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Financing Your Manufactured Home: Things to Know
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Financing Your Manufactured Home: Things to Know

As an industry leader for 25 years, HomeQuest has multiple trusted lenders that they partner with on providing premier customer service to ensure a seamless financing and manufactured home buying experience. If purchasing a new or resale manufactured home is on your list of goals for 2023, here are a few things we recommend you know before completing a loan application.

Borrowers should have:

  • Sufficient cash to make the minimum required down payment.
  • Proof of income to make the loan payments and meet other living expenses.
  • A qualifying credit score and history.
  • A property where the manufactured home will be placed. This could be a rented lot in a manufactured home community – if the community and lease agreement meet FHA guidelines – or private property owned or leased by the borrower.

FHA requirements also include that the borrower must occupy the manufactured home as their primary residence. For loan approval, most lenders also require that a manufactured home:

  • Meet the Model Manufactured Home Installation Standards.
  • 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.

Manufactured home loan interest rates are fixed for the entire term of the loan, which is typically 20 years. Longer terms are available for loans covering a lot and multi-section manufactured home. When borrowing for a home that will be on a leased lot, HUD requires the lessor to provide the homeowner with an initial lease term of three years and advance written notice of at least 180 days if the lease is to be terminated. This is to protect homeowners in case the park is sold.

This is just a general overview of some of the requirements for financing a manufactured home. At HomeQuest, homebuying and lending specialists are always happy to answer any questions prospective buyers may have and help walk them through the process, or we recommend contacting Triad Financial Services or 21st Mortgage to start the process.

Founded in 1998, HomeQuest is one of the largest manufactured home retailers in the Western U.S. Originally established as J&H Home Sales, HomeQuest is an authorized dealer of new homes representing seven leading manufacturers, with more being added this year. The company also offers resale services for mobile and manufactured homes throughout the Western U.S.

For more information on how HomeQuest can help you purchase or sell a mobile or manufactured home, reach out to us at (866) 720-2207