VA Manufactured Home Loans

Manufactured home and mobile homes are one and the same, although today’s manufactured homes often look more modern than the traditional single- or double-wide trailers many people imagine.

Manufactured homes are fully built in factories and must meet building codes set by the U.S. Department of Housing and Urban Development (HUD). These homes have a permanent steel chassis, axles, and wheels, on which they’re typically towed to the home site.

Manufactured homes will have a metal identification plate on the outside of the structure. You might hear this called a “HUD tag” or a “red tag.”

They also have a “data plate” inside the home, often on the wall of a bedroom closet or inside a kitchen cabinet. The data plate is basically a sticker with information about the home and its specifications.

Whether it’s brand new or existing, manufactured homes typically need to be affixed to a permanent foundation and classified as real property in order to be eligible for a 30-year VA loan. They’ll also need to substantially conform with the VA’s Minimum Property Requirements.

VA modular and manufactured home loans are a special type of home loan, and they therefore have special rules and regulations. Although the Mortgage Expert assigned to your loan application can give you more specific details regarding your unique case, here are some things you should know about VA modular and manufactured home loans.

• VA modular and manufactured home loans are funded by the private lender but are guaranteed by VA.
• A VA modular and manufactured home loan can cover 100% of the loan. This means you may be able to obtain your home with $0 down payment.
• VA manufactured and modular home loans do require a VA funding fee. The VA funding fee is used to help defray the costs of the VA Home Loan program. A disabled veteran may have their VA funding fee waived.
• Like other loans, the borrower must have satisfactory credit and the ability to repay (stable income, acceptable debt to income, etc).  VA loan borrowers should have a 640 minimum credit score; however, if your score is below this threshold, however, you may still qualify for a FHA Manufactured Home Loan.
• Veterans who have had a foreclosure or bankruptcy must wait two years from the finalization date to qualify for a VA modular or manufactured home loan.
• In some cases, the seller will pay the closing costs, as much as 4% of the contract sales price.
• To qualify, the modular or manufactured home must meet HUD and local codes.
• The home appraiser is selected independently by the VA, meaning the lender has little or no control over the appraisal process.
• The veteran must certify that he or she will be personally occupying the property as a primary residence.

These are some of the main facts about VA manufactured home loans but you can also learn more in the VA lenders handbook.

Fidelity Home Group has experienced mortgage experts who are experts in the field of VA Manufactured and Modular Construction Loans. We offer top tier technology, competitive interest rates, and a commitment to help you achieve your dream of homeownership. We can be contacted several ways to help answer any questions you may have:

Call us at toll free at 888 259 2257
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Text us at 407 955 4575