If you’re thinking about buying a manufactured home, keep the following tips in mind.
- Check references. Before you buy a manufactured home, ask other people about their experiences with that dealer. It is also a good idea to check out the company with the Attorney General’s Office or your local Better Business Bureau. Contact NC Attorney General Roy Cooper’s office at 1-877-5-NO-SCAM toll free within NC.
- Read pre-loan documentation carefully. Read any pre-loan documents such as loan applications and Truth-In-Lending disclosures to be sure that the information is accurate. Do not sign these documents unless the your financial information in the loan application is correct and the financing terms on the Truth-In-Lending disclosures are what you can afford and are the same as what the lender told you. Do not sign any loan documentation agreeing to pay more than you can afford based on a representation that you can lower these payments in a short period of time by refinancing the loan.
- Review the contract. Before you sign a contract, make sure all promises you heard are written in the contract. Do not sign documents that are incomplete or have blanks. The paperwork should list the items you want included in your home. Be certain to specify colors, quality and other options. If the dealership guarantees that the home will be ready on a specific date, make certain that date is a part of the contract.
- Watch out for “Buy For” agreements. If a dealer asks you to find someone to co-sign for your home, make sure the home is being sold to you and not the co-signor. Your name should appear on all documents.
- Be informed about deposits. A deposit may be required in order to hold a particular home, but a deposit is not necessary for a dealer to run a credit check. A contract to purchase must be signed when you make a deposit.
- Keep all documents. Make sure you receive copies of all documents about buying your home.
- Know your right to cancel. After signing the contract, you have three business days to cancel your contract. The cancellation must be in writing and will allow you to get a full refund.
- Don’t pay until after inspection. Ask the finance company to withhold payment to the dealership until the home has passed its final county inspection. Otherwise, you may have to make payments on a home that you aren’t allowed to live in.
- Make a punch list. Within 30 days after you move in, make a punch list of items that need to be fixed and mail it to the dealership. You should send the list certified mail, return receipt requested and keep a copy for yourself. When the company comes to make repairs, be sure to sign a work order noting which repairs were completed and which items still need to be fixed.
We Can Help
If the company has not fixed the items on your punch list within 30 days, contact us
for help toll free at 1-877-5-NO-SCAM or (919) 716-6000 or call the Manufactured Housing Board at (919) 661-5880.