So you’re looking for a new home? Good for you! The question has probably crossed your mind: should I rent an apartment until I have the money to purchase a home? Maybe you’re merely waiting for summer to buy a house and you want to rent until then.
But, since you’re here, we’re assuming you’ve also considered moving into a mobile home. Mobile homes have a reputation for being cheap and economical. Buying one a tempting prospect. But is it doable for you and your family? Today we’re going to answer this question. Is buying a mobile home better than renting this winter?
Why this winter is a great time to buy
Interest rates are at an all-time low this winter because of the COVID-19 pandemic. And not only that, but winter is, at the best of times, an excellent opportunity to get a deal on real estate. Savvy home buyers know that during the winter, prices dip. Real estate trends are seasonal, believe it or not! Yes, houses and mobile homes that are priced too high in the summer may suddenly come down to your range.
Granted, during the winter, there aren’t as many options on the market. Most of the mobile homes on the market this winter will be ones that have sat on the market for a few months. But the upside is that this does cut down on competition.
In the summer, multiple buyers make offers on a single house, competing with each other for ownership. You won’t get much of that during the winter, which gives you a distinct advantage. If you play your cards right, there are opportunities galore when buying a mobile home this winter.
The cost of renting vs. the cost of buying
Even more importantly, the overall cost of buying a mobile home, at any time of year, is often lower than the overall price of renting. Paying $800 to over $1,000 per month for an apartment all year long means you’ll be spending more money than if you get a good deal on a used mobile home.
For reference, here are some of the average price points of mobile homes:
- A new single wide mobile home can cost around $40,000
- Used single wide mobile homes are often priced around $10,000 to $20,000
- Doublewides are, of course, more expensive, with $75,000 as a possible price point for new and an average of $30,000 for used.
As you can see, if you’re planning to rent for a year or more, you should seriously consider buying a mobile home instead. This is also a great option if you have no idea when you’ll be moving into a permanent house.
Pros and cons
Now let’s take a closer look at the actual pros and cons of buying a mobile home versus renting.
Is renting a good option for you?
There are several questions that you must answer before you decide to rent. We’re not sugarcoating this. Renting is hard. Are you willing to live in someone else house or apartment for a certain amount of time, agreeing to their price, terms, and conditions? You won’t be able to call the place your own, and it’s also very difficult to make changes to the house to suit your needs. It’s also notoriously difficult to save money while renting, which isn’t good news for your dream of owning your own house someday.
On the other hand, it’s much easier to move out of a rental, since it isn’t tying you down in any way. Taxes are cheaper, and repairs are none of your concern. If there’s an issue, just call up the landlord. No paying money out of your pocket!
The pros and cons of buying a mobile home
The first and most important positive to buying a mobile home is the price. Also, a mobile home is a minimalist’s dream. With limited space and plenty of opportunity for organization and innovation, a mobile home can be such an economical option.
The only big con to buying a mobile home is the initial investment. Although, as we’ve seen, a down payment is always going to be significantly less for a mobile home than for a site-built home! Still, paying a large chunk of money at the get-go is necessary if you want the long term ease of owning a mobile home.
To buy or not to buy, that is the question
Ultimately, the decision is up to you. Is buying a mobile home this winter a better option for you and your family? Or is renting more your taste? Consider the pros and cons, decide what your biggest needs and wants are, and go with that.
And if you decide to buy a mobile home, we recommend checking out these 8 things you need to know as a smart mobile homeowner.