What happens when a manufactured home is foreclosure?

If a court would consider your home to be real property, your state’s foreclosure procedures would apply. If, on the other hand, a court would designate your home as personal property, your lender could use self-help repossession or sue you to recover possession of the manufactured home.

How does a manufactured home become real property?

Typically, the requirements for a manufactured home to become real property include: the manufactured home must be intended to be permanently attached to the land the homeowner must surrender the certificate of title to the appropriate revenue commission, and

What happens to your house when you get a foreclosure?

Homeowners insurance companies are most likely to pursue and prosecute homeowners who vandalize or strip their homes while in foreclosure. When the bank receives the title to the home through foreclosure proceedings, many banks submit an insurance claim to the existing insurance company to cover any damage and missing real property items.

Can a lender take possession of a manufactured home?

It’s unlikely that a lender would be able to take ownership of an occupied home without breaching the peace, so most lenders will sue the borrower to recover the manufactured home. The process by which a lender can retake possession of personal property serving as security for a loan in default is set out in the state statutes.

How is a house sold in a foreclosure?

The home will be sold at a public auction to the highest bidder, who will have to pay the full amount of the bid immediately. This buyer will receive a trustee’s deed once the sale is complete, at which point he becomes the official owner.