10-02-2024 5:47am

Mobile Home Park Act Educational Series Part 4 by Gary Perry

Chris Edwards Editor

2nd Life Media AlamogordoTownNews.org continues its educational series with part 4 of the Mobile Home Park Act discussion of the rental agreement and the written disclosures that are required by the MHPA to be included in the rental agreement.

In previous articles we have discussed the applicability, tenancy termination, and rules and regulations that apply to mobile home parks subject to the Mobile Home Park Act. (MHPA).

Today, we want to discuss the rental agreement. It is important that you understand your rental agreement because it is the contract between you and the park owner and management. If a dispute arises between the resident and the park owner/management the rental agreement is the primary document governing the relationship between the parties.

The MHPA requires nine (9) disclosures of terms in writing to be included in the rental agreement as specified in Section 47-10-14.
Section 47-10-14.

Rental agreement; disclosure of terms in writing.

A. The terms and conditions of a tenancy shall be adequately disclosed in writing in a rental agreement by the management to any prospective resident prior to the rental oroccupancy of a mobile home space or lot. The disclosures shall include:(1) the term of the tenancy, the amount of rent and the dollar amount of any rent increases for each of the two preceding two years;(2) the day the rent is due;(3) the day when unpaid rent shall be considered in default;(4) the rules and regulations of the park then in effect;(5) the zoning applicable to the property upon which the park is located;(6) the name and mailing address where a manager's decision may be appealed;(7) the name and mailing address of the owner of the park;(8) all charges to the tenant other than rent; and(9) A statement explaining the resident's right to request alternative dispute resolution of ANY disputes with the mobile home park owner or management, except for disputes over non-payment of rent or utility charges or in the case of public safety emergencies.

Looking at Section 47-10-14 in more detail.
First. Notice in "A" above that the terms of the rental agreement are to be disclosed to a "prospective resident prior to the rental or occupancy of a mobile home space or lot."

I have been told by some park residents that they were not given a copy of the rental agreement to review until they had actually signed a contract to rent a space or lot, or had situated their home on the space or lot they rented.

That is NOT in compliance with the MHPA. If you are a prospective resident you should request a copy of what your rental agreement will be, and the park owner/management is required by law (MHPA) to provide it to you for review prior to you committing to rent a space or lot.
Second. The rental contract must include the dollar amount of any rent increases for the previous two years. That information is important

Out-of-state investor groups are buying parks across New Mexico and making significant rent increases. This information can help you evaluate how stable rents have been or if you most likely can expect continuing increases and how much.

REMEMBER, THERE IS NO CURRENT LAW IN NEW MEXICO THAT LIMITS HOW MUCH A PARK OWNER CAN INCREASE YOUR LOT RENT!

Third. The rules and regulations are vitally important because if a dispute arises between the resident and park owner/management the rules and regulations section of your rental agreement may be the determining factor in the dispute. (For a review of what is an enforceable or unenforceable rule in a rental agreement, see my Article #3 Rules and Regulations that was previously published.)

Finally. Number nine (9) is your path to exercise your right as a resident to request mediation or arbitration (depending on how your rental agreement is written) to resolve ANY dispute that might arise between the resident and the park owner/management except for the three exceptions listed in number nine (9) above. Alternative dispute resolution does not prevent you from pursuing legal action through the courts, if necessary, but it does provide a path for both parties to make a good faith attempt to resolve issues without having to go to litigation.

And, "if" an agreement is reached it shall be filed with the court as a stipulation and if either party violates the stipulation, the other party may seek relief through the court; Section 47-10-17. (C) MHPA.
As you can read, the rental agreement is the primary governing document between the resident and the park owner/management. It contains the critical elements that you need to be aware of.

I'm not surprised by the stories I've been told regarding prospective residents not being given a copy to review prior to committing to renting a lot or space.

Some park owners and managers may not be including all of the MHPA required written disclosures in their rental agreements.

Unfortunately, many prospective residents may not be aware of the MHPA. Thus, they sign rental agreements that are not in compliance with the MHPA and/or potentially violate other applicable New Mexico laws.

If you are considering placing a new home, or buying an existing home, in a mobile home park subject to the MHPA, you should request a copy of the rental agreement to review, and management is required by law (MHPA) to provide you a copy to review.

If they refuse to provide a copy for your review, that should be your first RED FLAG that park management is not operating the park in compliance with applicable laws!

In our next article we will discuss some general provisions of the MHPA that you should at least be aware of, as well as some needed legislative changes to the MHPA to bring it up-to-date with current situations occurring in mobile home parks across New Mexico.

-Gary Perry