Posted by Tony-VA on October 17, 2001 at 08:38:30:
Transfering title and registering title may be misunderstood. Most parks will require the Buyer to be registered as the owner on title. By registering them on title as the owner, we also distance ourselves from liability on that home.
We are listed on the title as the lienholder, and retain possession of the title until it is paid off.
This makes little difference when repossessing (as we do not foreclose personal property). As the lienholder, we simply return to the DMV and apply for a repo title. It cost $10 in Virginia and we are now once again listed as the owner.
We would still have to address eviction proceedings through the courts if the buyers have not left but this is unaffected by transfer of title in question.
Being the lienholder is what makes the repossession possible.
I do not wish for my company to remain listed as the owner on the title and have my buyer purchase the home from me while I hold the title (I suppose it would be a contract for title type scenario).
Since repossession as the lienholder is no more difficult, than why retain our name on title and assume the liability as the “owner”?
I have worked with investors who retain title in their name and they have all been burned to some degree by this procedure. I have seen the homes destroyed, go behind in lot rent and eventually up for Sheriiff sale, all the while the investors name is the one being dragged through the mud. Why risk this simply in the belief that repossession will be easier? There is not difference in (in VA at least).