SB-0425,As Passed Senate,May 14, 2003                                       

SUBSTITUTE FOR

SENATE BILL NO. 425

                                                                             A bill to amend 1987 PA 96, entitled                                              

"The mobile home commission act,"                                           

(MCL 125.2301 to 125.2349) by adding section 30i.                           

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

1   Sec. 30i.  (1) If a mobile home is affixed to real property                 

2   in which the owner of the mobile home has an ownership interest,            

3   the owner shall deliver both of the following to the department:            

4       (a) An affidavit of affixture on a form provided by the                     

5   department that contains all of the following:                              

6                                                                                (i) The name and address of the owner.                                              

7       (ii) A description of the mobile home that includes the name                 

8   of the manufacturer of the mobile home, the year of manufacture,            

9   the model, and the manufacturer's serial number or the number               

10  assigned by the department.                                                 

11      (iii) A statement that the mobile home is affixed to the real                

1   property.                                                                   

2       (iv) The legal description of the real property to which the                 

3   mobile home is affixed.                                                     

4       (v) The name of each holder of a security interest in the                   

5   mobile home, together with the written consent of each holder to            

6   the termination of the security interest and the cancellation of            

7   the certificate of title under subsection (2), if applicable.               

8       (b) The certificate of title for the mobile home or the                     

9   manufacturer's certificate of origin if a certificate of title              

10  has not been issued by the department.                                      

11      (2) When the department receives an affidavit and certificate               

12  of title under subsection (1), the department shall cancel the              

13  certificate of title for the mobile home.  The department shall             

14  not issue a certificate of title for a mobile home described in             

15  subsection (1) except as provided in subsection (8).                        

16      (3) The owner of the mobile home shall deliver a duplicate                  

17  original of the executed affidavit under subsection (1) to the              

18  register of deeds for the county in which the real property is              

19  located.  The register of deeds shall record the affidavit.                 

20      (4) The department shall maintain the affidavit under                       

21  subsection (1) for a period of 30 years from the date of filing.            

22      (5) When the department receives an affidavit under                         

23  subsection (1), the mobile home is considered to be part of the             

24  real property, sections 30 to 30h do not apply to that mobile               

25  home, any security interest in the mobile home is terminated, a             

26  lienholder shall perfect and enforce a new security interest or             

27  lien on the mobile home only in the manner provided by law for              

1   perfecting and enforcing a lien on real property, and the owner             

2   may convey the mobile home only as part of the real property to             

3   which it is affixed.                                                        

4       (6) If a mobile home is affixed to real property before the                 

5   effective date of the amendatory act that added this section, a             

6   person who is the holder of a lien or security interest in both             

7   the mobile home and the real property to which it is affixed on             

8   the effective date of the amendatory act that added this section            

9   may enforce its liens or security interests by accepting a deed             

10  in lieu of foreclosure or in the manner provided by law for                 

11  enforcing liens on the real property.                                       

12      (7) If the holder of a lien or security interest becomes the                

13  owner of a mobile home affixed to real property through the                 

14  process of real property foreclosure or through a deed in lieu of           

15  foreclosure under subsection (6), the holder shall submit an                

16  affidavit described in subsection (1) to the department after the           

17  redemption period for the foreclosure expires or the deed in lieu           

18  of foreclosure is recorded and the department shall cancel the              

19  certificate of title for the mobile home.                                   

20      (8) If an owner of both the mobile home and the real property               

21  described in subsection (1) intends to detach the mobile home               

22  from the real property, the owner shall do both of the                      

23  following:                                                                  

24      (a) Before detaching the mobile home, record an affidavit of                

25  detachment in the office of the register of deeds in the county             

26  in which the affidavit is recorded under subsection (3).                    

27      (b) Apply for a certificate of title for the mobile home on a               

1   form prescribed by the department.  The application shall include           

2   a duplicate original executed affidavit of detachment and proof             

3   that there are no security interests or liens on the mobile home            

4   or the written consent of each lienholder of record to the                  

5   detachment.                                                                 

6       (9) An owner of an affixed mobile home shall not detach it                  

7   from the real property before a certificate of title for the                

8   mobile home is issued by the department.  If a certificate of               

9   title is issued by the department, the mobile home is no longer             

10  considered part of the real property and sections 30 to 30h                 

11  apply.                                                                      

12      (10) As used in this section:                                               

13      (a) A mobile home is "affixed" to real property if it meets                 

14  all of the following:                                                       

15                                                                               (i) The wheels, towing hitches, or running gear is                                  

16  permanently removed.                                                        

17      (ii) It is attached to a foundation or other support system.                 

18      (b) "Ownership interest" means the fee simple interest in                   

19  real property or an interest as the lessee under a ground lease             

20  for the real property that has a term that continues for at least           

21  20 years after the recording of the affidavit under subsection              

22  (3).