Whether you buy a mobile home in suburbs or a coastal area, you will need to approach lenders and mobile home manufacturers. These dwellings have modules assembled in a factory, which are then moved to the site for the final assembly of the home. You can be the rented occupant or the property owner but these terms are familiar in mobile home financing.
Secured Lending Depends on Type of Dwelling
The traditional mortgages are given to homeowners based on the type of dwelling and other conditions. Some manufactured homes resemble the ranch style employed in a stick-built home. The traditional mortgages consider mobile homes under personal property.
Secured Financing and Credit Rating Determines Home Types
Sometimes it is easier to get mobile home loans for both double-wide and single-wide constructions. Secured financing through the mobile home manufacturers shall be considered depending on your bank policy. Banks are the financial institutions who will check your credentials to offer financing. A higher credit rating point would increase the chances of homeowners bagging the financing.
Mobile Home Loans Are Classified Under Two Categories
Builders wage on a real estate property, depending on how many projects are assigned on the specified property. Homeowners can get both mobile home and land together with a traditional mortgage having 30-year maturity period on approval. For chattel loans, categorized under personal property, the maturity period is up to 20 years and these loans are for the purchase of mobile homes that are not permanently affixed to a lot.
Lenders and the 15 Year Rule in Lending
Some lenders have a rule that will not allow refinancing of 15-year-old mobile home property. You need to check this also while considering financing options for your old mobile home. Getting this type of dwelling from an indigenous lender would differentiate maturity, and the down payment. Again that depends on the lender’s policy.
Lending Mortgages Based On the Location
The typical down payment that mobile home manufacturers seek is approximately 5 to 20 percent. The good thing with a mobile home is that you can approach a small mortgage company or a credit union for loans. Further, you might as well sign a no-obligation quote to avoid penalties from indigenous lenders. Mortgages are available even in a United States Department of Agriculture (USDA) governed coastal area.