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Arizona Manufactured and Mobile Home License Bond
The State of Arizona requires individuals looking to work in the manufactured and mobile home industry as an installer, retailer (commonly referred to as a dealer), or manufacturer to be licensed through the Arizona Department of Housing (ADOH). As a requisite of the license, applicants must obtain a custom Manufactured and Mobile Home License Bond. The required bond type and limit will be based on the industry license being applied for and the scope of work performed.
Jet Insurance Company provides Manufactured and Mobile Home License Bonds to act as a financial guarantee for the benefit of Arizona consumers and the Department of Housing in cases where the licensee violates industry standards, fails to honor warranty agreements, or defaults on payments for licensing fees and/or other obligations to the ADOH.
APPLY FOR MANUFACTURED/MOBILE HOME BOND
If If you are looking to apply for or renew a manufactured and mobile home license with the ADOH, Jet can help you secure the required surety bond quickly and efficiently!
What Is the Price of a Manufactured and Mobile Home License Bond?
Jet is a direct surety provider, which allows us to offer affordable prices with no additional costs, such as middlemen commissions and fees.
Our rates are based on a small percentage of the bond limit and the personal credit score of the applicant. Higher bond limits such as the $25,000 Master Retailer Bond may require further financial and business information of the applicant. Below is our preferred tier pricing for various types of bonds.
| Bond Type | Bond Limit | Monthly | Annual |
|---|---|---|---|
| Installer of Homes | $1-5k | $10 | $100 |
| Retailers of Homes | $25k | $25 | $250 |
| Manufacturer of Homes | $10-100k | $10-100 | $100-1,500 |
We provide monthly, annual, as well as 2- and 3-year bond payment options. All are fantastic choices for licensees that must provide a bond to the ADOH and are looking for a smooth initial or renewal application experience.
Which Arizona Manufactured and Mobile Home License Bond Type Do I Need?
The Arizona Department of Housing determines the required type and limit of the bond, based on the license classification of the applicant.
The chart below identifies the ADOH’s various license bonds, their corresponding classification codes, and the lines of work that can be performed under each license type.
| Bond Type and Limit | Classification Code | Scope of Work Performed |
|---|---|---|
| Installer of Accessory Structures Attached to Manufactured Homes Bond- $1,000 | I-10D | Installs prefabricated accessory structure units. Constructs accessory structures onsite. Place concrete footings or slabs for accessory structures. |
| General Installer of Manufactured, Mobile, or Factory Built Homes Bond- $2,500 | I-10C | Installs manufactured homes, mobile homes, or residential, single-family factory-built buildings on foundation systems. Installs ground anchors and ties down manufactured homes or mobile homes. Connects water, sanitary waste, gas, and electrical systems of all amperages to the proper onsite utility terminals provided by others. Installs evaporative coolers and cooler systems on manufactured homes, mobile homes, or residential, single-family factory-built buildings. Installs roof jack to cooler ducts. Installs duct work. Performs work as indicated under manufacturer’s warranty for the unit. |
| Master Installer of Manufactured, Mobile, or Factory Built Homes Bond- $5,000 | I-10G | Performs work within the scopes of classes I-10D and I-10C. Installs evaporative cooling units and refrigeration air conditioning units. Subcontracts with properly licensed installers or contractors. |
| Retailer of Manufactured or Mobile Homes Bond- $25,000 | D-8 | Buy, sell or exchange new or used manufactured homes, mobile homes or accessory structures. Act as an agent for the sale or exchange of used manufactured homes, mobile homes, or accessory structures. Make alterations to new manufactured homes before a sale to a purchaser. |
| Retailer of Factory Built Buildings and FBB Subassemblies Bond- $25,000 | D-10 | Buys, sells, or exchanges new or used factory-built buildings and FBB subassemblies. Acts as an agent for the sale or exchange of new or used factory-built buildings and FBB subassemblies. Makes alterations to new factory-built buildings and FBB subassemblies before a sale to a purchaser. |
| Master Retailer Bond- $25,000 | D-12 | Performs work within the scope of classes D-8, D-8B, and D-10. D-8B is the code for the Broker license classification and does not require a bond by the ADOH. |
| Manufacturer of Factory-Built Buildings and FBB Subassemblies Bond- $10,000 | M-9A | Manufactures factory-built buildings and FBB subassemblies. Reconstructs factory-built buildings and FBB subassemblies. |
| Manufacturer of Manufactured Homes Bond- $65,000 | M-9C | Manufactures manufactured homes. Reconstructs manufactured homes. |
| Master Manufacturer Bond- $100,000 | M-9E | Performs work within the scope of classes M-9A and M-9C. |
It is important to note that a separate bond is required to be obtained by the licensee for each branch location of any licensed manufacturer or installer. For example, a manufacturer or installer branch location where business is transacted, and is separate from the licensee’s main place of business will require its own bond.
Individuals applying for a salesperson or broker license for manufactured homes, mobile homes, and/or factory-built buildings with the ADOH are not required to obtain a surety bond.
How Does the Application Process Work With Jet for the License Bond?
