70D-2-401 - Qualification of manufactured home or mobile home as improvement to real property -- Requirements -- Removal from property.
70D-2-401. Qualification of manufactured home or mobile home as improvementto real property -- Requirements -- Removal from property.
(1) Except as provided in this section, for purposes of this chapter, a manufactured homeor mobile home is considered personal property.
(2) Notwithstanding Subsection (1), for purposes of this chapter, if the requirements ofthis section are met, a manufactured home or mobile home is:
(a) considered to be an improvement to real property; and
(b) considered as real property.
(3) A manufactured home or mobile home is considered to be an improvement to realproperty if:
(a) the manufactured home or mobile home is permanently affixed to real property;
(b) the person seeking to have the manufactured home or mobile home considered to bean improvement to real property:
(i) owns the manufactured home or mobile home;
(ii) (A) owns the real property to which the manufactured home or mobile home ispermanently affixed; or
(B) leases the real property to which the manufactured home or mobile home ispermanently affixed and the real property is financed in accordance with Subsection (4); and
(iii) meets the requirements of Subsections (5) and (6); and
(c) in accordance with Subsection (7), the following are recorded by the county recorder:
(i) the affidavit of affixture described in Subsection (7); and
(ii) the receipt of surrender described in Subsection (7).
(4) For purposes of Subsection (3)(b)(ii)(B), a manufactured home or mobile home shallbe financed in accordance with the guidelines established by:
(a) the Federal Home Loan Mortgage Corporation;
(b) the Federal National Mortgage Association;
(c) the United States Department of Agriculture; or
(d) another entity that requires as part of the entity's financing program restrictions:
(i) on:
(A) ownership; and
(B) actions affecting title and possession; and
(ii) if the restrictions described in Subsection (4)(d)(i) are similar to restrictions imposedby one or more of the entities described in Subsections (4)(a) through (c).
(5) (a) An owner of a manufactured home or mobile home seeking to have themanufactured home or mobile home considered to be an improvement to real property andconsidered real property shall complete an affidavit of affixture.
(b) An affidavit of affixture described in Subsection (5)(a) shall contain:
(i) the vehicle identification numbers of the manufactured home or mobile home;
(ii) the legal description of the real property to which the manufactured home or mobilehome is permanently affixed;
(iii) a statement certified by the assessor of the county in which the manufactured homeor mobile home is located that the owner of the manufactured home or mobile home:
(A) is not required to pay personal property tax in this state on the manufactured home ormobile home; or
(B) if the manufactured home or mobile home is subject to personal property tax in this
state, has paid all current and prior year personal property taxes assessed on the manufacturedhome or mobile home;
(iv) a description of any security interests in the manufactured home or mobile home;and
(v) a receipt of surrender issued by the Motor Vehicle Division of the State TaxCommission in accordance with Subsection (6).
(6) (a) The Motor Vehicle Division of the State Tax Commission shall issue a receipt ofsurrender under Subsection (5)(b)(v) if an owner described in Subsection (5) surrenders to theMotor Vehicle Division the:
(i) manufacturer's original certificate of origin; or
(ii) title to the manufactured home or mobile home.
(b) After issuing the receipt of surrender in Subsection (6)(a), the Motor VehicleDivision shall maintain a permanent record of:
(i) the receipt of surrender; and
(ii) the certificate or title described in Subsection (6)(a)(ii).
(7) (a) An owner shall present to the county recorder:
(i) the affidavit of affixture described in Subsection (5); and
(ii) the receipt of surrender described in Subsection (6).
(b) A county recorder who receives an affidavit of affixture and receipt of surrenderdescribed in Subsection (7)(a) shall record the receipt of surrender and affidavit of affixture.
(c) An owner of property described in Subsection (5) shall provide a copy of the recordedaffidavit of affixture to:
(i) the Motor Vehicle Division of the Tax Commission; and
(ii) the assessor of the county in which the manufactured home or mobile home islocated.
(8) A lien on the manufactured home or mobile home that is considered to be animprovement to real property shall be perfected in the manner provided for the perfection of alien on real property.
(9) If a manufactured home or mobile home owner separates the manufactured home ormobile home from the real property, the owner may acquire a new title by submitting to theMotor Vehicle Division of the State Tax Commission:
(a) a recorded affidavit that the manufactured home or mobile home is removed from thereal property; and
(b) an application for a new title.
(10) The determination of whether a manufactured home or mobile home is consideredreal property or personal property under this section may not be considered in determiningwhether the manufactured home or mobile home is real property or personal property forpurposes of taxation under Title 59, Chapter 2, Property Tax Act.
Renumbered and Amended by Chapter 72, 2009 General Session