Because they own their homes but not the land under their homes, owners of manufactured homes are vulnerable to closure of the community—the landowner can decide to put the land to some other use, and can force all the homeowners and their homes off the land. Closure of manufactured home communities is always a threat, but is particularly pronounced when there is a boom in commercial development, as developers eye these communities as prime targets for strip malls or office buildings.

Even when closure is not threatened, few states have effective protections against confiscatory rent increases that can force homeowners out by making the lot rent unaffordable. Another problem is that the community owner may fail to maintain the property, allowing the roads, grounds, and water and sewer system to deteriorate until the community becomes an eyesore, if not a health hazard.

Giving manufactured home community residents the opportunity to purchase the land on which their homes sit addresses all of these problems.  Residents across the country have successfully formed co-ops to buy and operate their manufactured home communities.  Once they own the community, it is protected from closure.  They maintain and improve the land and have control over how much the rent should be.

Policy Guide: Promoting Resident Ownership of Communities

Model Manufactured Home Community Stability and Preservation Act

December 28, 2023

This guide is a resource for anyone interested in promoting resident purchase opportunities through state policy. It is based on a careful review of existing and proposed state-level legislation, as well as the National Consumer Law Center’s (NCLC) experience working with advocates in various states.

Read More about: Model Manufactured Home Community Stability and Preservation Act

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