New Laws in New York and Maine Aim to Protect Manufactured Home Community Residents
New York Governor Hochul Signs Legislation to Support Homeowners at Manufactured Home Parks
On October 25, 2023, Governor Hochul signed legislation into law supporting homeowners at manufactured home parks/communities, a critical source of affordable housing for residents in New York State, particularly Upstate and in rural areas. Legislation S.5881A/A 5549-A expands the right of first refusal that homeowners in manufactured home parks currently have to include whenever owners of manufactured home parks make offers to sell or respond to offers to buy the park.
Legislation S. 7541/AQ. 7403-A authorizes the State of New York Mortgage Agency to purchase mortgages for and offer mortgage pool insurance for modular and manufactured housing. Legislation S. 7381/A. 7422 better aligns New York State law relating to civil penalties associated with manufactured housing with federal laws.
“This legislative package is our states latest tool to support New Yorkers in manufactured home parks – a key source of affordable housing in our state,” Governor Hochul said. “By expanding when homeowners in manufactured home parks have a right of first refusal, authorizing mortgages and mortgage pool insurance for modular and manufactured homes, and better aligning our legislative language with federal programs, we are helping strengthen New York communities and continuing to provide New Yorkers with safe, stable. affordable homeownership to countless New York families.”
New Law Hopes to Keep Investors Out of Mobile Home Parks
Landowners now have to give residents 60 days from time of notice to make a purchase offer. They’ll also have to notify MaineHousing, the state’s housing authority, of their intent to sell. If 51 percent of residents decide to form a resident-owned community, and take on collective ownership of the land, they’ll have a further 90 days to come up with the financing.
Rep. Traci Gere, D-Kennebunkport, introduced the bill in May because the bill in May she said out-of-staters are eyeing Maine’s manufactured housing market for investment, and tend to price people out of their affordable homes after purchase.
“You have mobile home park owners who are approaching retirement, looking to sell. And investors are looking at opportunities like this and might purchase; they often do raise the lot rent,” said Gere, who co-chairs the state joint select housing committee.
“We constantly get phone calls from realty groups saying, ‘we’re buying up manufactured home communities and we’re wondering if you want to sell,’ which of course we are not,” said Carol Hodgkins, who runs the resident-owned community that manages Wardtown, a manufactured home community in Freeport.
Manufactured homeowners are a captive market for investors, said Pat Schwebler, who runs the Cooperative Development Institute, a non-profit that has already helped form and finance 10 resident-owned communities around Maine, including Wardtown.
