MOBILE HOME RELOCATION
Got Wheels?
Presented by:
Darr yl Root, J.D., MBA , R/W -RAC
David Harrah, Texas DOT
Karen D’Angelo, Half f Associates
Mobile Home Relocation Planning
For Federally Funded Projects
2
Planning
What does the Uniform Relocation
Assistance and Real Property Acquisition
Policies Act of 1970, and as amended
(Uniform Act) say about planning?
A. 42 USC Chapter 61
1. Start at an early stage—Project
Development Team Meetings During Design
if possible
2. Minimize hardships----How do we help?
3
Do other laws apply?
A. Increasing state regulation of mobile home park
closure
1. California
a. County
b. City
c. Rent control
2. Oregon
3. Vermont
4
Different mobile home scenarios
make planning difficult
A. Inside and outside mobile home parks
1. Own Dwelling/Rent Site
2. Own Dwelling/Own Site
3. Rent Dwelling/Own Site
4. Rent Dwelling/Rent Site
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Is your schedule realistic?
A. Allow enough time for displacees to vacate
1. 90 days for URA
2. Up to a year under some state laws
a. California
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Is your schedule realistic?
B. Allow enough time to find comparables
1. Mobile Home parks
2. Lots for rent
3. Conventional Housing
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Is your schedule realistic?
C. Allow enough time for advisory services
1. Displacees may have credit issues
2. Low incomes
3. Social programs may have waiting lists
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Have you involved all stakeholders
in the planning process?
A. Engineers
1. What is the construction
schedule?
B. Appraisers
1. Are the dwellings
considered real or
personal property?
C. Negotiators
1. If the units are personal
property, do the owners
have clear title?
2. Must have clear title to
units for demolition to
take place.
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Have you involved all stakeholders
in the planning process?
D. Utilities
1. Will utility relocations affect
electricity, etc. to the mobile
home, esp. in parks?
a. If so, will temporary
relocations be necessary?
2. What condition are the
utilities in currently?
a. Are the units decent safe
and sanitary now?
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Have you involved all stakeholders
in the planning process?
E. Property Management
1. Are you prepared for property
management of mobile units, esp. a
mobile home park?
2. Need to address security
deposits and rents at closing
3. If the displacee rents the space
for his unit, did the landlord keep
accurate records of rents paid?
F. Mobile Home Rights Groups
1. May be the best source of info
about park tenants
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Have you involved all stakeholders
in the planning process?
G. Relocation Agent
1. Are your agents prepared to spend extra time
with interviews?
2. Begin research into social programs that may be
needed.
a. Is there a waiting list?
b. What special needs are there?
c. Take any necessary security measures needed
when conducting interviews.
d. Plan your advisory assistance program carefully
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Have you involved all stakeholders
in the planning process?
H. Finance ---- Plan a realistic budget !
1. Benefits defined in 49 CFR Subpart F Sections
24.501 to 24.503
2. Some owner occupants who rent the site will get a
replacement housing payment plus a rental subsidy
3. Many occupants may be very low income.
4. Be ready to offer financial advisory assistance or
refer displacees
5. Some displacees may not have a credit history or a
bank account
 Some displacees may take a long time to get a loan
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Advisory Services to
Mobile Home Displacees
The Uniform Act’s take on
Advisory Services
 24.205 (c) (2) (ii) - Determine, for residential
displacements, the relocation needs and preferences of
each person to be displaced and explain the relocation
payments and other assistance for which the person
may be eligible , the related eligibility requirements, and
the procedures for obtaining such assistance. This shall
include a personal interview with each residential
displaced person.
 24.205 (c) (2) (ii) (A) - Provide current and continuing
information on the availability, purchase prices and
rental costs of comparable replacement dwellings, and
explain that the person cannot be required to move
unless at least one comparable replacement dwelling is
made available as set forth in 24.204 (a).
So what makes Mobile Home
Relocations so challenging?
