What Are Closing Costs Exactly When Selling a Mobile Home in Texas?
Why this matters
Closing costs decide what you actually walk away with on sale day. In Texas, the process and fees change based on where the home sits (park vs. land you own) and how it’s classified (personal property vs. real property). Below is a practical breakdown so you don’t get surprised at the finish line.
First things first: Texas uses a “Statement of Ownership,” not a title
In Texas, manufactured/mobile homes are recorded with the TDHCA via a Statement of Ownership (SOH)—not a DMV-style title. Any sale or relocation generally requires filing an SOH transfer within 60 days. The SOH application fee is $55 per transaction; rush processing adds $55. If the HUD label is missing, a Texas Seal is typically $35 per section.
Do mobile homes close at a title company in Texas?
It depends on classification:
- On land you own (home + land together as real property): Often closed at a title company like a traditional home (title insurance, escrow, prorations). If the home is still recorded as personal property, you or the buyer may convert it to real property before or at closing.
- In a park (home only): Usually treated as personal property. Many deals are handled with a purchase agreement + SOH transfer through TDHCA. A title company is not required, though some sellers still use an escrow service for convenience.
Common seller-side costs in Texas (what to expect)
1) TDHCA filing & compliance items (personal property sales)
- Statement of Ownership (SOH) transfer: $55 per transaction; optional $55 for priority handling.
- Texas Seal (if HUD label missing): $35 per section.
- Habitability inspection (when required by TDHCA circumstances): commonly $150 (residential use, connected to utilities).
2) Escrow/closing facilitation (optional for park homes, common for land+home)
- Escrow/closing/settlement fee: varies by provider and complexity. Using escrow is optional for park home sales but standard when land is included (like a house closing).
3) Taxes & government charges
- Sales/use tax: Texas imposes manufactured housing sales/use tax on new manufactured homes (calculated on 65% of the sales price under Chapter 158). Used homes in a private sale are typically not subject to this manufactured housing sales/use tax, but confirm your specific facts.
- Property taxes:
- Park homes (personal property): Some counties assess them as personal property; confirm delinquencies (SOH transfer can require proof no taxes are owed in past 18 months).
- Home on land (real property): Standard proration through the title company at closing.
4) Real estate commissions (only if you list with an agent)
- In Texas, traditional listings commonly run 5–6% of sale price (paid from seller proceeds). If you sell direct(FSBO or investor), this fee is $0. (Texas norms reference.)
5) Repairs & make-ready (optional)
- Traditional buyers often request fixes after inspections. If you sell as-is to an investor, you usually skip repair spend and inspection delays.
6) Moving/relocation costs (if the home will be moved)
TxDMV single-trip permit required for oversize manufactured homes (valid for one move; route/time limited). Cost depends on size/route; movers typically wrap this into their quote.
Closing Costs of Selling Your Mobile Home to an Investor
While traditional sales routes can result in several expenses, selling your mobile home to a real estate investor may offer a more straightforward and cost-effective solution. Investors typically purchase mobile homes for cash, meaning you won’t have to worry about costly repairs or long negotiations. Furthermore, investors usually handle all closing costs, which means you won’t have to pay title transfer fees, escrow costs, or agent commissions.
No Repair Costs
One of the key advantages of selling to an investor is that there are no repair costs. Investors buy homes as-is, meaning you can avoid spending thousands of dollars fixing your mobile home before selling it.
Faster Closing
Another benefit is the speed at which you can close the deal. Traditional sales can take weeks or months to complete, but a cash sale to an investor can close in just a few days. This speed is especially helpful if you need to sell your mobile home quickly due to financial hardship, relocation, or other personal reasons.
When you’re dealing with financial struggles, every dollar counts.
No Agent Commissions
Unlike traditional sales, where you would typically pay a commission to a real estate agent, working with an investor eliminates these fees entirely. This can save you up to 6% of the sale price, allowing you to keep more of your money in your pocket.
When Is It Better to Sell to a Real Estate Investor in Texas?
In some situations, selling to an investor is the most advantageous option. Here are some cases when it may be beneficial:
- Urgent Need for Cash
If you’re in urgent need of cash, selling to an investor is the best way to get fast, guaranteed money without worrying about a lengthy sales process or unexpected costs. - Mobile Home Needs Repairs
If your mobile home is in need of significant repairs, listing it with an agent might not be ideal. Many buyers prefer homes that are in good condition, and repairs can be costly. Investors, on the other hand, will buy your mobile home in any condition, saving you time and money. - Avoiding Traditional Selling Fees
By selling to an investor, you avoid paying real estate agent fees, closing costs, and repair expenses. The price you agree upon with the investor is the price you’ll receive at closing, with no hidden fees.
