender and an insurer early about the specific home, especially if it's older or has had additions.
Pros and cons of buying a manufactured home
Pros
- Can be a more affordable way into homeownership, depending on the home and location.
- Single-level living suits many downsizers.
- Many North Okanagan communities have parks and rural lots to choose from.
Cons
- In a park, you pay pad rent and follow park rules.
- Additions and outbuildings aren't covered by the home's electrical label, so they need their own permits checked.
- Missing paperwork can delay or derail a purchase.
A checklist before you list or make an offer
- Confirm the home is registered with the Manufactured Home Registry, or exempt.
- Find the electrical approval label (factory certification mark or Silver Label).
- List any electrical changes made over the years and whether permits were pulled.
- For park homes, get the current tenancy agreement and park rules.
- Talk to a lender and an insurer early.
The bottom line
Manufactured homes can be a great fit for many buyers, but the sale depends on paperwork that has to be in order. Sellers who check the registry, the electrical label and the park documents before listing avoid most of the surprises.
Buying or selling a manufactured home in Vernon or the North Okanagan? Call or text Sean Phillips, REALTOR® with Coldwell Banker Executives Realty, at 236-599-5898. If you're downsizing, the downsizing guide may help too.
This article is general information, not legal advice.