The following Loan Program Information applies to all 50 states:
AL, AZ, AR, CA, CO, CT, DC, DE, FL, GA, ID, IL, IN, IA, KS, KY, LA, MA, MD, MI, MN, MS, MO,
MT, NE, NJ, NV, NH, NM, NY, NC, ND, OH, OK, OR, PA, RI, SC, SD, TN, TX, UT, VT, VA, WA, WV,
WI, WY.
I know this is a lot of reading, but it is worth it.
Beginning in 2002 changes in underwriting guidelines for Manufactured Homes on a permanent foundation caused many of the investors to refuse to make the loans. Limited Lending came about because investors, who's business it is to purchase manufactured home loans after they had been finalized, dropped out of the market. So, the lenders making the loans had no place to sell them on the Secondary Loan Market. Therefore they could not make the loans at all.
However, the most basic and useful loan programs still remain. New manufactured home loans are becoming available now. To meet the growing need for this type of financing, the government is working on the possibility of creating new loan programs for manufactured homes on permanent foundations.
Putting your home on a permanent foundation is not as difficult as you might think. It is only a 1 day process. It can be paid for out of the close of escrow proceeds. If you are purchasing the home, the seller usually pays the costs of getting his home "lendable". If you own the home already, you can have the work done a few days before the loan closes, and pay the installation costs from the loan proceeds. So, don't give up because your home is not presently on a permanent foundation.
Still, today, we have good loan sources for the average and good credit borrowers. Please call 877.943.8877 for information about your specific loan needs. If we can't place the loan for you, we can probably direct you to a company that can offer the loan you want.
If your Manufactured Home on a permanent foundation is owner occupied, more manufactured home loans exist for you. Most of these loans are for borrowers that can prove their income by their W-2s, pay stubs and tax returns. Self-Employed borrowers look at the Adjusted Gross Income figure for their income calculations. The homes have to be occupied by their owners, not rental properties.
We have manufactured home financing programs provided by the largest Investors in the United States. In addition, there are Sub-Prime Loans for existing Manufactured Home Purchases.
Some of the program guidelines follow. Please contact us directly at 877.943.8877 for additional loan programs that are specific for your State. The following programs are for homes built later than June 15, 1976:
1) You can borrow 90% of the value of your Manufactured Home, for the purpose of buying the home or obtaining a rate and term refinance. This is a 30 year fixed loan. Loans over 80% loan to value will also have the monthly cost of Mortgage Insurance in addition to the interest rate.
2) If you wish to take cash out of your home, you will be restricted to borrowing 65% of the value of your home, and the payment term will be 20 years at a fixed interest rate and fixed payment.
3) Generally the required middle credit score is 620 or above, but it may be lower if your loan amount, compared to value of your home, is low.
4) Homes need to be on land you own, not in a mobile home park, and the Manufactured Homes must be permanently affixed according to local City/County Building and Safety Departments. The County will have recorded a Certificate when your home was installed.
5) Another program will loan up to 70% of the value of your home with a 560 credit score. If the credit score is high enough, they will loan up to a maximum of 85% of the value of your home. The loan purpose can be a purchase, a refinance that improves your interest rate and loan terms, or it can be a refinance where you get cash from your equity. This loan is a 15 year fixed loan, it can be amortized over 30 years, but still due in 15 years.
6) Some general requirements for the Manufactured Homes on permanent foundations, are that the roofs be pitched, with an overhang, and have composition shingles (no metal roofs), and the perimeters of the foundations be concrete/masonry, not metal or wood. Some lenders will not accept wood or metal skirting either. It will be an issue with some lenders if the home is built on a dirt road. Also, the zoning must be residential. Please check with us about these specifics as they change with each lender.
Although the information given in this article is about obtaining a loan on a Manufactured Home on a permanent foundation, we offer National Lender loan programs for all types of homes. Our loans include programs for Mobile Homes in a Park too.
State Information Links and information:
State Information
Please read other financial articles on this web site regarding manufactured home financing. These articles give general information, not particular to one State.
Other Links on this site regarding manufactured Homes:
Permanent Foundations
Highest Loan to Value
Manufactured Home Move-Ons
Mobile Homes