Locating comparables
Personalty/Realty
determinations
Explaining it all to the
displacee
Mobile Home Owner/Tenant
Categories Refresher
1) Owns the Dwelling and the Site
2) Owns the Dwelling - Rents the
Site
3) Rents the Dwelling - Owns the
Site
4) Rents the Dwelling and the Site
Uniform Act Moving Expenses for
Mobile Home Displacees
 Ordinary moving expenses described in section 24.301 g. (1 7)
 Cost to relocate/reinstall a personal property mobile home
or attached appurtenances (i.e. porches, decks, skirting and
awnings) which wasn’t acquired 24.301 – g. (8)
 Repairs and modifications to meet DS&S standards 24.301 –
g. (9)
 Nonrefundable mobile home park entrance fees 24.301 – g.
(10)
ADVISORY SERVICES BEGINS WITH
“RESEARCH”
Applicable rules and regulations in the
project area
Agency policies and appraisal information
Mobile home park
entry requirements
Displacee interviews
The search for comparables
1) Owner/Owner category
 Single supplement calculation for MH available for sale on land.
 If none available on the market preferred option is generally to
upgrade search parameters to a SFR.
 Why not assemble a supplement amount by finding vacant land
and a MH from a dealer?
 Can be difficult to identify land eligible for development with a
MH, much less 3 sites.
 Hidden cost of site development can create stress for
displacee and administrative issues for the agency.
 If one component of the manufactured comparable sells may
have to start the process over again.
 If local market is short of comps this could an option but not
generally regarded as the first best option available.
The search for comparables
2) Own/Rent category
 How many supplements to be calculated?
 If MH is moveable and not restricted by age or build only
a site supplement is required.
 If the age or build of the MH
restricts available sites it
could be necessary to
acquire the dwelling
meaning 2 supplements.
 Get a value for the MH and
develop supplement as if
it where a housing
supplement, build
separate supplement for
the lot.
The search for comparables
3) Rent/Rent category
 Single supplement calculation for MH available
for rent on MH site.
 If no single supplement can be created why not
assemble a supplement amount by finding a
vacant MH site and a MH for rent from a
dealer?
 This could be cost effective but a bit more work
than upgrading to a SFR so individual analysis
and agency input may be required.
 Consideration to the size of the rented site needs
to be given, is it typical in size for a rented
dwelling in the area? Upgrading to a SFR rental
may be appropriate based on the displacees
living situation.
 Remember that if one component of the
assembled comparable supplement sells the
process may have to be started over again.
The search for comparables
4) Rent/Own category
 Perhaps the least commonly
encountered scenario.
 MH for rent generally not too
hard to locate.
 Supplement for a site will
typically be vacant land cost
combined with multiple
contractor bids for site
development DS&S required
utilities (i.e. septic or sewer,
water/electrical hookups, and
pad if present at the site being
acquired).
Explaining Eligibilities
and Requirements
 Realty and Personalty
determinations
 How the supplement was
figured
 The displacement scenario
and how it factors into the
calculations
 What listings were utilized
as comparables
 Any replacement site cost
figured into the supplement
that may be reimbursable
and those that are not
 DS&S Requirements
 Moving Expenses
Key Take Away’s
Allocate sufficient time
to work with displacee
Work closely with agency
to explore options
Encourage displacee
coordinates actions with
relocation staff before
taking actions
Mobile Home Supplements
Most Common Categories
 Displacee
 Displacee
 Displacee
 Displacee
OWNS the mobile home and the site
OWNS the mobile home and RENTS the site
RENTS the mobile home and RENTS the site
RENTS the mobile and OWNS the site
OWN/OWN
For the purpose of the following calculations, the mobile home is
appraised as REAL PROPERT Y
SUBJECT: The parcel (mobile home and land) appraised for $65,000 as
follows:
$40,000 Appraised site value
$25,000 Appraised mobile home value
$65,000 Total appraised value
COMPARABLE: The primar y comparable is a mobile home on a similar site
listed for $80,000. Since the mobile home was appraised as real
proper ty, the supplement would be calculated the same as a single family
dwelling
$80,000 Primar y comparable (mobile home and site or single
family dwelling)
$65,000 Appraised value of subject
$15,000 Supplement
OWN/RENT
SUBJECT: The parcel (mobile home and land) appraised for
$65,000 as follows:
$40,000 Appraised site value
$25,000 Appraised mobile home value
$65,000 Total appraised value
COMPARABLE: The primary comparable is a new mobile home
listed for $40,000.
