Real Estate
17 March, 2022
Thinking Of Living In A Manufactured Home Park
Development of Manufactured Homes (MH), and parks, is increasingly becoming a lucrative venture for Queensland property developers and an option for senior Australians.
More often these days Manufactured Homes are often established as over 50’s resort style living.
Many people considering this type of living do not understand the many issues with this type of home. The home site is owned by the Park Owner/s, the homes are considered to be chattels and cannot be borrowed against.
The park owners charge weekly site fees for each home owner. The average site fee for the majority of new parks at present is approx. $190 per week and this usually will rise each year. There can be many hidden costs in these fees and all residents should ensure they view a copy of the financial documents that outlines the items that are being used to ascertain the site fee.
Living in a manufactured home / park should be taken with full consideration of what your site agreement states, this is the legal document that rules your residency, along with all the park rules and many people do not realise that they can ask for changes or amendments in these agreements prior to signing, negotiation is always available until you sign up. Do not be pressured into signing quickly, as once you sign this agreement and the rules in it are the daily governance of your life in the park.
These are usually standard format and park owners will add certain items that may not be standard and must not come under the “prohibited terms” stated in the Act. There are few solicitors that have a good working knowledge of these contracts, and most will only say that is standard and not bother to go through it with the future in mind, so it is buyer beware, and think long and hard if you can live with less individual rights and say on your daily living as once you have signed up, you cannot change anything unless you can prove it is illegal. Many issues arise after you move in that come about because of not doing due diligence prior to buying into the park. Visit it at different times, try to speak to residents, check out if any online comments, and make sure it has what you need not what the glossy brochures show that you may never use.
If you wish to sell your home, your site agreement will have rules that the park owner will have you abide by. One in most parks is that you cannot put a for sale sign outside your home, as the land is not yours. Some will say they do not allow private agents to come on site, this is not legal, and you need to know your rights, but many people can feel intimidated by the management when pushing for their rights. Again, make sure you are fully aware of the long term implications of this choice of home buying, it is not the same as being in a private home situation. More noise, less outside space, paying for amenities you may not use, lack of privacy, being more controlled in your daily life, and a totally different social atmosphere. Being the same age dynamic does not mean like-minded people.
Manufactured Homes and residential parks are duly regulated in Queensland since the commencement of the Manufactured Homes (Residential Parks) Act 2003. There have been some amendments to the original Act. All people who contemplate this type of living should read this Act and be fully cognisant with the contents as this is the legislation that rules this housing sector and your home.
Knowing what you can and cannot do, what avenues are available to you to address any illegal or unfair actions by the Park Managers / Owners is where our association can assist you to make the right decision if this is right for you, or to support and give you advice after you have moved in.
Alliance of Manufactured Home Owners Inc. has been instrumental in liaising and working with residents, government ministers and working groups for the rights of those that live in these parks. We presently have three submissions and an e-petition before the government addressing changes in the Act on the matters of selling, elder abuse, and site fee increases. We strive to ensure that residents who choose to live in a manufactured home / park have a voice and that when they have a problem there is a place with knowledge, experience and is non-profit that can support them. We are not affiliated with any government or private body.
People can check out our website: www.amho.com.au for all the information they need, or contact me directly, Rhonda Cooper President on amhocontact@gmail.com or 0418368567.
