Manufactured Housing Practice Test

What is the requirement for disbursing funds for an accessory in a manufactured/mobile home sale?

1. Funds for the accessory may be disbursed upon the receipt of an installation acceptance statement

2. Funds must be disbursed at the close of escrow

3. Funds may be withheld and paid directly to the dealer

4. Funds may only be disbursed after installation and a written statement from the dealer

The correct answer is: Funds may only be disbursed after installation and a written statement from the dealer

In the context of manufactured or mobile home sales, the requirement that funds may only be disbursed after installation and a written statement from the dealer is critical for ensuring that the accessory is properly installed and meets all necessary standards. This practice safeguards the buyer's investment, ensuring that they receive what they are paying for and that the accessory is functional and compliant with any relevant regulations. This requirement minimizes the risk associated with upfront payments, which could lead to disputes or issues if the accessory is not installed correctly or within a specified timeframe. By waiting for the installation confirmation and a written statement from the dealer, buyers can have greater confidence that they will receive the complete product as intended. Considering this requirement helps maintain accountability among dealers and contractors involved in the sale and installation of accessories for manufactured homes, ultimately fostering a more trustworthy business environment.