Retailer Resources
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Retailer Responsibilities in HUD-Administered States
§ 3286.601 Purpose.
The purpose of this subpart G is to set out the requirements that apply to a retailer with respect to the federal installation requirements applicable to new manufactured homes that the retailer sells or leases and that will be installed in states that do not have qualifying installation programs. These requirements are in addition to other requirements that apply to retailers of manufactured homes pursuant to other parts of this chapter.
§ 3286.603 At or before sale.
(a) Before contract.
(1) The retailer is required to support each transportable section of a manufactured home that is temporarily or permanently located on a site used by a retailer in accordance with the manufacturer's instructions.
(2) Before a purchaser or lessee signs a contract of sale or lease for a manufactured home, the retailer must:
(i) Provide the purchaser or lessee with a copy of the consumer disclosure statement required in § 3286.7(b); and
(ii) Verify that the wind, thermal, and roof load zones of the home being purchased or leased are appropriate for the site where the purchaser or lessee plans to install the home for occupancy; and
(iii) If the cost of inspection of the home's installation is not included in the sales price of the home, provide the disclosure required in §3286.7(b).
(b) Occupancy site not known. When at the time of purchase the purchaser does not know the locale for the initial siting of the home for occupancy, the retailer must advise the purchaser that:
(1) The home was designed and constructed for specific wind, thermal, and roof load zones; and
(2) If the home is sited in a different zone, the home may not pass the required installation inspection because the home will have been installed in a manner that would take it out of compliance with the construction and safety standards in part 3280 of this chapter.
(c) Verification of installer license. When the retailer or manufacturer agrees to provide any set up in connection with the sale or lease of the home, the retailer or manufacturer must verify that the installer is licensed in accordance with these regulations.
§ 3286.605 After sale.
(a) Tracking installation information. The retailer is responsible for providing to HUD the information required pursuant to § 3286.113.
(b) Other tracking and compliance requirements. The retailer continues to be responsible for compliance with the tracking and compliance requirements set out in subpart F of part 3282 of this chapter, which are related to HUD construction and safety standards.
§ 3286.607 Recordkeeping.
The retailer is responsible for the reporting and recordkeeping requirements under §3286.113.
Manufactured Home Retailer Frequently Asked Questions (FAQs)
Find answers to common questions about HUD Manufactured Home regulations and requirements for retailers. You can find copies of the regulations on our resources page. Additionally, you can go on the Electronic Code of Federal Regulations website to see the regulations: https://www.ecfr.gov/current/title-24/subtitle-B/chapter-XX.
Sales Considerations
The sale of a manufactured home will not be considered complete until all services are complete that were agreed upon at the time the contract was entered into. For example, when a retailer is providing the installation and the installation causes safety hazards or takes the home out of compliance, and those issues are discovered during the installation of the home, the sale or lease of the home is not complete until the home is corrected. [3282.252(b)]
No. A retailer or distributor cannot sell, offer for sale, lease, or offer for lease a new home that knowingly contains a failure to conform to the standards. [3282.252(a)]
Retailers must contact the manufacturer, provide full information concerning the problem, and request appropriate action. This action may include manufacturer repair or authorization for you to
repair on a reimbursable basis. [3282.414(b)] You may not offer to sell or lease the home unit it meets the federal standards.
HUD does not prohibit the sale of used home without labels or the sale or lease of a used home that contains a failure to conform. However, state and local authorities having jurisdiction may impose terms, conditions, and requirements regarding the sale of used homes.
Consumer Complaints
In this situation, a retailer needs to refer the matter to the State Administrative Agency (SAA) where the home is located or to HUD if there is no SAA [3282.256(a)]. A list of SAAs with contact information is available on HUD’s website at https://www.hud.gov/program_offices/housing/mhs/csp/mhssaa.
General Questions
Retailer and distributor are integral in the supply chain for the manufactured housing industry and have a significant and integral responsibilities within the federal and state programs. Retailers and distributors need to be familiar with the entire set of program regulations with a focus on the regulatory responsibilities outlined in Subparts F and I of the Manufactured Home Procedural and Enforcement Regulations, Subparts A and G of the Manufactured
Home Installation Program Regulations, and Subparts A and B of the Dispute Resolution Program Regulations. Entities should also seek guidance for responsibilities of retailers and distributors under state law and state program requirements and understand that some states administer their own qualifying installation and/or
dispute resolution programs.
