State laws determine the process for surrendering the manufactured home title when the home is permanently affixed to the land, becomes part of the real estate, and is no longer considered personal property separate from the land. Like manufactured homes, modular homes are also constructed indoors, sheltered from the elements. But unlike manufactured homes, modular homes do not require a title. Since they are built to International Residential Code standards and not the HUD Code, ownership of modular homes is treated the same as site-built homes.
(BPT) - On June 15, 1976, the U.S. Department of Housing and Urban Development (HUD) instituted the Federal Manufactured Home Construction and Safety Standards — more commonly referred to as the “HUD Code.”
With these regulations, HUD defined the safety and quality standards required for construction of a manufactured home.
This was a pivotal moment for the manufactured home industry. Prior to the HUD Code, these homes were built with portability as a primary focus and were commonly referred to as “mobile homes” — hence the difference in terms.
You will often see the terms “mobile” and “manufactured” used interchangeably. But, according to the Manufactured Housing Institute, the HUD code draws a line of distinction between the two.
A mobile home refers to a home manufactured prior to the standards set by the HUD Code. Back then, the homes were built to voluntary industry standards enforced at the state level in 45 out of the 48 states in the continental U.S.
With the birth of the HUD Code, manufactured home now refers to a factory-built home constructed to those federal standards.
The HUD Code regulates, among other things, energy-efficiency standards, durability, transportability and quality. It also sets standards for the performance of HVAC, plumbing and electrical systems.
While the difference in quality between today’s manufactured homes and pre-HUD Code mobile homes is evident, you may be wondering how the terms “mobile” and “manufactured” are so often confused.
One similarity that may be the biggest contributor to the confusion is titling.
Like the mobile homes built prior to HUD Code, modern manufactured homes also require a title. So what does that mean?
Requirements for titling vary by state, but generally a manufactured home requires a title much like an automobile. This is because a manufactured home is considered personal property.
As personal property, a manufactured home is typically taxed separately from the land on which it sits. Visit https://drivinglaws.aaa.com/ for more general information on state-specific laws regarding the titling of manufactured homes.
State laws determine the process for surrendering the manufactured home title when the home is permanently affixed to the land, becomes part of the real estate, and is no longer considered personal property separate from the land.
Like manufactured homes, modular homes are also constructed indoors, sheltered from the elements. But unlike manufactured homes, modular homes do not require a title. Since they are built to International Residential Code standards and not the HUD Code, ownership of modular homes is treated the same as site-built homes.
For more information from Vanderbilt Mortgage and Finance Inc. about manufactured or modular homes, visit www.vmfhomeloan.com/first-time-buyers/.
Vanderbilt Mortgage and Finance, Inc., 500 Alcoa Trail, Maryville, TN 37804, 865-380-3000, NMLS #1561, (http://www.nmlsconsumeraccess.org/), AZ Lic. #BK-0902616, Loans made or arranged pursuant to a California Finance Lenders Law license, GA Residential Mortgage (Lic. #6911), Illinois Residential Mortgage Licensee, Licensed by the NH Banking Department, MT Lic. #1561, Licensed by PA Dept. of Banking.
Homeowners insurance is a practical investment to help protect you, your family and your property in the event of unforeseen and unexpected losses. Traditionally, it’s associated with fire damage, burst or leaking pipes, or stolen property, but occasionally it covers unusual events that make for sensational news stories and viral videos. Here are four claims homeowners never thought would happen to them.
(BPT) - Homeowners insurance is a practical investment to help protect you, your family and your property in the event of unforeseen and unexpected losses. Traditionally, it’s associated with fire damage, burst or leaking pipes, or stolen property, but occasionally it covers unusual events that make for sensational news stories and viral videos.
Here are four claims homeowners never thought would happen to them.
1. Bear B&B
Bears are notoriously curious and intelligent creatures that also have an acute sense of smell.
People who live in areas with bears for neighbors must not entice them with the aromas of food. Keep doors and windows on ground floors closed and locked while cooking or if you leave the house. A bear can easily get through the screen of an open window or manipulate a lever-like door handle to enter your home and cause significant damage.
