Exploring the Financial Options Available for Your Manufactured Home Purchase

Posted: Mar 07, 2013
Author: 1st Choice Home Centers

A manufactured home is quickly becoming a more financially viable option for many Americans looking to save on a new home purchase.  Far removed from the past reality of run-down domiciles, these modern day built homes stand up to conventional homes in every way.  When you’re looking to actually take that step towards purchasing a manufactured home, there’s one big difference in regards to securing the financing, which you need to know about in order to make it all come together.

Down payments and mortgage terms are typically the same for manufactured homes and conventional homes, but the big difference is that you’ll need to plan on buying the land as well.  Because a manufactured home is built mostly in a shop, the land will be a separate purchase.  It makes sense to buy the land and home together, because if you don’t, then banks will typically finance the home under a personal property manufactured home loan, and usually at a higher interest rate than your standard mortgage.

It’s also important to note that FHA loans are available to manufactured home buyers, and they generally offer lower interest rates and possibly even lower down payments. Just keep in mind that they may take longer to process than your typical loan.

A well-built manufactured home will appreciate at the same rate as conventional homes around it, so after your finances are in place, be sure to contact a reputable home builder that will help you realize your dreams of home ownership.