MH info for TEXAS - Posted by CTChap


#1

Posted by MarkHOUTX on January 02, 1999 at 09:14:13:

I am not licensed, nor doing deals. My current financials prevent me from obtaining the bond. I said “supposed to be a dealer” because I am sure there are individuals out there and on this site that are doing Lonnie deals without licenses. I do plan on getting licensed and doing these deals. See my post to Alan on this thread for a little more info.


#2

MH info for TEXAS - Posted by CTChap

Posted by CTChap on December 31, 1998 at 19:51:30:

Some info for anyone thinking about doing MH business in Texas…

I contacted the Texas Dept of Housing & Community Affairs in Austin(800-500-7074) and found the folling info;

Any more than 2 deals a year, you need a retailers license whick runs $350.00/yr. You are also required to hold $50k surety bond as well as take a 2 1/2 day class at $125.00.

I also learned that here in Texas, MH’s are considered personal property and are not subject to sales tax.

Anyone have anything to add?

CTChap


#3

One MH per 12 month period in TX. - Posted by MarkHOUTX

Posted by MarkHOUTX on December 31, 1998 at 20:32:04:

I went to the dealer class in November. Its actually “selling more than 1 MH per year” that makes you a dealer. So, you can sell one in any 12 month period and not be a dealer. Anymore than one in a 12 month period and you are supposed to be a licensed dealer. Also, I’ve gotten two quotes on the $50k bond at $1000 per year.


#4

Re: One MH per 12 month period in TX. - Posted by Alan HOUTEX

Posted by Alan HOUTEX on January 01, 1999 at 02:17:33:

Mark, are there any other requirements? ie permanent lot. Can you do Lonnie Deals? Thanks for any info, I just moved back to Texas would be interested in doing Lonnie Deals.


#5

Re: One MH per 12 month period in TX. - Posted by CTChap

Posted by CTChap on December 31, 1998 at 21:02:40:

I noticed that you say “supposed to be a licensed dealer”, you’ve found a way around this?

Also, I have the opportunity to do MH’s here as well as in Missouri. Since you’ve been to the class and I assume are now a licensed dealer, have you found that it’s worth it(the fee’s and everything associated with becoming a dealer)?

CTChap


#6

Re: One MH per 12 month period in TX. - Posted by MarkHOUTX

Posted by MarkHOUTX on January 02, 1999 at 09:08:16:

Alan, there was no clear requirement for a permanent lot, but in a way it is implied. There are no size requirements for the lot, but here’s were the implication comes in. The state requires that you get a license and bond for each chunk of land that you show a home on. For us trying to do Lonnie deals that means you would have to get a license/bond for each MH slot in each park before you sell the MH. Its a crazy rule. The regs. for TX are obvisiously written for new MH dealers. Only 3 out of 200 people in the Nov. class were there just to deal in used MH’s. You could tell that TDHCA was a bit confused by questions from the 3 of us. The state says I can get around this rule for licensing each slot where I show a MH by transferring my existing license/bond from MH lot to MH lot. Takes about 2 to 3 weeks – I cannot show the home or sell the home until the license transfers – crazy! The state said I could also drag the MH to my licensed/bonded dealer lot (of course, I don’t have a dealer lot), sell it, then drag it to wherever the buyer wants it – crazy again. Of course,this would double or triple my cost and the buyer’s cost. I currently am not licensed. I can’t get the bond right now due to poor financials. I do plan on getting licensed and working on getting the regs. changed. Others on this site have suggested that I contact licensed MH dealers and make a deal where I operate under their license for a fee or commission to them. I’m looking at all options right now.