$40,000 Primar y comparable
$25,000 Appraised value of subject
$15,000 Supplement
OWN/RENT
-PLUS$400 rent per month for a comparable site including utilities
-300 per month rent for subject site including utilities
$100.00 differential
X 42 months
$4,200 site supplement which can be used as a rental
supplement for a site or down payment on a replacement
site.
$19,200 the combined supplements can be used as a down
payment for a DSS replacement home/property.
RENT/RENT
Subject: In this scenario, the displacee rents the mobile
home and the site for $700 a month.
$900
-700
$200
X 42
rent per mo. for a comparable mobile home and site
per month rent for subject mobile home and site
dif ferential
months
$8,400 supplement which can be used as a rental
supplement or down-payment on a replacement home/site
or other qualifying DSS dwelling
RENT/OWN
Subject: In this scenario, the displacee rents the mobile home
for $400 per month and owns the site.
$600
-400
$200
X 42
rent per month for a comparable mobile home
per month rent for subject mobile home
differential
months
$8,400 rent supplement for mobile home which can be
used as a rental supplement or down payment on a DSS
replacement mobile home.
RENT/OWN
-PLUS$35,000 Primary comparable site
-25,000 Appraised value of subject site
$10,000 supplement which can be used as a down
payment on a replacement mobile home site.
$18,400 the combined supplements can be used as
a down payment for a DSS replacement home and
site/property
When the Mobile Home is
considered Personal Property
If the mobile home is determined to be per sonal proper ty and CAN BE
MOVED, the cost of moving and reconnecting the mobile home is
eligible and there will be no supplement for the mobile home. There are
situations which could make the displacee eligible for a supplement
when the mobile home is determined to be per sonal proper ty
 Mobile home is non DSS and cannot be made DSS
 Mobile home cannot be relocated without substantial damage or
unreasonable costs
 Mobile home cannot be relocated because there is no comparable
replacement site
 Mobile home cannot be relocated because it does not meet mobile
home park entrance requirements
When it Cannot be Moved…
The eligible
supplement will be
based on the list
price of the
comparable minus
the Agency’s
estimate of the
salvage or trade-in
value for the
mobile home from
which the person
is displaced
What About???
-Study and Ask Questions 49CFR Part 24 Uniform
Relocation Assistance and Real
Property Acquisition for Federal
and Federally-Assisted Programs,
Subpart F–Mobile Homes
CLAIMS FOR RELOCATION PAYMENTS-DOCUMENTATION
 Documentation as may be reasonably required to
support expenses incurred…
 Bills
 Certified prices
 Appraisals
 Other evidence
49 CFR 24.207(a)
90-DAY OCCUPANT REPLACEMENT HOUSING
PAYMENT COMPONENTS
1. Length of occupancy
2. Household income
3. Household composition
4. Current monthly rent
5. Estimated average utilities
6. Low income criteria
7. Welfare assistance payments
8. Base monthly rental determination
9. Monthly rent of selected comparable
10. New estimated utilities
11. Actual replacement property
(49 CFR 24.402)
ELIGIBLE INCIDENTAL EXPENSES
1.
2.
3.
4.
5.
6.
7.
8.
9.
Legal closing and related costs
Loan application fees
Loan origination (not prepaid interest)
Professional home inspections
Credit Report
Title Insurance (not to exceed comparable)
Escrow agent’s fee
Doc stamps
Other incidental costs as determined by the
Agency
49 CFR 24.401(e)
QUESTIONS AND ANSWERS