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Mobile Home Sales By Real Estate Licensees
By Jonathan H. Sargent, Esq.

Question: I am a licensed real estate broker who is interested in selling mobile homes. Are there any restrictions on my ability to sell mobile homes in the State of Colorado?
Short Answer:
Yes. The Colorado Division of Housing ("Division") requires any person who is engaged in the sale of mobile homes to register with the Division. However, Real Estate Brokerages may request an exemption from the registration requirement by contacting the Division and requesting an Exemption Letter. Once granted, the Exemption Letter exempts all REALTORS® in the Brokerage from the registration requirement.
Discussion:
There are two different entities whose rules regulate the sales of mobile homes in the State of Colorado: 1) the Colorado Real Estate Commission ("Commission"); and 2) the Colorado Division of Housing. Depending upon the nature of the transaction, it will be governed either solely by the rules of the Commission, or both by the rules of the Commission and the Division. At the outset, it is important to distinguish between the sale of a mobile home that has had its title purged from the records of the Department of Motor Vehicles and is permanently affixed to real property, as opposed to the sale of a mobile home that has not had its title purged and has not been affixed to real property. This distinction is imperative, as it will determine the licensing and registration requirements for the REALTOR® who is brokering the mobile home transaction.
Purged Title:
Where title to the mobile home has been purged and the unit has been permanently affixed to real property, the transaction will be regulated by real estate license law and the rules of the Colorado Real Estate Commission. The Colorado Real Estate Manual provides, "[w]hen engaging in the sale of mobile or manufactured homes, real estate brokers are subject to compliance with license law and the rules of the Real Estate Commission." Colorado Real Estate Manual, 14-14 (July 1, 2005). Additionally, the Colorado Division of Housing requires registration of persons who engage in the business of selling manufactured homes (mobile homes) in Colorado under the Colorado Consumer Protection Act. The relevant statutory provision dictates that "[a]ny person whose business involves the sale of manufactured homes shall be required to register with the division [of Housing] before engaging in the business of selling manufactured homes in Colorado." Colorado Revised Statute ("C.R.S.") § 24-32-3323(1) (2005).
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