Posted by my pham on January 21, 2009 at 14:27:11:
Thank you, Rick, for your reply.
property taxes on mobile homes - Posted by my pham
Posted by my pham on January 21, 2009 at 02:06:44:
I am a foreigner. I have been looking at buying a mobile home in California in a mobile home park. I understand that after 1st July 1980 mobile homes were no longer treated as motor vehicles, but as real estate. Does this mean that: (i) I have to pay state (CA) property taxes based on the purchase price of the mobile home (in the same way as if I was buying a condo)? and (ii) If I sell the mobile home in the future and make a capital gain, then I will to pay federal income tax on the gain? [I understand that this is the case if I buy a condo and sell it later]
Its a little more complicated - Posted by Rich-CA
Posted by Rich-CA on January 21, 2009 at 07:09:42:
If the MH is attached to a foundation, then it is RE and not personal property.
No matter what you sell, you will have to pay Federal taxes. If its RE, then cap gains. If its PP, then ordinary income tax. You will also owe either state income or cap gains taxes. If its RE you will owe the transfer tax as well. If its PP, then the prop 13 limits on the tax do not apply.
You might want to post this on the Mobile Home forum.