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What tax does a mobile home pay?

County property tax or the HCD in-lieu fee. Never both. Answer 5 questions and see your yearly number plus what's due at the sale.

When was the home first sold new?
How is it taxed now?

Tip: look at the decal number on the home. Starts with "A" = HCD in-lieu. Starts with "L" = county property tax (Santa Clara County Assessor).

$
$
County
Will you live in it?
Estimated tax per year
$0 /yr
$0
Homeowners' exemption$7,000 off assessed value, form BOE-266$0
Per monthYearly number ÷ 12$0
Use tax at transfer, up to$0
Tax in 5 yearsProp 13: assessed value up 2%/yr max$0
$0

Five rules that decide your bill

Sold new after 7/1/1980 = county property taxThose homes, and any home on a permanent foundation, are on the county roll. Older homes can stay on the HCD in-lieu fee as long as the fees are kept current.
Switching to property tax is one-wayAn owner on in-lieu can ask to move to the county roll. Once moved, you can never go back to the HCD fee.
In-lieu home sold = use tax at transferBuyer pays use tax to HCD when registering the transfer: city rate × the lower of the price or the NADA/Kelley Blue Book retail value (HCD RT 476.4). Homes on property tax don't owe it. Transfers between parents, children, grandparents and spouses are exempt.
Property-tax home sold = new assessmentThe assessor resets the value to your price, then sends a supplemental bill for the rest of the year. After that, Prop 13 caps the yearly increase at 2%.
No tax clearance, no title transferFor a home on county tax, HCD won't transfer title without a tax clearance certificate from the county Tax Collector. All tax owed gets paid first. In-lieu homes skip this and go straight to HCD.

Who to call

Ask Ken Watch 15-sec video

Email this tax estimate to yourself

Ken will reply with what to check on the title and tax status before you sign. No spam.

Or text: 408-666-2825

Next steps

  1. Get the decal number and serial number from the seller. Decal "A" or "L" tells you the tax system in 10 seconds.
  2. Ask the seller for the last tax bill or HCD renewal notice. Anything unpaid has to be cleared before title moves.
  3. Home on county tax? Have escrow order the tax clearance certificate early. It can hold up the HCD transfer.
  4. Moving in? File the Homeowners' Exemption (BOE-266) with the county assessor within 30 days of the supplemental notice.
  5. See the full monthly cost with space rent in T145, and check the loan side in T166.

Many people get this wrong: "Switch the old home to property tax so it's simpler." On a 1970s home the HCD in-lieu fee is often tens of dollars a year. Property tax on a $250,000 price is about $3,000. And you can't switch back. The one time switching can help: a seller who wants to spare the buyer the use tax. Run both numbers first.