The Jet team works hard to constantly create a hassle-free bond application process. Each of the available Arizona Manufactured and Mobile Home License Bond applications will ask for some simple information such as the applicant’s industry license classification code, physical business address, and social security number. A soft credit check will be completed in minutes to provide you with a competitive rate and an opportunity to purchase (don't worry, this won't affect your credit). Once payment has been made, Jet will file your bond with the ADOH and send you a copy with a receipt for your records.
It is pertinent to note that the surety bond form must contain exactly the same license classification code and physical business address that appears on your ADOH license application. Incorrect completion of these forms is the most common reason for licensure delays and loss of application fees.
How Are Manufactured and Mobile Home License Bonds Filed in Arizona?
Choose Jet and allow us to file the bond for you! The signed and sealed Manufactured and Mobile Home License Bond is required to be filed with the Arizona Department of Housing. The bond must remain active and on file for the entire duration of the licensee performing installer, retailer/dealer, or manufacturer services.
Once you complete payment of the bond, the Jet team will file your bond with the ADOH right away. If you would like to file the bond yourself, our application process allows you to select that option during checkout. The signed bond form should be mailed to the address below:
Arizona Department of Housing
Manufactured Housing Division
1110 West Washington, Suite 280
Phoenix, Arizona 85007
If you are new to the manufactured and mobile home industry: installer, retailer/dealer, and manufacturer license application packets are available on the ADOH’s website and are required to be submitted to the address listed above. Applicants looking to renew their license can do so fully online through the ADOH license renewal webpage.
Can I Cancel My Arizona License Bond and Get a Refund?
You can cancel your bond with Jet at any time. Simply send Jet a written bond cancellation request, and we will take care of the rest for you!
Upon receiving such a request, Jet will send notice of the bond termination to the Arizona Department of Housing. The Director will then release liability of the bond within 30 days of the cancellation notification.
If you were making monthly payments for your bond, Jet will be required to charge for that 30-day cancellation period, as the bond remains active during this timeline. For those who made annual or multi-year bond payments, the Jet team will review your bond to determine if there is any premium available for reimbursement.
Do Manufactured and Mobile Home Bonds Need to Be Renewed In Arizona?
There is no need for renewal with Jet’s monthly payment option! Your payments will continue being paid from your preferred account until cancellation of the bond is requested.
For annual and multi-year payment bondholders, the Jet team will send you an invoice and payment reminder well in advance of the bond’s expiration date. No additional paperwork is needed, just provide payment and Jet will take care of the remaining bond obligations from there.
How Does a Licensee Avoid Claims on Their Bond?
Arizona Department of Housing licensed installers, retailers/dealers, and manufacturers of manufactured homes, mobile homes, factory-built buildings, and subassemblies are expected to follow all laws and regulations of their license pursuant to Arizona Revised Statutes Title 41, Chapter 37. Failure to do so could cause the ADOH to send the licensee a citation, and convene a hearing to address possible penalties: suspension of the individuals license, large fees, a complete revocation of the individual’s license, and/or a bond claim. Bond claims can be pursued by the Director of the ADOH and by a damaged party such as a consumer.
While the statutes are extensive when describing violations that can result in the penalties listed above, acts that are subject to a bond claim are quite vague. These include:
- Licensee failing to meet manufacturing or installation industry standards
- Licensee failing to satisfactorily perform a sales agreement, installation agreement, or perform repairs under the consumers warranty agreement
- Licensee failing to pay all licensing fees and/or other obligations to the Department of Housing
Per the license bond form, the bond may be sued upon in successive actions until the full amount has been exhausted. However, no claim can be filed by the damaged party beyond two years following the commission of the act from which the claim derives.
If a consumer concludes that they have been financially damaged due to the failure of the licensee, they may submit an official complaint to the ADOH. A review and investigation of the complaint will ensue. If the Director finds that the complaint is justified, they will recommend the claimant to either file a claim on the ADOH Consumer Recovery Fund (if applicable) or the licensee’s surety bond. ADOH may also inflict their own separate penalties against the licensee. It is in the best interest of the licensee to resolve the complaint before such actions are taken.
The Consumer Recovery Fund is for the benefit of consumers who have been damaged by the acts or omissions of licensed retailers/dealers of manufactured homes, mobile homes or factory-built buildings designed for residential use. If a claim is filed and rewarded through the fund to the damaged consumer, the ADOH will then file a claim directly on the licensee’s bond to cover the amount paid out of the fund. The ADOH also has a right to file a bond claim in cases of the licensee refusing to or being unable to pay all licensing necessary fees and other mandatory charges to the ADOH.
If a consumer resorts to civil action and the state court validates the claim, the licensee’s bond can be used to cover restitution for damages as well as a reasonable attorney’s fee fixed by the court’s judge.
What Happens if a Licensee Receives a Bond Claim?
Immediately contact Jet upon receiving the Arizona court-order or bond claim notification from the Department of Housing . The Jet team will brief you on how our claim process works and then will proceed with a review and investigation of the claim details, such as the hearing held by the court or the ADOH’s investigation and any other supporting documentation regarding the claim.
For claims that are found to be justified, Jet will make payment up to the full bond amount. The licensee is ultimately responsible for their actions and must pay back Jet for the paid out claim. Failure to do so will result in future difficulties obtaining surety bonds, including license bonds that are required of those who work in the Arizona manufactured housing and mobile home industry.
