Option To Purchasing New Homes

The cost for me in Northern NM to install a 2B/1B home (Tru Home or similar) with transportation, set-up, tax, skirting, etc is approx. $70,000. In the past I would buy 10 at a time for a discount but that was when the same home cost $24,000 (2018). I’ve been looking at converting 14x40 storage sheds from companies like Graceland that are delivered with windows/doors installed, siding, roofing, front porches, and open 2x4 framing on the interior. Essentially new construction that is ready for my carpenters, electricians, plumbers, and the like to complete and make rent ready. They are built on skids that can be set on concrete block and skirted to look and function as a park model. Only beefier construction and higher quality than a mobile home. I’m pretty sure I can be all in at $50K.

Have any of you tried this and if so, have you run into any issues with complying with the existing mobile home zoning in your parks? I would complete the conversion off-site and then have a flatbed deliver to my parks. So essentially it is a mobile home even though not on wheels.

In theory, this will work, but there are some things you need to pay attention to.
14 x 40 is definitely a Mobile home. An RV can only be 400 sqft or less. Park Models vary between 350 and 399 sqft.

Either a State Agency or HUD will need to inspect the home.
In CA, HUD has let the State do the inspections, etc.
Here a Manufactured Housing Manufacturer must be licensed by the State and EACH unit is inspected by a State inspector.

The last thing you want to do is spend $50K for a pile of toothpicks. Do your research for your state to ensure you are able to sell/install the unit.

If you keep the unit to 400 sqft or less then you can have it inspected by an RVIA inspector.
Locate - NRVIA
It’s a bit easier to build a Park Model, but once again do your homework to be sure you will pass inspection.

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