There are two methods of taxing manufactured homes:
Depreciation Method - This is the method that was originally used for all manufactured homes. The sale price of the home is reduced to either 80% for a furnished home or 95% for an unfurnished home. A depreciation allowance of 5% per year is then applied to the reduced sales price until a maximum depreciation allowance of 35% for furnished homes, or 50% for unfurnished homes is reached. This depreciated amount is then multiplied by 40% to create the assessed or "taxable" value. The assessed value is multiplied by the full tax rate to determine the amount of annual taxes that are billed semi-annually. Manufactured homes acquired prior to January 1, 2000, may either stay on this method or may elect to change to the new Appraisal method.
Appraisal Method – A manufactured home that is purchased after Jan. 1, 2000 will be taxed using the Appraisal method. In addition, owners of existing manufactured homes may elect to convert to this method.
Under this method manufactured home owners pay a manufactured home tax that is like real property tax. The values of these homes will be adjusted every three years to their estimated market values. The estimated market value of the home will be multiplied by 35% to create an assessed or "taxable" value for the property. This value is then multiplied by the effective tax rate to determine the amount of tax that will be billed semi-annually.
The manufactured home owners that are taxed using this method are also be entitled to a 10% rollback and a 2.5% reduction of the taxes billed semi-annually.
Converting to the Appraisal Method
Owners of manufactured homes acquired prior to January 1, 2000, may choose to convert to the appraisal method, however, you may only change once. To change, all taxes must be paid prior to the conversion and a form (available in the Auditor’s Office) must be completed. Transfers after Jan. 1, 2000 will automatically convert to the appraisal method. Contact the Auditor’s Office if you are interested in converting to the appraisal method.
Your County Auditor’s office can more fully explain these important changes to you and help you determine if a change to the Appraisal Method would be beneficial to you.
Converting to Real Estate
Certain manufactured home owners may be eligible to have their home taxed as real estate. To do so, the owners must meet a certain criteria. Generally speaking, the home must be affixed to a permanent foundation and the owner of the home must also own the land upon which the home sits. All taxes must be paid, and the title of the manufactured home must be inactivated and surrendered to the County Title Office. Contact the Auditor’s Office if you are interested in this method.
Transfer of Ownership - The County Auditor must transfer used manufactured homes that are sold after January 1, 2000. The sale is subject to a conveyance fee of $ 4.00 per $1,000 of the sale price. Once the conveyance is paid in the Auditor’s Office, the Clerk of Courts will transfer the title without charging sales tax.
Relocation Notice - This notice is required for any manufactured home that is moved on a public road within the state of Ohio. The notice must be attached to the rear of the home during the move. Failure to get this notice may result in a fine of $100.00 for the owner of the home and $100.00 to the person moving the home.
A Relocation Notice is available at the County Auditor’s Office for a charge of $5.00. All taxes must be paid on the home at the time the Relocation Notice is issued.
Penalty for Failure to Register a Manufactured Home - All owners of manufactured homes must register their homes with the County Auditor’s Office within 30 days after locating in Adams County. Failure to do so may result in a $100.00 fine.
Board of Revision - Homeowners taxed under the Appraisal Method may appeal the valuation of their manufactured home with the Board of Revision by filing a complaint between January 1 and March 31. Complaint Forms (DTE Form 1) are available in the County Auditor's Office.
Interest on Delinquent Taxes - Delinquent taxes on manufactured homes are subject to interest charges.