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.
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
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.
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.
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
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.