I bought a lot from the city (tax resale) and am considering putting a modular home, selling it, and carrying the note for the buyer (for sell by owner). My tax adviser told me that it was a depreciating investment and I should stay away from modular homes. Any advice?
@Will Green - I believe your tax adviser is referring to manufactured homes, not modular homes. Modular homes are permanently affixed to a foundation and are treated like any other "stick-built" home. Modular homes are insured and taxed like any other stick built home.
You cant tell a modular home from a stick built . its a regular house . Its just constructed in a factory and put on a foundation on site .
I think you are confusing modular with mobile.
Thank you guys so much. I was thinking my tax adviser may have been confusing modular vs manufactured. The city codes do not even allow me to put a manufactured home on my lot. Do you think the modular home will depreciate in the future(I've read that it does not, but I don't have any experience)?
I agree, sir. I am focused on modular. My adviser may have been thinking manufactured.