Assessment of Mobile Homes

In Tennessee mobile homes are assessed as real property, as an improvement to the land where that mobile home is located. This can be on property owned by the mobile home owner, or on a lot or pad in a mobile park where the owner is renting or leasing a space. Because a mobile home by definition is “moveable”, the possibility exists that it could be located in more than one jurisdiction during any given year. To prevent it from being assessed for taxes more than once, a mobile home is assessed in the county where it is physically located on January 1, no matter how long it remains on site after that date.

Mobile Home Parks

As stated earlier, mobile homes are listed as improvements to the land upon which they are located and are assessed and billed for taxes to the owner of that land. Prior to 1 March each year, the Assessor of Property furnishes each mobile home park owner in the county with a schedule to list all mobile homes located in their park as of 1 January. It is the duty of the mobile home park owner to correctly list each mobile home by make, model, size, original cost, etc. and return that schedule, along with certification of any military exemptions to the assessor’s office no later than 1 April. The Assessor uses the reported information to update the property records for the mobile home park. When property taxes for that year are billed, they will be based on the value of the land and all of the mobile homes in the park as of that 1 January assessment date. However, the mobile home owner is responsible for paying the taxes attributed to their mobile home. At the park owner’s discretion, this can be done in a lump sum or included in the monthly collection of any rents or dues.

Military Exemption

Mobile homes owned by non-resident active duty service personnel in Tennessee on military orders are considered “personal property” in accordance with the Soldiers’ and Sailors’ Civil Relief Act, and therefore are exempt from property taxation. This applies to a mobile home being used as a residence for its service member owner. Mobile home park owners must file exemption certificates for qualifying military personnel who own and reside in mobile homes in their parks as of the 1 January statutory date of assessment.

Frequently Asked Questions

Are mobile homes taxable property in Tennessee?

Yes, under Tennessee Law mobile homes are assessed as real property, as an improvement to the land where that mobile home is located. This can be on property owned by the mobile home owner, or on a lot or pad in a mobile park where the owner is renting or leasing a space. A key date to remember is January 1st, which is the statutory “date of assessment”. Because a mobile home by definition is “moveable”, the possibility exists that it could be located in more than one jurisdiction during any given year. To prevent it from being assessed for taxes more than once, a mobile home is assessed in the county where it is physically located on January 1st, no matter how long it remains on site after that date.

If a mobile home is located in a mobile home park, who is responsible for paying the taxes, the home owner or the park owner?

The mobile home owner. Because the mobile home is assessed as an improvement to their property, the mobile home park owner will receive a tax bill that includes the taxes for all mobile homes in their park. However, the mobile home owner is responsible for paying the taxes attributed to their mobile home. At the park owner’s discretion, this can be done in a lump sum or included in the monthly collection of any rents or dues.

Are active duty military personnel required to pay property taxes on their mobile homes?

Mobile homes owned by non-resident active duty service personnel in Tennessee on military orders are considered “personal property” in accordance with the Soldiers’ and Sailors’ Civil Relief Act, and therefore are exempt.

What responsibility does the owner of a Mobile Home Park have in reporting improvements (mobile homes) on their property?

Prior to 1 March each year, the Assessor of Property furnishes each mobile home park owner in the county with a schedule to list all mobile homes located in their park as of 1 January. It is the duty of the mobile home park owner to correctly list each mobile home by make, model, size, original cost, etc. and return that schedule, along with certification of any military exemptions to the assessor’s office no later than 1 April.

Why is the value listed in the assessor’s office different than what I paid for the mobile home?

While the purchase price can be one indicator of value for a particular mobile home, the amount paid does not necessarily equal the market value. Considerations such as repossessions, sale prices and discounts, family sales, and sales where land or furnishings are involved, often make the purchase price unreliable as the fair market value of a mobile home. The assessor’s office is responsible for equalizing values and making uniform assessments of all mobile homes in the jurisdiction. The values assigned for tax purposes are developed using uniform standards for quality, size and depreciation. If a mobile home is properly listed (age, size, etc.), the results will closely approximate the current market value, but more importantly for tax purposes, they will ensure a fair and equal assessment for every taxpayer who owns a similar mobile home.