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Home ownership is touted as the American dream. Unfortunately,
it can often become the American nightmare when you own
the home but not the land under it. This is the situation
facing the up to 8 percent of Washingtonians who own homes
but rent lots in manufactured housing communities.
There are approximately 1,800 manufactured housing communities
in Washington, providing spaces for more than 100,000
households. Many of these households are young families
just starting out on the home ownership ladder. Others
are seniors who chose to move into manufactured housing
communities as a way of retaining their independence in
an easy-to-maintain home.
Unfortunately, manufactured housing community living is
fraught with insecurity. Homeowners are sometimes victims
to abusive practices by community owners who flaunt the
existing manufactured/mobile home landlord tenant act,
knowing that they will get away with it. Homeowners have
little choice but to put up with the landlord’s
illegal acts since moving their home out of the community
is a virtual impossibility.
Additionally, between April of 2006 and December of 2007,
38 communities throughout the state will close, resulting
in the displacement of more than 1,400 households. Approximately
50 percent of these households will be unable to find
an alternative site for their homes and will therefore
have to pay to have them demolished, even if they still
owe a mortgage on the home.
Fortunately, several bills have been introduced this legislative
session that could address the crisis facing many manufactured
home owners.
HB 1461 sponsored by Rep. Dawn Morrell and its companion
bill SB 5477 sponsored by Sen. Jim Kastama, both of the
25th District, would guarantee compliance with the existing
manufactured/mobile home landlord tenant act. These bills
provide an opportunity for homeowners or community owners
to file complaints with the Attorney General’s office
that will investigate complaints, attempt mediation between
the parties, provide a timeline for compliance, and issue
fines for non-compliance. Both the homeowners and the
community owners will pay an annual fee that will cover
almost 50 percent of the cost of this program.
HB 1621 sponsored by Rep. Brian Sullivan of the 21st District
and its companion bill SB 5780, sponsored by Sen. Eide
of the 30th District, provide an incentive for manufactured
housing community owners who choose to sell their properties
to the homeowners residing in their community. A community
owner who chooses to sell to the homeowners’ association
receives not only the fair market value for the property,
but also an added incentive in the form of exemption from
paying the state’s portion of the real estate excise
tax — an additional 1.28 percent of the purchase
price goes to the community owner. The hope is that this
will lead sellers to good faith negotiations that allow
homeowners to remain in the community of their choice.
If the community owner does not want to take advantage
of the real estate excise tax exemption, then they may
proceed to advertise the community for sale on the open
market, with the caveat that a local housing authority
who can match any outside offer has an opportunity to
do so before the community can be sold to an outside developer.
Manufactured housing communities are the largest source
of unsubsidized housing for low-income families and seniors.
Guaranteeing compliance with existing law and providing
incentives to encourage the preservation of manufactured
housing communities shows that the Legislature cares about
the quality of life of manufactured home owners and values
this lifestyle choice as a worthwhile option for thousands
of Washington’s families.
The Legislature will help home owners’ dreams come
true by passing HB 1461/SB 5477 and HB 1621/SB 5780.
Ishbel Dickens is a long-time housing activist and a lawyer
with Columbia Legal Services in Seattle.
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