Where to Find Manufactured Home Loans

By Sari R. Updated on 7/20/2017

There is a type of home loan that isn’t discussed very often but is nevertheless important to thousands of Americans across the country: manufactured home loans.

What Are Manufactured Home Loans?

Manufactured home loans let borrowers purchase manufactured (or mobile) homes. You can take out a loan for just the mobile home, or you can take out a loan for both the home and the land on which the manufactured home rests. 

It’s important to differentiate between manufactured homes, which refer to mobile homes, and modular homes, or homes built in a factory then transported to a different site.

Where Can I Find Funding for Manufactured Properties? 

Lenders are strict regarding financing manufactured properties since their value depreciates quickly. Many existing loan programs will let you buy a manufactured home, but you must find a lender willing to finance the mortgage. 

For example, if you want to buy a manufactured home and are a veteran, you can talk to a VA lender and they will help you or at least refer you to a willing lender. 

Here are some specific programs that will give you funding for manufactured properties:

• VA Manufactured Home Loans
• USDA Manufactured Home Loans
• HUD Manufactured Home Loans (FHA)

The Maximum Loan Amounts for Manufactured Home Loans

The maximum loan amount for a manufactured home loan depends on the loan program. For HUD manufactured home loans, the maximum for a home is $69, 678 and the maximum for a home lot is $23,226. However, if you buy a manufactured home and lot, the maximum is $92,904. 

For VA manufactured home loans, the maximum is the lesser amount of the following: the manufacturer’s invoice cost (adding or subtracting the cost of items to be removed by the dealer and the VA funding fee) or 95% of the property’s purchase price plus the VA funding fee. 

The maximum loan amount for a VA loan is determined by an appraisal. For USDA manufactured home loans, the maximum loan amount cannot be greater than the appraised fee plus 2% of the guarantee fee.

If you’re looking for a manufactured home loan, feel free to contact your VA, USDA, or HUD-backed lender. They will be able to help you figure out exactly how much you qualify for and will be able to help you be in your new manufactured home as soon as possible.