Planning to buy a mobile home? Well, a mobile home is a great option for the home buyers who can’t manage to make huge down payment, costly maintenance costs, property taxes and payments on your mortgage every month. If you have a poor credit rating, then you probably won’t be able to buy a traditional home. In such a case, you may look for private loan for purchasing your mobile home. So, if you want to buy mobile home, take out a mortgage and accomplish your dream.
Eligibility criteria to get a mortgage on a mobile home:
• The mortgage loans are secured by mobile homes and should be submitted to Loan Prospector.
• There is a minimum down payment of 5% in order to buy mobile home. The borrower will have to make from his personal account.
• If the transaction includes the trade equity from the present mobile home of the borrower, then you must fulfill the requirements of Guide Section H33.5 (d).
• If the borrower is the owner of the land where the mobile home is made, then the can be used as equity contribution in some condition.
4 Steps to Apply for a Mortgage on a Mobile Home
Check out 4 steps to apply for a mortgage on a mobile home.
• Get to know the rules and regulations – The manufactured home loans should fulfill local, state, regional, county and HUD building costs. Heating, plumbing, air conditioning and electrical are directed by HUD. On the other hand, durability, energy efficiency, transport ability, fire resistance and quality are set by local, state or regional, county governing agencies. While obtaining a mortgage for buying mobile home, you must know the rules and regulations of the place where you reside.
• Look for the right home – There are single-wide homes available that have living room of nearly 1,000 square feet. These are the common manufactured home loans that people usually look for. On the other hand, double-wides have living room of 1,600 square feet approximately. If you want, you may add up extra on your mobile home like built-ins, recessed tubs, fireplaces, hip roofs. However, this will increase the price of mobile home. See that you take out a mortgage for purchasing mobile home that you’ll be able to repay on time.
• Purchase old mobile home – When you decide to take out a mortgage for buying mobile home, make sure it is within your capacity. If you can’t afford to buy a new mobile home, you can also shop around for the used ones. According to the Home Buying Institute, there are certain special considerations that you must keep in mind when you purchase old mobile For example, if the mobile home is too old, then you may have to do aluminum wiring on it. You may have to do the entire wiring part of your mobile home once again.You should also see the framework and the plumbing of the mobile home. If you find any leak, then you should appoint a professional expert who will check the home completely before you may decide to buy it.
• Reduce the chance of losing value – As per the Mortgage Loan directory, a mobile home which is placed on permanent base has less chance to lose its worth. However, a mobile home which is placed on a leased property usually loses its value. There are certain situations when you may find it difficult to protect financing, particularly if you put your house on lease or give up a permanent base. For protecting long-term financing, it is advisable that you look for a mortgage that includes your house as well as your land.
The above-discussed steps will enable you to get a mortgage and purchase your mobile home.
This article has been contributed by Sam Stockdale.