Uncovering Your Mobile Home Resale Value

The amount of money you can resell your mobile home for should be a constant motivator to do everything possible to improve your home. Because you made a sizable investment when you purchased it, you'll want to help it retain its worth. That way, you can take advantage of higher offers when you decide to sell it. But, it's important to understand what your mobile home resale value implies and how it differs from the industry-standard "book value."

Is Book Value The Same Thing As Resale Value?

Your home's book value is different than its resale value. When you receive an estimate of your modular home's market value, a formula is used to calculate the figure based upon its size, age, manufacturer and model type. The formula also considers various features of your home such as the type of siding used, whether your house is a single-wide or double-wide, etc. This formula uses what is referred to as a "depreciated replacement cost" to evaluate how much it would cost to replace a depreciated item.

By contrast, your mobile home's resale value can be affected by a variety of other elements including the landscaping and upgrades to the interior. The resale value is also impacted by the state of the real estate market at any given time (which can include the inventory of listed houses, number of days those homes are listed and more).

How To Add Resale Value To Your Mobile Home

Often, standard manufactured housing depreciates over time. If nothing is done to upgrade the home, the price at which it ultimately sells may be lower than the price you paid for it. That said, if you gradually keep your house upgraded during the time you live there, you can add a lot of resale value. For example, you should repair your roof if it develops leaks. The leaks could lead to water damage that severely impacts the worth of your home. Also, upgrade your bathroom. Remove the plastic tub and install fiberglass. Replace the stock bathroom fixtures with nicer alternatives. Keep the landscaping outside your factory-built home well-manicured. Neglecting these things could dramatically diminish the resale value of your mobile home.

Getting An Estimate

When you're ready to sell your home, get a free estimate of its book value. You can usually apply for an estimate online, supplying information that will help the software determine the worth of your home. Keep in mind, however, that you'll probably need a professional home appraisal done before a bank will offer a home loan to a potential buyer. Until then, take advantage of the free book valuation services online. And remember, by planning ahead and applying a bit of effort, you can do a lot to add to the resale value of your mobile home.