FHA  loans for Manufactured, Modular, Mobile homes.

Many call it different names, but no matter if you call it a factory built home, a mobile, manufactured, modular home, or a prefabricated home; smart home buyers know that manufactured homes offer comparable quality, lower costs per square foot and dramatically quicker build out times than a traditional stick or block built homes.

FHA Mobile Home Lending Guidelines

The Department of Housing and Urban Development (HUD) sets forth these FHA guidelines for determining if a mobile or manufactured home qualifies for an FHA mortgage loan:

• The home must be taxed as real estate by the local tax assessor's office.
• The mobile or manufactured home must be constructed in accordance with the Federal Manufactured Home Construction and Safety Standards. A red tag is attached to the rear of each section of homes that comply with the standards.
• The mobile or manufactured home must have been built after June 15, 1976.
• The mortgage must have a term of at least 30 years from when amortization begins.
• The mobile home or manufactured home must be on a permanent foundation.
• The axles and tongue must be removed from the mobile or manufactured home.
• The mobile home or manufactured home must have adequate skirting and insulation, and the crawl space must have adequate ventilation.

If you would like to determine if your mobile or manufactured home meets the guidelines for section 184 financing from FHA. We would be glad to help you determine if the property that you are interested in can be used as collateral for an FHA mobile home mortgage.

Have Questions? Fill out a Quick Response form or (Apply Now).

FHA loan Financing For Manufactured & Mobile Homes

Under the FHA loan program, FHA mortgage lenders like us provide FHA loans to eligible borrowers to finance the purchase or refinance FHA approved manufactured home and/or land and lot. FHA loans for manufactured and mobile homes insure the private FHA mortgage lenders against loss if the borrower defaults. FHA loan approvals are granted based upon the applicant's willingness and ability to repay the FHA loan in regular monthly payments.

FHA does not lend money, they only insure the loans made by private FHA Lenders like us making it easier and less expensive for loan applicants to purchase or refinance manufactured homes. The FHA title 1 manufactured home loan is not a Federal Government loans or grant. The FHA interest rate is not set by FHA and under FHA guidelines is fixed for the entire term of the FHA loan, which is generally up to 30 years.

Purpose of the FHA Manufactured home Loan

The FHA loan may be used for the purchase or refinance of a manufactured or Mobile home, a developed lot on which to place a manufactured home, or a manufactured home and lot in combination. The manufactured home or mobile home must be used as the principal residence of the borrower.

An Eligible Manufactured Home Must:

• Meet the Model Manufactured Home Installation Standards.
• Must carry a one-year manufacturer's warranty if the unit is new
• Be installed on a homesite that meets established local standards for site suitability and has adequate water supply and sewage disposal facilities available.

Eligible Borrowers Must:

• Have sufficient funds to make the minimum required down payment
• Be able to demonstrate that they have adequate income to make the monthly FHA loan payments on the loan and meet their other expenses.
• Intend to occupy the manufactured home as their principal residence.
• Have a suitable site on which to place the manufactured home. The home may be placed on a rental site in manufactured home park, provided the park and lease agreement meet FHA guidelines. The manufactured home may be situated on an individual homesite owned or leased by the borrower.

The proceeds of a Title I manufactured home loan may not be used to finance furniture (for example, beds, chairs, sofas, lamps, rugs, etc.). However, built-in appliances and equipment and wall-to-wall carpeting are eligible for financing.

 Have Questions? Fill out a Quick Response form or (Apply Now)