Florida Single Wides loans are getting tough

Mortgage and Lending with Competitive Insurance of Dundee

FHA has no problem insuring single wide manufactured homes.  The problem is that the FHA lenders, as of the writing of this blog, will not touch them.  Even with the FHA insurance, the lenders won't touch them.  Very few non-FHA lenders will touch them either.  My list of single wide lenders is down to about 4 now!

My best guess is that historically, people that purchase single wides are less well off and more suseptible to financial peril the the rest of the home buyers.  Secondly, the single wide manufactured homes probably depreciate more than block homes and double wides.  This makes it easier for the borrower to get "up-side-down" and more apt to walk away from a bad investment.  Finally, if a lender is taking back, through foreclosure, a vastly higher percentage of single wides, it is simple math.

If a buyer can put a good chunk down, to protect the lender from depreciation and to give the borrower "something to lose," there are some ways out.  Right now, in Florida, we need at least 20% down.  And I cannot help people in other states, sorry.

Double wides?  All day long!  They are easy to go FHA with a 3.5% down payment and some closing costs.     


We currently own a palm harbor DW and it is in excellent shape with 1.76 acres, the home has been inspected and approved to be converted to realestate . We have our home for sale and have a buyer who wrote a contract on my home and was approved for the loan BUT>>>> her lender wont turn loose of the loan until my DW title has been changed to realestate well my lender for the DW wont turn loose of the title until its paid for , we cant get it paid off until we sell it, cant sell it until it has been converted.So buyer breware of buying any DW unless u plan to live your live out there or can pay cash for it and make certain the title is drawed up properly. any suggestions or Ideas please respond or email me back.

Jun 18, 2009 10:03 AM
Randall Schrader
Competitive Insurance of Dundee - Dundee, FL

You do not need the title to convert to real property.  Just go to your county's property appraiser's office and ask them what you need to convert your home and land to real property.  It's simply a difference between paying land taxes and maintaining a vehicle sticker or paying REAL property taxes on the package, with an RP sticker.

Who has a lien is irrelevant.

Jun 19, 2009 04:32 AM