Does Mobile Home Value Change Throughout The Year?
When is the right time to buy or sell a mobile home? It easy to get swamped in all the details to figure this out. And, as is often the case, people generally overlook that the value of mobiles homes can change throughout the year. But don’t worry! We’re here to help guide you through the market of manufactured houses.
Different times of the year will suit buyers or sellers better. That is why we are going to look at both sides of the coin. Here is our discussion on how mobile home value changes through the year and what this means for you.
The manufactured home market
Before we move on to exactly how mobile homes value changes, we need to cover the basics of the market.
Skeptics often underestimate the significance of the mobile home industry. But you will be glad to know that it’s a booming market.
Business analysts estimate that global mobile homes market will grow at a CAGR of 7.86% from 2017-2021. This is a positive sign. The growth is driven by high demand.
Manufacturers of mobile homes have helped to fill a significant gap in housing in the United States.
Recent economic downturns mean that prices for everything have risen. However, many people’s incomes haven’t. Because of this, there is a growing need for more affordable housing options.
Mobile homes are more popular than ever among retirees. People are retiring at record rates. And many of them have little savings and income. Therefore, on-site built homes might not be within their reach.
So as you can see manufactured houses are a fantastic alternative for people who can’t or don’t want to opt for a conventional home.
Mobile homes have become a serious competitor in the housing market. Just like with traditionally built homes, trends have become a prominent feature of the industry. The price of them often fluctuates across the entire market.
If you study this carefully, you will be able to notice some significant ups and downs.
Lucky for you, it is possible for you to take advantage of the changes and to ride the waves.
What affects mobile home value throughout the year?
Experienced realtors are well-versed in the fluctuations of the housing market. Over time they learn quite accurately to predict slumps and booms. With a little know-how, you can also start learning to use the changes instead of being frustrated by them.
Just remember that like all trends, you can’t be a hundred percent certain that it is going to pan out this way. However, it is a better bet than just going at random.
Just like so many things in life, the housing market is also seasonal. There are definite rises and falls as the seasons progress. This might not directly affect the value of a specific mobile home, but it will change what you can ask for a home. Vice versa it also affects how much you will have to pay for one.
Summer and spring
The sales of mobile homes are at their highest during the summer and spring. This is the most competitive time of the year.
One reason for this is that winters can be quite harsh in parts of the U.S. But in summer and spring the weather is much milder, and people love going out and about.
Homes are typically in a better condition this time of the year. You’ll likely find them more attractive and appealing when there are trees and some green grass around. This might make choosing a house more straightforward.
Many buyers are probably looking for a family home. That means that they might wait for the summer holidays to do their house hunting so that they can take their children along.
One result of the competition is that the value of mobile homes could rise. Which can be great for sellers but not necessarily buyers.
Fall and winter
Fall and winter are much quieter times for the market. People are often less likely to venture out of their cozy homes to go look for new property.
There are typically manufactured houses available. But because fewer people are looking it can be challenging to find a buyer. Many sellers feel forced to drop their asking price.
This might work differently in different states and areas. For example, it will have a more significant effect in Michigan where frosty winters are the norm.
A top tip for getting the most out of buying or selling a mobile home is to pay attention to your local market. Even if there are fluctuations that tend to affect value all over the U.S not all of them work this way.
Most areas will have some changes that are specific to them.
Here are some things that can affect the local market:
- Adverse climate conditions can change the value of mobile homes. If an area often experiences bad weather prices might drop long term as demand drops. Unfortunately, it can have the opposite effect if houses are damaged by environmental conditions.
- New developments in your town can also change the value of mobile homes. If a company is builds something like a mall or public transport hub the prices in that neighborhood could rise.
- Another potential factor is the balance of supply and demand in an area. If there are too many available mobile homes in a place, their value might value. On the other hand, if there are too few, it will probably rise.
Do some research on your city or town and watch the prices over several months or even a year if you can. It can really help you to talk to a realtor in your area and ask them for advice. You can also hire their services to help you look for a buyer or seller.
Affordable housing crisis
As we’ve said, there is a great need for affordable housing in the U.S.
In general, this demand means that it is a fantastic time to sell a mobile home. It is more likely that you will find a buyer more quickly.
