Is buying a mobile home better than renting?

In today’s blog post, we will answer the following question: Is buying a mobile home better than renting? We will discuss the pros and cons of buying a mobile home versus renting a traditional house. 

Is buying a mobile home better than renting?

Buying a mobile home is seen as a better option than renting a traditional house, and for good reasons:

  • You own the space and can customize it just the way you like;
  • In most cases, you will get more space for the same money;
  • You immediately get to be part of a community;
  • You can get a good financing deal on a mobile home and a mortgage is cheaper than renting an apartment or a traditional house;
  • Lower monthly costs, less maintenance and less financial risk. 

Is buying a mobile home better than renting financially speaking?

The value or price of a mobile home or a traditional home is slightly similar in some cases when we compare the value of a BRAND NEW Mobile Home with that of a house. 

The big difference between a traditional house and a trailer is the value that the property will have over time, in other words, the capital gain of the property. We can run a quick example to understand a little more about what will happen to your investment, whether you buy a house or buy a mobile home.

We can say that the value of a traditional house increases from $10,000.00 to $20,000.00 per year approximately or much more, whereas mobile homes tend to lose a value of $ 3,500.00 to $ 5,000.00 or more per year approximately, which means that the difference in money that could be gained or lost in the medium and long term is significant. That being said, the equity on your investment is on one side only when investing in a property.

As much as you do remodelling, or have the best mobile home location, it is difficult to make a good profit when you decide to sell it. If you want to have an asset that represents future stability for you and your family, consider not investing in a trailer.

In any decision to buy – let alone an investment – you have to weigh the pros and cons.

The advantages of buying a mobile home

Now let’s talk about the main advantages and disadvantages when embarking on the purchase of a mobile home.

  1. The 1st advantage of the purchase of a mobile home is the price. Obviously, when you compare the price of a mobile home and that of an apartment, there is no “picture”. The price of the mobile home is much lower and therefore it is more affordable.

You can sometimes buy it “cash”, which in real estate is uninteresting in most cases since having a bank loan allows you to have maximum leverage. In effect, you borrow from the bank and it is the tenant who repays.

With a mobile home, it can be seen differently because we are talking about consumer loans and not mortgage loans. The leverage is less good and it is worth buying with your cash when it allows. This will avoid having to force your rentals to repay the loan.

We can afford to take a little more time. However, paying a mobile home directly at 25 or 35,000 dollars is more feasible than paying for apartments or buildings. Do not forget that the price of the mobile home remains secondary to the clauses of the rental contracts.

  1.  Investing in a mobile home: no risk for rental demand. A second advantage regarding the purchase of a mobile home is the subletting. Indeed, if this is authorized (you will of course have checked beforehand), it is particularly positive because of the many activities put in place on the campsite.

The majority of tenants come to the campsite to have access to certain tranquillity but also and above all for access to structures. It is at this decisive point that it is quite easy to find tenants even in the offseason. You must of course check the functionality of the campsite throughout its opening period.

Finally, this amounts to saying that the mobile home must have the minimum amount of user equipment suitable for holidays (barbecue, covered and secure terrace, air conditioning, etc.). The campsite infrastructure ultimately has more impact on the choice future tenants will make than your mobile home itself.

Teens love the concept of lively camping and if teens love it, parents are coming back! This is great for seeing your tenants come back year after year. This is a strategy that should not be overlooked because tenants who book directly with you mean fewer commissions for the big rental sites and therefore more money for you.

  1. The sub-rental of a mobile home is easily managed. Unlike many leading questions that are asked to me on my mobile home investment help blog, the sub-rental of a mobile home is very easy to manage. You have to find your method and the person on site who will welcome your tenants and you’re done.

Often the campsite offers you to manage for you from A to Z. Obviously, this simplicity has a price: that of the loss of profitability! But many prefer to opt for this solution and be completely at ease.

A concierge can manage everything for you or you work with a micro-entrepreneur who will only do the inventory for you.

What are the disadvantages of buying a mobile home?

And now, let’s see the cons of buying a mobile home:

  1. You don’t rent all year: In the best case, the campsites are open 8 months out of 12. You will therefore have to make your profit during this period.
  1. Funding: For the financing plan, the banker will not be able to offer you in principle a mortgage but a consumer loan. Many mobile home buyers take out a car loan, for example. The financial conditions, especially the loan rate, are generally less attractive than with a mortgage.
  1. The lifespan of a mobile home is not that of an apartment. A mobile home will not last as long as an apartment. You have to integrate this notion and understand that you will never make a deal by reselling your mobile home. If you don’t agree with this notion, never buy a mobile home!

How much does a mobile home cost?

Mobile homes are available at all prices: from $ 1,000 to $ 50,000. It depends on whether you are aiming for a basic model or a luxury version.

There will also be a big price difference between a new mobile home and a used mobile home. The latter can be a good deal if you spend a little time there. For example, you can visit this site to find out more. Pay attention to the condition of the mobile home, especially the cladding, and its accommodation capacity.

To buy a mobile home, it is best to position yourself during the winter because, in the off-season, the prices will be a little lower.

But is investing in a mobile home profitable? Profitability of 10% can be achieved if you respect the recommendations given so far. You can aim for a monthly cash flow between $ 100 and $ 200 monthly.


When you want to invest, there is a solution for all budgets. As you have seen, the mobile home is an option that you can explore.

We see a double interest in buying a mobile home. The first is that it is a pleasure investment in the sense that you will be able to enjoy your mobile home (and share it with your tribe!). The second allows you to diversify your assets if you are already invested in other projects (traditional real estate and the stock market in particular).

What do you think? Would it be a good idea to invest in a mobile home? Do not hesitate to share your thoughts about this topic!

FAQ on Is buying a mobile home better than renting?

What does it take to buy a mobile home?

To buy a mobile home you must obtain a state-registered license plate or mobile home permit. You will have the valid registration on hand once you paid the established amount. We recommend obtaining the title to the mobile home in case you want to sell it later.

What are mobile homes?

Mobile homes are prefabricated homes that can be relocated without having to dismantle them, that is, you can move them from one place to another with the help of a trailer.

Is it good to buy a mobile home?

The advantage of investing in a mobile home is that you can buy for a relatively small amount compared to real estate in general. Indeed, it is possible to buy a second-hand model for $12,000, the price of a small car!

What is the difference between a bungalow and a mobile home?

The difference between a mobile home and a bungalow is the structure of the facades. The bungalow is in waterproof canvas while the mobile home is in insulated PVC panels.


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