manufactured home loans
Modular Home FAQ’s
What are the oldest mobile homes you will finance? For land home loans we can technically finance any home as old as 1970, however the best programs are available for homes built after June 15th 1976. You should remember that the older the home, the more stringent the guidelines (the collateral is worth less to us) and you must still meet the minimum loan amounts (see below).
My singlewide has an addition to it. Will that increase the value? Can I still finance it? Singlewides with additional square footage added on, stick built roofs added, or modified structurally are not eligible for financing under any of our programs. Under our guidelines these modifications do not increase the value of the home, but rather decrease it as the home can no longer be compared with other standard mobile homes for appraisal purposes, nor can it be compared with a regular site built home.
Why don’t you allow cash out or debt consolidation loans for singlewides? Single wide homes are difficult properties to re-sell if a customer were to default on his/her loan. As far as we know, we are one of the few companies in the nation even willing to help customers lower their current rate and payment to as low as 6%. We must limit our risk and not add any additional money to the loan.
I own more than 5 acres with this house. Can I still get a loan? Yes! We are one of the few companies nationwide able to provide large acreage loans for mobile homes. There are some restrictions of note. The house must be worth at least 50% of the total deal according to the appraisal. Farm and agricultural use is allowed in some cases, but is not required. Minimum credit scores = 640. Good to Excellent credit only. Rates are competitive with current standard mortgage rates.
My credit is not the best. Can I use a co-signer on my loan? Yes you can, but the co-signer must reside in the house. Non-occupant co-signers are not allowed. Most of the time this ends up to where we use the other person as the borrower and leave you on the title to the house. One important note; if we use your income for the loan, we must use your credit also.
First, you must have been running your own business for at least 2 years. You must also be able to prove that you have had this business for that 2 year period. Proof includes 2 years business licenses, tax returns in the business name, professional license, etc.
Next, you must still be able to verify enough income to qualify for the loan. The most common scenario for small business owners is that they write off as much income as possible in order to pay the least amount of taxes. The catch 22 in this is that you end up looking like you don’t make enough to survive on and this won’t qualify you for a loan. We do not allow ‘stated income’ or ‘no income documentation’ for mobile home loans. See our Automated Underwriting System for other lender referrals on self employed borrowers.
How come most banks won’t finance mobile homes? The major reason for this is that the current default or foreclosure rate for mobile homes is far in excess for that of stick built homes or single family residences. With rates as low as they are and an abundance of customers, most banks have decided not to deal with the higher risk properties such as mobile homes.
- Singlewides: Minimum loan amount = $45,000.
- Doublewides: Minimum loan amount = $60,000.
- Modular Homes: Minimum loan amount = $70,000.