You might live with your parents but don’t want to live in the same home anymore. But what if you can put a modular home on their property? You’d save money on property costs and get the chance to have a place of your own. So, the question is, is it possible?
You can put a modular home on your parent’s property, but it might not be as easy as you thought. It requires a lot of research, planning, and preparation to do it properly and avoid future issues. There are a few things you need to consider before making this decision.
Am I Allowed to Put a Modular Home on My Parent’s Property?
The first question you need to ask yourself is whether you’re allowed to put a modular home on your parents’ property. The sooner you know the answer, the better choice you can make.
Modular homes are real estate property, and putting one on your parents’ property is not as straightforward. It means you can’t put a modular home in your name or a property in your parent’s name without a lengthy process.
Now, if you’re not picky about the type of home you live in, it’s easier to put a manufactured home on their property. That’s because you only need a permit and your parent’s permission. But, there is more planning when it comes to manufactured homes. If you’re unsure about the differences between modular and manufactured homes, this article explains it all.
What to Think About Before Putting a Modular Home on Your Parent’s Property
There is more to creating a modular home than meets the eye. It would be best to keep a few things in mind before deciding. For example, when you want to put a modular home in your parent’s yard, you need:
- A building permit and adhere to the zoning requirements.
- To consider the proximity to your parent’s house.
- To Consider the implication on the property taxes.
- To meet local modular home safety standards.
- To plan for amenities, like hooking up water, getting electricity supply, and adding waste management services.
- To know if your parent’s property is large enough for ADUs (accessory dwelling units).
- The minimum square footage of the property must be for a habitable ADU with a kitchen, bedroom, and other amenities.
- To know whether your county or parish has legal authority for planning and building code activities. It will determine how heavily your building activities will be regulated.
- A proper foundation for the modular home to stand on.
- To consider insurance on the structure. You might have difficulty insuring an illegally built modular home if you don’t meet all your local requirements and zoning laws.
As you can see, it’s not just about buying a modular home from a factory and placing it on your parent’s lot. It would be best if you did a lot of planning and research regarding your local area and county.
The Difference Between Real Estate Property and Personal Property
You might wonder what the difference is between real estate and personal property. So, let’s look at the difference:
Real estate property includes the land, building, fixtures, and amenities. Modular homes fall under this category because the house is assembled on a permanent foundation on the lot.
Personal property is property anything you own that is not permanently fixed to land, like computers, furniture, cars, jewelry, etc. Manufactured or mobile homes fall under this category because it doesn’t need to stand on a permanent lot and can move around.
How You Can Put a Modular Home on Your Parents’ Property
If you’ve decided you want to move forward with putting a modular home on your parent’s property, there are a few ways you can go about it. You can:
- Add an ADU to your parent’s property,
- Subdivide the property, or
- Create a real estate compound.
So, you have a few options to choose from, which will help you find the one that suits your needs best.
Add an ADU to Your Parent’s Property
An ADU is when a property’s primary residence shares the lot with an accessory dwelling. This ADU is usually smaller than the main house. Still, it is an independent living space with all amenities. It includes a kitchen, bathroom, and sleeping area.
Adding a modular home to your parent’s property as an ADU becomes part of your parent’s real estate property. That means the modular home won’t become its own real estate property and won’t be in your name but your parents’ instead.
Because it will be manufactured in a factory and assembled on your parent’s lot, it must rest on a permanent foundation and adhere to zoning and HOA (Homeowners Association) regulations.
Luckily, you can legally rent out an ADU, which means you could rent the modular home on your parent’s property.
Subdivide the Property
Another option you could do is subdividing your parent’s property. So, you could divide the original property into two different ones. And when you do this, each property becomes independent from the other and can be owned by two different parties.
Subdividing your parent’s property means that the original property is smaller, and you can own a part of the original land. It’s probably the simplest way to become a land and homeowner. That’s because owning the piece of land the modular home will stand on simplifies the building process.
All you have to do once you own the property is buy the modular home and get it transported and assembled on the foundation on your lot. Then, you own the real estate containing both the land and the house.
Create a Real Estate Compound
The final option is to create a real estate compound. It is typically a large, single plot of land with multiple housing units. There is one larger house where events and gatherings take place. Then, there are smaller buildings where people live. So, it is a communal or multi-generational way of living.
A real estate compound is an excellent way to have a modular home on your parent’s property. It enables your independence while still being close to your family. However, developing this compound will depend on where you live; it’s not necessarily possible everywhere.
But suppose you can do it and your family is happy with the decision. In that case, it allows shared ownership with your parents on the property. So, you won’t have sole ownership when you go this route.
What to Do Before Putting a Modular Home on Your Parents’ Property
Now that you know all the considerations of putting a modular home on your parent’s property, you can decide whether you want to follow through. And if you do but feel overwhelmed about where to start, don’t worry. Here’s what you need to do before going forward with this plan:
- Calculate property change costs: How you decide to put a modular home on your parent’s property will have varying cost implications. So, consider how much it will cost to add an ADU to the property, subdivide it, or create a real estate compound. Also, know that it will affect your tax bill, so ensure you consult a tax specialist on the matter.
- Consult your local government: Because of the varying local zoning laws and requirements, it’s a good idea to consult your local government on what you plan to do. It lets you know what is allowed and what isn’t before you unnecessarily spend too much money. It’s also an excellent time to start the process of getting the relevant permits.
- Talk to your HOA: If your parent’s property is part of an HOA, consult them as well. They usually have specific rules and guidelines for the area they cover, like whether an ADU is permitted on those properties and what their dimensions need to be.
- Think long term: How will this decision impact you and your parents? Will you live there for a long time? Would it be better to subdivide the property or create a real estate compound? It all depends on what works best for you and your parents in the long run. Talking to your parents while all of you run through the considerations is essential to make this arrangement work.
As you can see, there are various sources you can consult to see whether you can put a modular home on your parent’s property. It might take a bit of research on your end, but reading this article already steers you in the right direction. All you have to do now is find out if your parents’ location and the lot will permit it.
The Bottom Line
While it is more difficult to put a modular home on your parent’s property than a manufactured home, it can be done. You’ll have to do your research, though, because what’s allowed in one location might not be permitted in the other.
If you decide to do it, you can put a modular home on their land in three different ways. Of course, you must consider whether it’s a good fit for you and your parents, especially in the long run.
And once you’re ready to make this move, you can consult various organizations and people to help you finetune the regulatory and financial implications. The more you know, the easier the processes will be while ensuring a lawfully built modular home on your parent’s property.
Amos Christen graduated with a bachelor’s degree in Interior Design from Drexel University — Philadelphia, PA. Since 2003, Amos has worked with top interior design professionals in this area, including architects and interior/graphic/lighting designers. As a skilled interior designer, Amos Christen is highly versed in fine arts and crafts and uses that to supplement his main area of expertise. He often publishes articles related to home décor on several websites, including Sprucetoilets.com, Sprucebathroom.com, and Mybesuitedhome.com. He also contributes to leading interior design magazines.