Manufactured or mobile homes can be purchased with a slew of housing loans. These home loans can be sourced from lenders at different loan rates. These lenders will follow established practice and screen out the home loan applicant's credit history. Only then will the lenders make available the whole or partial loan amount to the loan-seeking party. It is essential for those seeking home loans for mobile homes to remember that these lenders enjoy FHA approval. In many cases, the loans these lenders forward to potential mobile home applicants are insured by the FHA against non-payment of dues. What this amounts to is strong FHA backing for these home loans. Hence, the lender is ensured against any loss if the borrower defaults. It is the FHA approved lender who explains the mortgage credit and income eligibility requirements that must be met to get a loan for a manufactured home.

Reality

It should be remembered that these loans for manufactured homes are based on prevailing market rates. They are definitely not low interest loans or Government loans but are fixed interest loans. Therefore, the party applying for the loan is not eligible for any special treatment by way of a discounted interest rate regime. In fact, the party applying for a loan has to be prepared to return the loan in regular monthly installments.

Features

The loan can be utilized for the purchase or refinancing of either the manufactured home or a developed lot on which the manufactured home can be placed or a combination deal involving both developed plot and the manufactured home. The loan dollar amount awarded for these manufactured homes is a steep 85% of the home cost. Further, these loans are awarded for long time spans covering 15 to 25 years.

Comply with safety standards

Manufactured homes are purchased through retailers or dealers. Further, these retailers are duly listed in the yellow pages of local telephone directories. It is these retailers who have the pertinent application forms and are knowledgeable about which manufactured homes comply with the National Manufactured Home Construction and Safety Standards.

Hence, those interested in manufactured homes should have monetary resources to pay the initial 5 percent of down payment. And they should be able to demonstrate their ability to make monthly installments. They should also be interested in the manufactured home as a principal residential facility. These are the qualifying criteria that have to be filled by the applicant seeking a loan for a manufactured home.