Are MH dealer licenses only required when buying and then selling for profit?


#1

I saw that on a John Fedro blog. If what I said is true, is there another advantage to getting a dealers license? I figure many of us aren’t really concerned with making a profit from selling homes to residents.

I’ve heard talk of getting a dealers license to buy directly from a home manufacturer. So maybe my question is different depending on if a home is bought from a private seller than a manufacturer? My guess has been that states require a licensed person to buy new homes from retailers for whatever reason–similar to how the public can’t buy a car directly from Honda. I’m still trying to understand this concept.

Dealers license are only for buying from a manufacturer?
Or are they also needed to buy used homes?
Does if the sale makes a profit matter?

Thanks!


#2

Only letting dealers buy at the wholesale price is a policy of the manufacturers, not a law. Anybody, dealer or not. can buy homes on the open market. When it comes to selling homes states have different laws regarding requiring a license. For example in Nebraska to sell a single home, a business must have a license, but in Illinois, it can sell three homes a year before needing a license.


#3

This is state-specific


#4

So if we have a dealers license, we can get dealer prices on new homes pretty much?

I saw there are different numbers for different states. Do you know if the number we can sell is contingent on if the sale makes a profit? That’s what I read.


#5

I see. I was hoping there’s an easy answer. As always, thanks!


#6

The answer may still be easy, but it depends on the state.