When investing in a manufactured home, it’s crucial that you understand all the costs involved. Along with the costs for the purchase and the delivery of the home, you’ll also need to consider fees related to taxes and utility hookups. This guide explains potential costs, so you can rest assured you have the funds you need to secure the home of your dreams.
Tax Rates and Costs
States determine the tax rates for manufactured homes. Some states tax them as vehicles, while other consider them real property and tax them as such.
In New Mexico, many manufactured homes are taxed as permanent structures, similar to as-built homes in the state. This is the case when the home is attached to a permanent foundation and the tongue and axel have been removed, if applicable. New Mexico’s current tax rate is 0.78%, with the median annual property tax payments being $1,403.
Unless your home is located on a mobile home park, which typically provide utility hook ups to tenants for a recurring cost, you will be responsible for accessing utilities on the plot of land where your home is located. Common utilities include gas and electric, which may already be present on the plot of land you choose. If not, you must schedule installation to prepare land for your home.
Water is another consideration. If there is no municipal supply available, you must have a well installed on your property. You will be responsible for installation and maintenance costs, but you won’t be subject to a monthly water bill.
You’ll also need to access telephone and internet service. Unless you choose a plot of land in a highly isolated area, you will likely be able to access these services easily. However, depending on where you live you might be restricted to one type of service based on what’s available.
Utility costs will be similar to as-built homes in New Mexico, provided you don’t incur additional costs for installing lines or digging wells. While it depends on the size of your home and your household, average costs in the state hover around $239 per month.
Fiesta Homes can help you realize your dream of homeownership at a price you can afford. Our customers can choose from a wide selection of floor plans and layouts, which accommodate a variety of budgets and family sizes. We’ll also help you secure financing, including land and home packages for your convenience.