Loans for Manufactured Housing
Loans for manufactured homes are available through a variety of programs from both conventional and government-backed options. Manufactured housing loans are very much similar to loans for “stick built” or homes originally built on site but there are some differences. Over the years, as engineering and design work improved, manufactured housing has been an increasingly popular, cost-effective option for housing. In many cases, it can be difficult to tell whether or not a property is a manufactured home just be looking at it.
A residence can be considered “real” or “personal” property. If a property is classified as real property and permanently attached real estate, conventional financing using guidelines established by both Fannie Mae and Freddie Mac. Government-backed loans using FHA, VA and USDA guidelines can also be used to finance a manufactured home. If the property is determined to be personal property, other types of financing must be used. Rates and terms for manufactured housing classified as real property will be more competitive compared to loans available for personal property. If the structure is still on its wheels and not permanently attached to a foundation, it’s considered personal property.
Eligible Properties Must:
Have been built after June 15, 1976
Permanently attached to an approved foundation with wheels removed
A minimum of 400-600 square feet of living space depending upon the loan program
Be at least considered a double-wide home at least 20 feet in width
Who Qualifies for a Manufactured Housing Loan?
Borrowers who qualify for a manufactured housing loan are approved in very much the same manner as with other types of properties. Lenders will verify income, assets and review a credit report and credit scores. Lending guidelines can vary based upon the loan program but borrowers can expect to provide:
Most recent pay check stubs covering a 30 day period
Last two years of W2 forms
Recent bank statements showing sufficient funds to close
If self-employed, the last two years of federal income tax returns
Additional documentation as requested
Frequently Asked Questions
- Are rates for manufactured homes higher than for other types of properties?
- What credit score do I need for a manufactured housing loan?
- What are the advantages of buying a manufactured home?
If the home is considered real property, rates will be competitive as with any other type of home. If personal property, rates will be higher.
Minimum credit scores typically follow standard lending guidelines and can vary by loan program and down payment amount.
Manufactured homes are typically less expensive per square foot compared to a site-built home.
the right loan for you.
online or with our loan specialist.
and carefully with our steamline process.