How to Save on Closing Costs in Texas
While closing costs are unavoidable, there are a few strategies to reduce them:
- Negotiate Closing Costs
Some costs, like title transfer fees, may be negotiable. Discuss these fees upfront with your buyer or agent to ensure you’re not overpaying. - Sell As-Is
Selling your mobile home as-is can save you significant repair costs. Investors will usually purchase your home without requiring repairs, which can save you thousands of dollars. - Sell Directly to an Investor
By selling directly to a real estate investor, you can avoid paying agent commissions, repair costs, and other fees. This can save you a substantial amount of money, especially if your mobile home is in less-than-perfect condition.
The Role of Market Conditions in Closing Costs for Mobile Homes in Texas
When considering the closing costs of selling a mobile home, it’s essential to understand that the market conditions can significantly influence these costs. In a seller’s market, where demand for mobile homes exceeds supply, you may find that closing costs are somewhat lower, as buyers are willing to absorb some of these fees to secure a property. Conversely, in a buyer’s market, where inventory exceeds demand, sellers may need to negotiate more heavily on price and be responsible for a higher portion of the closing costs.
Market Fluctuations and Their Impact
Understanding the local market is crucial. For instance, if mobile homes in Texas are in high demand in your area, closing costs might include fewer fees, as buyers may be more inclined to cover some expenses in order to lock in a deal. However, in a slower market, sellers may be asked to contribute to title fees or offer incentives such as covering repair costs. Always check market trends in your area before setting an asking price, as they directly affect your overall closing expenses.
This is one reason why selling directly to a cash buyer may be beneficial. Investors are often unaffected by the fluctuations in market conditions and are more likely to offer a fair, quick deal without unnecessary fees.
For more insights on Texas’s real estate market trends, check out Texas Real Estate Market Trends.
Understanding the Costs of Moving a Mobile Home in Texas
An often-overlooked cost when selling a mobile home is the expense associated with moving the home. If the buyer is not interested in relocating the mobile home, you, as the seller, may be required to cover the costs of transport. Moving a mobile home can be a costly process, typically ranging from $2,000 to $5,000 depending on distance, size, and whether the home needs to be re-anchored or renovated for transport.
Factors Affecting the Moving Cost
The moving costs for a mobile home are heavily influenced by the distance, size of the home, and whether it needs to be moved through difficult terrain. A long-distance move or a home requiring additional work to become transportable will increase these costs.
If you are selling to an investor, they may cover these costs or handle them for you, depending on the terms of the sale. Working with an investor to sell your mobile home can help you avoid these expensive logistics, making it one less worry as you focus on closing the deal.
For more details on moving costs and tips, refer to Mobile Home Transport Cost Calculator.
Hidden Costs of Traditional Mobile Home Sales in Texas: What You Don’t See Coming
While you may be aware of the obvious closing costs when selling a mobile home, there are several hidden costs that can catch sellers by surprise. One of these is the pre-sale cleaning and staging of the mobile home. This is often necessary to make the home more attractive to potential buyers, especially if it is older or in less-than-ideal condition. Sellers often find themselves spending hundreds of dollars on cleaning, fresh paint, and even furniture rentals to create an appealing environment.
Unexpected Costs to Keep in Mind
Additionally, some sellers may be required to pay for an inspection before the sale can proceed. Although this is often arranged by the buyer, the seller may be asked to contribute to the cost, especially if any major issues are discovered during the process. Some of these costs can be avoidable by selling directly to a mobile home investor. An investor will typically buy your home as-is, without requiring repairs or staging, saving you from additional expenses.
Legal Fees and Documentation: What You Need to Know When Selling a Mobile Home in Texas
When selling your mobile home in Texas, it’s important to be aware of the potential legal fees associated with transferring ownership. While not always required, you may need to consult an attorney or title company to ensure that all documentation is correct and the sale is legitimate. These services can cost anywhere from $100 to $500 or more, depending on the complexity of the transaction.
Important Documents and Legal Considerations
Some sellers also incur costs related to document notarization and the completion of necessary disclosures. In Texas, certain paperwork must be filed with the state’s Department of Housing to transfer the mobile home’s title. While this process is typically straightforward, the additional fees associated with legal consultation can quickly add up. Again, working with a real estate investor may reduce or eliminate many of these legal complexities. Investors often take care of all the paperwork and legalities involved in the sale, saving you both time and money.
Why Selling to 210 Mobile Homes is the Best Option
In conclusion, while there are many closing costs associated with selling a mobile home in Texas, there are ways to reduce these expenses. Traditional sales methods, such as working with an agent or listing your home on the market, can come with significant costs that eat into your profit. These include agent commissions, repair costs, and escrow fees.
However, selling to 210 Mobile Homes offers a more straightforward, cost-effective solution. You can avoid repair costs, agent commissions, and long closing times, ensuring that you get the most value from the sale of your mobile home. Selling to us eliminates many of the hidden fees associated with traditional methods, leaving you with more money in your pocket and a faster sale.
If you’re considering selling your mobile home in Texas, make sure to weigh all your options and understand the full scope of potential costs. And don’t forget to explore the potential savings of selling directly to 210 Mobile Homes. We’re here to help guide you through the process and ensure you get the best deal possible.