“Encountering a bear inside your home would be a very frightening experience,” says Christopher O’Rourke, Vice President of Property Claims at Mercury Insurance. “Safety should be your first priority, so call your local police or animal control station to have them help you with the situation. You can worry about any potential damages after the animal leaves the residence, because your homeowners policy will most likely cover any damage to your home (though not your personal property), unless of course the bear is a family pet.”
2. The sky is falling
China’s Tiangong-1 space station plummeted back to Earth and made its re-entry into the atmosphere earlier this year, breaking apart over the southern Pacific Ocean. The odds of debris from the space station hitting you were less than one in 1 trillion, according to the Aerospace Corporation. If it had hit your home, though, homeowners insurance would’ve covered it.
3. Your house is stolen
Yes, you read that correctly. Your homeowners insurance will cover the entire house, not just the contents inside, if it is stolen.
O’Rourke explains, “We had an insured who was away on vacation and when he returned the foundation of his home was all that remained.
“A house moving company had mixed up the address with another house down the street that was scheduled to be moved. The movers came in, transported the house to another location and thought their job was done — wrong!
“You can only imagine his surprise at the mistake. While homeowners insurance covered the cost of getting things restored back to normal, I would suspect this was one of the strangest situations any insurer has ever encountered,” says O’Rourke.
Golf is a leisurely pastime enjoyed by millions in the U.S. It involves strolling across greens and riding in golf carts, so its slow pace may seem low-risk, but it can actually be quite dangerous. According to an article in Golf Digest magazine, nearly 40,000 golfers are admitted to emergency rooms annually after being injured while playing, most by errant golf balls and flying club heads.
Recreational golfers can also cause a lot of damage to personal property. If you live on a golf course, your house has probably been hit many times by errant shots — breaking windows, damaging roofs and leaving divots in exterior walls.
So, who’s responsible for these injuries and damage?
“Simply put, the golfer who hit the shot is responsible,” says O’Rourke. “There is good news, however, because recreational golfers would be covered by a homeowners, condo owners or renters insurance policy for damage or injuries that result from the wayward shot.”
Mercury recommends reviewing your homeowners insurance policy annually with your local insurance agent to ensure that you’re adequately covered for any unforeseen losses, both unusual and ordinary.
Protecting your family and loved ones is one of your most important responsibilities. Many people think about protection in terms of physical acts, such as practicing safe driving, but there are many more aspects of your lifestyle and home that affect your loved ones’ safety. Here are five ways you can protect your family in 2017.
5 Ways to Protect Your Family in 2017
Protect your family’s financial health
If you don’t have life insurance, it’s never too soon to explore your coverage options. You may be able to save on premiums and get more coverage for your dollar by completing a health exam as part of your application, which helps build a more accurate assessment of your health.
If you do have coverage, it’s a good idea to regularly review your coverage to ensure it still meets your needs. Also check your beneficiaries to ensure your policies are updated with your current information, especially if your family has grown.
Ensure your family is breathing safe air
Radon is an odorless, colorless and tasteless gas that can go undetected in homes until it is too late. According to the U.S. Environmental Protection Agency, radon is the leading cause of lung cancer deaths among non-smokers in America, and claims the lives of nearly 21,000 Americans each year.
January is National Radon Action Month, so it’s a good time to learn more about radon testing and obtain a test kit for your home. To locate a qualified radon professional, visit epa.gov/radon.
Know your own health status
Many employers and health plans offer health screenings. If you have applied for life insurance, many policies provide the laboratory results from your application that you can share with your physician. Find a checklist of important preventive screenings at CDC.gov/Prevention.
Protect the home of your loved ones
Safeguard your family from fire hazards
In addition to regularly checking alarms and batteries, it’s a good idea to make a family escape plan in the event of a fire.
Keep your loved ones safe and find more ways to protect your family at MyExamOne.com.SOURCE:
(BPT) - What's the state of your estate? Robert Fishbein, a vice president and corporate counsel in Prudential Financial's Tax Department, says now's a good time to find out.
Changes in federal estate tax law have significantly increased the amount at which federal estate tax is triggered, says Fishbein. The individual exemption is $5.49 million (2017 amount, indexed for inflation) so a couple can accumulate almost $11 million dollars of assets without federal estate tax depleting the value.
