Mobile Home Financing Options

Traditional mortgages may not always be the best solution when financing a mobile home. At Sound Home Loans, we offer various financing options to help you secure the right loan for your mobile home purchase. Here are some of the most common options for financing a mobile home, each tailored to meet your unique needs.

FHA Loans

The Federal Housing Administration (FHA) offers mobile home loans through Title I and II programs. These loans are ideal for buyers looking to finance a mobile home and, in many cases, the land.

Title I Loans: Title I loans can be used for purchasing a new or used manufactured home, refinancing an existing purchase, buying the lot for your home, or for home improvements and repairs. This option can also work if you place the house in a mobile home park or community. Loan amounts vary, and terms can go up to 25 years for specific projects.

Title II Loans: These loans can finance a qualifying manufactured home and the land it sits on. Title II loans come with low down payments (3.5%) and long-term financing options. However, they are only available for homes used as a primary residence.

Fannie Mae and Freddie Mac Loans

MH Advantage (Fannie Mae): This program offers affordable 30-year financing for qualifying manufactured homes with down payments as low as 3%. Homes must meet specific construction and design standards like traditional site-built homes.

Choice Home (Freddie Mac): If your manufactured home meets the same standards as a site-built home, you may qualify for the Choice Home program, which also offers low down payments and flexible terms for financing.

VA Loans

If you are a military service member or veteran, you may qualify for a VA loan to purchase a manufactured or modular home. VA loans offer up to 100% financing with no down payment for eligible borrowers. These loans are available for single- and double-wide homes and offer competitive interest rates and terms.

Chattel Loans

A Chattel loan is a private property loan used to finance mobile homes not secured by land. These loans are typically faster to close and less restrictive than traditional mortgages, but they come with higher interest rates and shorter loan terms. Chattel loans are available through FHA, VA, and USDA programs, and they are perfect for financing a mobile home when you do not own the land.

Personal Loans

For those seeking an alternative to traditional mortgages, personal loans offer flexibility without the need for collateral. These loans can be used for mobile home purchases, often with quicker approval processes and lower fees. However, interest rates on personal loans tend to be higher than those of mortgages or chattel loans.

How Sound Home Loans Can Help

We understand that financing a mobile home can be complex at Sound Home Loans, so we are here to help. Whether considering an FHA loan, a VA loan, or another financing option, our team can guide you through the process and help you find the best solution for your needs. We offer competitive rates, personalized service, and various loan options to ensure you can secure the financing you need to make your mobile home purchase a reality.

Contact us today to explore your mobile home financing options and learn how we can help you get started on your homeownership journey!