South Carolina has a process for restoring the title of a home to NEW after the title has been issued but the deal falls through.
Occasionally, a customer purchases a new manufactured home from a retailer but later changes their mind or decides to purchase a different home. This scenario can create significant challenges for the retailer if the South Carolina Department of Motor Vehicles (SCDMV) has already issued the title in the customer’s name.
In this situation, the home is now technically classified as “used,” even though it has never been occupied. This can create a variety of problems for the retailer, including:
- Difficulty reselling the home,
- A need to discount the price significantly, resulting in a loss, and
- Potential voiding of warranties typically associated with new homes.
To prevent these costly outcomes, the SCDMV offers a process to restore the home to its original “new” status. This procedure is called an “MCO/MSO Back Out” (referring to the Manufacturer’s Certificate or Statement of Origin).
Steps to Complete the “MCO/MSO Back Out” Process
Retail dealers must submit the following documents to the Specialized Titles and Registration Unit at the SCDMV:
- The original title received.
- Confirmation that any lien on the home has been released.
- A letter on dealer letterhead, signed by the General Manager, describing the home and explaining the reason for the request.
- A signed statement from the customer confirming they did not take possession of the home.
- A $15 title fee.
All required documents should be mailed to:
SCDMV Specialized Titles and Registration Unit
PO Box 1498
Blythewood, SC 29016-0039
What Happens Next?
If the request is approved, the SCDMV will issue a letter confirming that the customer has been removed from the title. The dealer can then request a duplicate Manufacturer’s Certificate of Origin (MCO) from the home’s manufacturer.
This streamlined process ensures retailers can return the home to its proper “new” classification, minimizing losses and preserving warranties.