But it is also a brilliant time to buy. There is currently a huge variety for you to choose from. Thanks to the HUD code, manufactured homes are safer and of a higher quality than in the past.
For the moment the demand isn’t going anywhere. But as the saying goes, it is good to strike while the iron is hot.
These aren’t the only things that can affect the value of mobile homes. Besides these yearly trends, there are also other factors that can increase or decrease the price of an individual house.
The following are more key features that can influence the value of a mobile home:
- Depreciation: One con of manufactured houses is that they depreciate in value. They will start to lose value as soon as they leave the factory. Therefore, the price of older homes will be much lower than for new ones. You won’t be able to ask the same amount for them. They typically depreciate at about 3% a year.
- Upkeep: You can slow down how much the worth of a house decreases with regular upkeep. Regular maintenance and repair are essential.
- The park: If the mobile home is already parked, the park can affect the worth of the house. If it doesn’t have adequate infrastructure, it can negatively impact the value. The atmosphere and visual appeal also have an impact.
- Upgrades: Another factor that can increase the value of a mobile home are additions. Examples are upgrades like porches and kitchen renovations.
- Size: The size of your house will influence how much it costs. The larger the square footage, the more expensive it will be.
- Style: Unfortunately, you probably won’t be able to ask as much for an outdated home than for a modern one. People want houses with a contemporary feel. That is why you should keep your eye on trends in home decoration.
You will notice that many of these influences are unique to manufactured houses. No matter if you are buying or selling, you should be aware of these factors.
When is the best time to buy a mobile home?
There are no guarantees. But overall one of the best times to buy a mobile home is during winter or fall.
The prices will usually be at their lowest in these months. Some sellers could be in a hurry to sell and be more willing to negotiate the price. Manufacturers of mobile homes can even have some specials.
Another benefit of buying a mobile home in the winter is that you will get a better idea of how suitable it is for the cold. You can check whether it is adequately insulated. Do its pipes freeze? How much sunlight comes in? You can also check whether features like a furnace are up to the task.
The downside of buying in winter is that most sellers will want to exploit the summertime rush. They might hold off putting houses on the market until then. So there might be fewer options for you to choose from. You could have to settle for what is available.
But if you start early, you can widen your search and see more houses.
If you are looking for something specific, it could be better to wait for spring when there are more options on the market.
In the end, if you need financing the ideal time would be whenever you can afford it.
When is the best time to sell a mobile home?
On the other hand, the ideal time to sell a manufactured house is in the summer and spring. As we have covered, this is the time that most people will be looking are planning to buy a home.
The competition is excellent for asking prices. You can probably ask more from the start. On top of this, buyers could be more willing to negotiate. If your home has unique features, you can exploit his even more.
Depending on your home and area, you could receive several offers. This way you get the opportunity to go with the best choice.
One disadvantage of this period is that you can struggle to get buyers to commit to the sale. They might try to keep their options open.
But your chances of making a sale will still be higher.
Bonus tip: Watch the market
One of the best strategies for buying and selling a mobile home is to keep an eye on the market. After a while, you will begin to notice some patterns and fluctuations that you can use.
You can do this by regularly searching listings. In many online sites, you can register your details so that you can get automatic updates.
Look for homes with similar features to yours. Compare their square footage, number of bedrooms, bathrooms and additional rooms. You should also look for homes in the same size category to yours, in other works single-wides or multi-wides.
If you regularly check listings, you might notice that there are too many homes of a type on the market. Sellers might need to drop prices to get a sale which is excellent for buyers.
But if there are fewer of a category on the market their value can rise.
You can also exploit this if your house has unique features like a terrace or extra rooms.
Plan of action
You might not be able to control all the aspects that can influence mobile home value. But with careful strategizing, you have the chance of using yearly fluctuations to your advantage. This tip can be beneficial for both buying and selling houses.
Now that you have an idea about annual changes in value it’s time to move on. Whether you are buying or selling, we have got you covered on all the aspects of these transactions. The beauty of it is that sellers can go today and get a mobile home value report right here on Mobilehomesell.com. No more guessing games. Get real up to date data on the value of your mobile home today.