Mobile Home Expenses You Need to Include in Your Budget

by Dec 20, 2020Blog, Finance, Renting a mobile home

It’s probably hard enough just paying the monthly principal and the interest rate on your mortgage. But if you’re going to set a budget, you also need to include the expenses to maintain and update your mobile home. Don’t need to worry though because mobile home costs are bearable. In this article, you will get a rundown of all the mobile home expenses you should budget for whether you own, rent, or live in a mobile home park.

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Mobile home expenses in a park community

One of the most significant advantages of living in a mobile home park is affordability. In a park, you get to enjoy all the perks that come with owning a home without paying any property taxes. On top of that, you won’t have to deal with maintenance on the land or the utilities. In general, some of the monthly costly you will have to contend with include water, garbage, sewer, and recycling pickup. Of course, this will highly depend on the park’s management as well as the community where you are living.

In case the park includes amenities like a swimming pool, recreational center, fitness center and the like, you will probably have to pay for those as well. Some mobile home parks charge cable TV, regardless of whether you like the package or not. Depending on the state you live in, you might have to pay personal property tax every year. Trailers not built for four-season use will pay higher energy bills if they’re poorly insulated. Of course, you can insulate your home for yourself and save on energy.

broken piggy bank

Renting expenses

When renting a mobile home, the first thing you will obviously have to pay each month is the house rent. If the contract includes paying a fee for late rent, then keep that in mind as well. If you rent a mobile home located in a mobile home park, you will need to pay the park fees every month. You will also have to pay for utilities like water, electricity, trash collection, recycling, sewer, gas and the like. If the park includes amenities like a pool and fitness center, then you will probably have to pay maintenance fees to the park. When you rent, you won’t have to pay property taxes every year because the owner of the home will do it.

Landowner expenses

You can bundle your mobile home purchase together with the land if you’re looking to own property. Or if you already own property, you can purchase a mobile home to place on it. However, if you set it up with the chassis it is considered personal property, and you will have to pay two types of taxes each year. First, you will pay personal property tax for the mobile home and you will pay property tax for the land since you own it.

If you lay a foundation for the home and fix it on the land, then it will be considered real property instead of personal property. In this case, you will pay property taxes like you own an on-site built home. You might also have to pay property insurance annually. When you own a mobile home, the only person responsible for maintenance and repairs is you. Meaning that you have to set some money aside for any unexpected repairs and maintenance like mowing the lawn, for example.

Lawn Mower

Leased land expenses

When it comes to owning a home on leased land, the first thing to pay for is the land rental fee. You will have no control over the amount of money you pay each month, and the landowner could add additional fees along the way. On leased land, the owner might charge you maintenance fees each month. Depending on the arrangement, you may have everything taken care of, or it might be up to you to maintain your home. This will depend on where you lease land.

However, you will not be paying property taxes since you won’t own the land. But that doesn’t mean that you won’t have other expenses. You will still have to pay for utilities like electricity, water, garbage, gas, and all.

Irregular expenses

Regardless of whether you own or rent a mobile home, you will need to budget for infrequent expenses. These include things like pet expenses, insurance, cars and more. When it comes to your mobile home, you should also plan for irregular expenses like repairs and upgrades. You might need to install better home insulation or do roof repairs.

Taking into account your living situation, you can determine how much you’ll need to budget each month for mobile home expenses.

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