Land Contract, New Home Purchased on old contract?

Question

We purchase an older mobile on land 10 yrs ago. Then 5 yrs ago, we bought a new manufactured home, and put on the land.
The contract was never changed to show the new home, which is paid for.
We want to re-fi, to pay off the land, and also to get out from underneath owing the relative from which we purchased the land from.
Are we going to have trouble doing this?

Should mention this is in Oregon.
Thanks

Answer 1

Well, if the mobile is in your name then there should be no problem. There maybe an issue about the old one but they have no rights to the new mobile. It is considered moveable and not apart of the land.

Answer 2

I live in Oregon. The questions really does not vary based on the state.

1. The MH is considered personal property until it is 'attached' legally to the property. This can be called retiring the title but in some states you do not really retire the MH title. In any event you want to get to the point where the land and the MH are considered one and they can only be sold, financed or otherwise dealt with as one. Similar to building a stick built home. The wood gets 'attached' to the land and the structure goes with the land.

2. You need to look for a lender who will refinance such a property. As a MH on land there should be little real problem. Most lenders who will provide a loan just treat it as if the home was built on site. Some lenders will not consider a MH attached to land but that should not be a great problem.

So, once you convert the MH into real property a mortgage broker or local lender should be able to provide financing. You should ask around and identify people who have financed similar property in your area or in Oregon. They will have the best products to pick from.

Answer 3

If the title to the mobile home was never retired and attached to the deed then when you go refi they will treat it as straight land. If the title was not retired it falls under the dmv and not real property.