The $5.49 million will increase over time. As a result, most individuals no longer need an estate plan to minimize federal estate tax.
That said, Fishbein adds, there are compelling reasons for having an estate plan, and three core documents you'll need to create one: a power of attorney, a living will or health care proxy, and a will. In this article, Fishbein describes these core documents and how you can use them.
Power of attorney
A power of attorney is the document designating someone to make financial decisions for you, whether you're out of the country for a long period, have a physical injury preventing you from conducting business in person, or are mentally incapacitated.
A power of attorney can be "springing" - going into effect upon your incapacity - or "durable," meaning it goes into effect immediately. The challenge with a springing power of attorney is it can be subject to disagreement and dispute between the holder of the power and another family member. One solution is to require the incapacity be certified by a physician, although even those findings can be disputed.
With the durable power of attorney, there's no basis for contesting whether the holder of the power can act. The risk is the holder has the immediate right and ability to access and take action with respect to the financial assets subject to the power. One possible strategy? Limit the power to specific assets. This won't help if the grantor if the power is totally incapacitated and the holder may need access to all of the grantor's assets.
A durable power of attorney is arguably less problematic, provided you are comfortable with the person you're choosing. The holder of the power has a legal obligation, as a fiduciary of the grantor, to act in the best interests of the grantor and not in his or her interests.
It makes sense to have a power of attorney so you know your financial affairs will be attended to. The alternative could be a costly judicial process and court appointment of someone to manage your assets while you are living and unable to do so yourself.
Living will and health care proxy
A "living will" ensures your health care wishes are acted upon if you are unable to make such decisions. It lets you describe the types of treatment you do or don't want under specific circumstances. For example, if you have a terminal illness, you may not want extraordinary measures taken to save your life. The challenge is it's almost impossible to anticipate all possible scenarios to indicate what health care treatment you'll want.
An alternative to a pure living will is a "living will and health care proxy," wherein you designate an individual to make health care choices for you. The living will portion describes in general terms your health care philosophy, and the health care proxy allows you to name an individual to make health care choices for you consistent with that philosophy. The choice of such an individual is important, and you should make sure you are comfortable he or she understands and will act consistent with your wishes.
You should have a living will drawn up as part of your basic estate planning. Again, the alternative is a costly legal process for someone - maybe not of your choice - to get appointed as your proxy to make health care decisions on your behalf.
Last will and testament
A "last will and testament" serves several important purposes, including determining how your assets are distributed, who'll care for your minor children and who'll invest and distribute property held in trust for your children, grandchildren or other beneficiaries. The basic function of a last will and testament is to ensure your assets are distributed as you'd want. Absent a will, your assets will be distributed in accordance with applicable state law.
You'll also designate the legal guardian, and possible successors, for any minor children who survive you and your spouse. This is one of the most important and difficult decisions for parents - so difficult that it sometimes can hold up the entire estate plan. But agreement by the parents is important and avoids the possibility of someone else being court-appointed who may or may not share your child-rearing views.
With the increase of the federal estate tax exemption and an individual's ability to use the exemption of a deceased spouse, trusts for federal estate tax planning have been made largely irrelevant for most individuals. However, if you have minor children who could take property if both you and your spouse die, or grandchildren who could take property if a child of yours dies and leaves children, you'll probably need trusts to hold property for those beneficiaries. Such trusts will enable you to determine who'll invest the trust property, how it'll be used for the child's benefit and at what age the beneficiary will receive the remaining property.
Think you don't have a large enough estate to warrant setting up trusts for your beneficiaries? Consider even the most basic estate when you own a house, have retirement assets and maybe additional investments or property. Given the total value of these assets, you'd probably want to hold them in trust for minor heirs. If there's life insurance, a trust for younger beneficiaries will almost certainly make sense.
Although federal estate tax is no longer a significant consideration for most individuals, you may want to consider the cost of state estate tax. The state exemption is sometimes less than the federal exemption, and state estate tax can take a meaningful bite out of what you expect to leave to your beneficiaries.
Prudential Financial, its affiliates, and its financial professionals do not render tax or legal advice. Please consult your tax and legal advisors for advice concerning your particular circumstances.
The Prudential Insurance Company of America, Newark, NJ and its affiliates.
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