Ways to Get a Doublewide Manufactured Home Financed & Sold

By
Real Estate Agent with MacMillan Real Estate

As many of you know, it is getting harder and harder to get financing on a mobile home. It is now at the point that the most likely way is with an FHA Insured Loan. Here are a few things to know and to look for before listing;

           

  1. If the home has been moved from it's original put-down site, it can not be financed with FHA.
  2. The home must be on a permanent foundation with the tie-downs secured to the footers. Not soil anchors.
  3. It is recommended that there be mortared concrete block perimeter walls.
  4. There must be Crawl Space doors in place.
  5. The Piers supporting the home are best mortared or wrapped.
  6. The footers must set below the Frost Line.
  7. There must be a HUD label on each section of the home. This states that the home was constructed under HUD guidelines.
  8. There must be at least a 4' x 4' pad or landing outside each entrance. This includes decking.
  9. Decks that are attached need vertical rail spindles that are spaced no more than 4" apart from each other on all sides.
  10. Stairs need handrail. Interior and exterior.
  11. The underwriting of the FHA loan will require an Appraisal that is at least the contract sale price of the home.
  12. Underwriting will require that the foundation home be inspected by a Structural Engineer. The report must stipulate that the home meets the FHA guidelines for a permanent foundation.
  13. Generally, the rest of the home should be above average in condition and that there is an operational heating system in place.
  14. In most cases, an FHA loan requires that the buyer put at least 3% down (97/3). This can include the monies used for Inspections, Appraisals & Engineers.

 

There can be more required. This should give you an idea of what to look for before you decide to list these types of homes. It can be a long and difficult road to get the financing in place and keep the Sellers and Buyers happy. Good luck!

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Rainmaker
1,308,054
Joe Manausa
Joe Manausa Real Estate - Tallahassee, FL
Tallahassee Real Estate
Great information Todd. Thanks for the post. Another good way to get them financed is to find a local investor who will make loans. It can be a great ROI for a Doctor/Lawyer/Professional who normally is too busy to be active in investing.
Sep 09, 2007 11:29 PM #1
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Jon Sigler
Keller Williams - Greater Hartford - South Windsor, CT
South Windsor Homes for Sale 860-306-8029

Here is a link to a section of the FHA website that covers what is most often required when buying a manufactured home with an FHA loan.

http://www.fha.gov/manufactured/index.cfm#4 

Here is another good link on them as well:

http://www.hud.gov/offices/hsg/sfh/ref/sfhp1-9a.cfm 

Sep 09, 2007 11:31 PM #2
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Jennifer Fivelsdal
JFIVE Home Realty LLC | 845-758-6842|162 Deer Run Rd Red Hook NY 12571 - Rhinebeck, NY
Mid Hudson Valley real estate connection
Thanks for sharing this information.  There are still consumers out there who are looking for this kind of financing and unfortunately many agents don't know where to send them.
Sep 09, 2007 11:42 PM #3
Rainmaker
417,264
Debbie Malone
Londeree's Real Estate & Property Management - Lynchburg, VA
From Lynchburg To The Lake (434) 546-0369
Excellent post Todd.....I had one sale fall through due to the FHA requirments, my client went on to purchase a stick built with less restrictions. Thanks for the info.
Sep 10, 2007 12:13 AM #4
Rainmaker
120,370
DDR Realty
DDR Realty - Newburgh, NY
Orange County NY
I agree it is becoming increasing more defficult to finance a mobile home. This information is excellent. Thank you for the post.
Sep 10, 2007 12:26 AM #5
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Brian Schulman
Coldwell Banker Residential Brokerage, Lancaster PA - Lancaster, PA
Lancaster County PA RealEstate Expert 717-951-5552
The last time I tried to get a used manufactured home on a rented lot financed, I discovered that almost all the finance companies that used to do these loans were either out of business, or extremely restricted on their loan criteria.
Sep 10, 2007 12:31 AM #6
Rainmaker
97,831
Sam White
College Station, TX
Integrated Marketing - Bryan College Station,
Great infomation. Thank you for posting.
Sep 10, 2007 12:57 AM #7
Anonymous
Tye Home owner
A great thread.  I'm trying to get my rental FHA approved and very little help out there that can tell me where to go.  I called Todd's office for more information and was greeted by some one that was willing to help.  Note I don't live in KY and they still helped.  What great office staff Todd!!!!  My rental is already afficted to the property but the skirting is green-board.  I have pulled the dirt away and getting ready to pour the footing.  With an engineer charging $750 every time they come out. I don't want to fall an inspection, that could get costly.
Sep 10, 2007 05:13 AM #8
Rainer
57,456
Todd MacMillan
MacMillan Real Estate - Georgetown, KY
ABR, GRI, SFR
Thank you all for your comments. I know this is not the be-all-end-all, but I hope it helps you get started on the right track.
Oct 08, 2007 11:50 PM #9
Rainer
287,326
Mark Montross
Catamount Realty Group - Burlington, VT
Listing and Buyer Specialist

Hello Todd, I am a new agent in Vermont and have listed my first double wide home. I have heard that the only way to get financing now on double wides is with 20% downpayment. Do you know anyone who will still do less than 20% down? Thank you, Mark

Mar 21, 2010 04:51 AM #10
Rainer
57,456
Todd MacMillan
MacMillan Real Estate - Georgetown, KY
ABR, GRI, SFR

Hi Mark,

There certainly are places that will still finance a (qualifying) doublewide. The guys I use around here cannot lend in your area. I have a asked a few to recommend someone in your area. I will see what I can come up with. In the meanwhile, find your closest manufacturer of these homes and ask their finance person.

Mar 21, 2010 09:56 PM #11
Anonymous
Dori
Hi, we have been approved through Vanderbilt for a land/home package of $50,000 in Eastern Ky. After reading their reviews, we would like to explore our options but are limited due to having a Chapter 7 bankruptcy discharged about 6 months ago that did not include any foreclosures but did include wage garnishments and a vehicle repossession. Are you aware of anyone else who could help us or are we likely stuck with Vanderbilt or waiting? Thanks
Apr 03, 2014 02:45 PM #12
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Todd MacMillan

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