YES. Failure to comply with the Federal Regulations may result in civil and or criminal penalties, imposed by HUD or a Statebased agency. Assessed penalties are $1,100 per violation up to a maximum of $1,100,000 for related violations. Furthermore, any person other than an officer or employee of the Unites States, or a person exercising inspection functions under a State Plan, who knowingly and willfully fails to report a violation of the Federal
Regulations may be fined up to $1,100 or imprisoned for up to one year or both. [42 USC 5420, 3282.10]
Required Information and Disclosures
There are various pieces of information that must be forwarded or otherwise sent to home manufacturers. This information includes purchaser information, information regarding consumer complaints, and other information as may become known about the compliance and performance of manufactured homes on retailer lots.
YES. Retailers are responsible for providing installation instructions to the purchaser and/or installer of the manufactured home. [3286.103]
The Regulations require the manufacturer to put the consumer manual in a conspicuous location in the home to ensure that only the purchaser removes it. No retailer or distributor may interfere with the distribution of the consumer manual. The retailer shall take any appropriate steps to ensure the purchaser receives a consumer manual. [3282.207(d)]
YES. The Regulations require the manufacturer to place a notice in each home informing prospective purchasers and consumers about potential for formaldehyde emissions from the products used in the construction and assembly of the home. This
notice must be placed in a conspicuous location in the home to ensure that only the consumer removes it. No retailer or distributor may interfere with the availability of the consumer to view and obtain this notice. The retailer shall take any appropriate steps to ensure the purchaser receives this health notice. [3280.309(c)]
YES. Each consumer manual should contain three postagepaid homeowner information cards. The retailer is responsible to complete one of these cards at the time of sale with appropriate owner information and return it to the home manufacturer. If the homeowner card is not available, the retailer needs to obtain the information the card requires and forward the information to the home manufacturer. [3282.255]
Before selling a manufactured home, the retailer is required to provide certain information to the purchaser or lessee. This includes, but is not limited to providing consumer notices, a copy of a consumer disclosure statement required in 3286.7(b) and advising of specific wind, thermal and roof load zone loads, and consumer notices on dispute resolution. The information that a retailer provides varies depending on how much they know about the home’s final location and aspects included in the sale of a new manufactured home.
Prior to execution of the sales contract to purchase or agreement to lease a manufactured home, the retailer must provide the purchaser or lessee with a consumer disclosure. This disclosure must be in a document separate from the sales or lease agreement. A sample disclosure that can be used as a model can be found on our resources page.
Retailer Alterations
YES. Retailers must maintain complete records of all alterations and repairs conducted under its operations or under a service contract on new manufactured homes. [3282.414(b), 3282.254(c)]
YES. A retailer may correct or alter a home as long as the work does not create an imminent safety hazard or take the home out of conformance with the federal standards. [3282.254]. However, in order to avoid taking the home out of conformance, a retailer needs to receive manufacturer authorization, obtain applicable instructions, perform required testing, and maintain complete
records of the work (see definition of “alteration” in 3282.7.) The manufacturer alone is responsible to correct all failures to conform and imminent safety hazards on all homes not yet sold, regardless of the severity of the issue.
YES. Per 3288.5, at the time of signing a contract for sale or lease for a manufactured home, the retailer must provide the purchaser with a retailer notice. This notice may be in a separate document from the sales contract or may be incorporated clearly in a separate section on consumer dispute resolution information at the top of the sales contract. The notice must include the following language:
The U.S. Department of Housing and Urban Development (HUD) Manufactured Home Dispute Resolution Program is available to resolve disputes among manufacturers, retailers, or installers concerning defects in manufactured homes. Many states also have a consumer assistance or dispute resolution program. For additional information about these programs, see sections titled “Dispute Resolution Process” and “Additional Information—HUD Manufactured Home Dispute Resolution Program” in the Consumer Manual required to be provided to the purchaser. These programs are not warranty programs and do not replace any warranty program.
New homes, located in HUD dispute resolution states, are eligible so long as the unresolved issue was reported to the home manufacturer, retailer, installer, State Administrative Agency, or HUD during the one-year period beginning on the date of installation and a complete request for dispute resolution is received by HUD. If your home has an unresolved issue that was not reported to any party within the first year beginning on the date of installation, you should contact your state’s manufactured housing program or HUD to learn about other ways the issue may be resolved. Programs may vary in each state. Documentation
should be kept for all contact with disputed party(ies).
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