Can You Use a VA Loan to Buy a Manufactured Home?

2 minutes read

VA loans can be used to buy a manufactured home, but you may have to shop around for a willing lender. The VA has their own rules and guidelines, which include the ability to buy a manufactured home, but it’s up to the VA lender if they are comfortable with the purchase.

Looking for Current Mortgage Interest Rates? Click Here.

Keep reading to learn the VA’s guidelines to see if your manufactured home purchase will work.

THE MANUFACTURED HOME REQUIREMENTS

The VA has strict requirements regarding the manufactured home. They include:

  • The home must be permanently affixed to the ground (you cannot keep it mobile)
  • The home must be recognized as real property in the county and taxed as such
  • Meet the VA Minimum Property Requirements

The home must be safe, sanitary, and as large enough for your family to live comfortably. You can buy the mobile home itself if you already have land to put the home on or you can buy both the home and the land with the VA loan.

THE TERMS

The VA loan terms are slightly different for manufactured homes. Whereas you would normally get a 30-year loan on a home with a VA loan, you’ll get a shorter term with the VA loan. They include:

  • Single-wide manufactured home (with or without lot) – 20 years and 32 days
  • Double-wide manufactured home without a lot – 23 days and 32 days
  • Double-wide manufactured home with a lot – 25 years and 32 days
  • Loan just for the lot to put a manufactured home on that you already own – 15 years and 32 days

Click to See the Latest Mortgage Rates.

THE VA QUALIFYING REQUIREMENTS

The one thing the VA loan for manufactured homes has in common with VA loans for any other type of home is the borrower qualifications. At a minimum, you’ll need:

  • 620 credit score
  • Maximum 43% debt ratio
  • Stable income and employment
  • No recent bankruptcies or foreclosures
  • Enough disposable income for your area and family size

The problem you may run into is the high risk of default that manufactured homes pose. Manufactured homes tend to depreciate over time rather than appreciate. This puts the lender at risk for default. This is why many lenders don’t offer VA loans on manufactured homes.

If you want to buy a manufactured loan, you’ll need to shop around. You may have the best luck using a mortgage broker because they deal with a large number of lenders each with different programs.

Facebook Twitter LinkedIn Telegram Whatsapp Pocket

Related Posts:

VA loans offer veterans the chance to get a loan with no money down. It’s an easier way to buy a home. But what happens when you need to borrow a large sum of money? At what point does the loan become a jumbo loan? Compare Offers from Several Mortgage Lenders. The VA allows many different loan amounts throughout the country. However, it’s a uniform rule that any loan over $453,100 becomes a jumbo loan. What...
If you are a veteran with VA benefits, you may want to buy a condo with your VA loan. Condos are often great starter homes or homes for those that don’t have time for exterior maintenance or that don’t need a lot of space. Compare Offers from Several Mortgage Lenders. Can you use your VA loan benefit to buy a condo? Keep reading to find out more. THE VA APPROVAL The largest obstacle you’ll face when you w...
Buying a home that is in perfect condition and has the exact layout you desire is no easy task. In fact, some people find it near impossible. Rather than giving up or giving in to purchasing a home that you consider “just okay,” you can use the 203K loan program that enables you to have the money to purchase a home as well as make renovations to it. The funds are all tied into one loan and you are able to g...
If you can’t come up with a large down payment for a home, you may consider an FHA loan. Because you can qualify for a loan with just 3.5% down, it may be easier to buy the home of your dreams. The FHA makes it easier for first-time homebuyers as well as repeat buyers to buy a home. Looking for Current Mortgage Interest Rates? Click Here. Below we help you understand the down payment rules and how they apply ...
The USDA loan allows buyers in rural areas with low to moderate income to buy a home with no money down. While it sounds great, you can’t just go out and buy any home. The USDA wants lenders to make sure the home is safe, sound, and sanitary. At a minimum, the home must pass the USDA’s minimum property requirements. Get Matched with a Lender, Click Here. Keep reading to learn what a home must have in order ...
Have you ever thought of refinancing your home equity loan? It’s not a common practice, but it can definitely have some benefits. Because your home equity loan might change over time, you may want to reevaluate your situation to see if you should consider refinancing your home equity loan. Looking for Current Mortgage Interest Rates? Click Here. Keep reading to learn the top reasons you may want to think abou...