Manufactured Home With Land Equity Loan?

Question

Hi, BP!

I'm wondering if a HELOC or Home Equity Loan is possible for a manufactured home (in-laws). It's not "mobile," has a walled foundation. It sits on about 20A of "Designated forest" land (via the county site).

The original mortgage was $110k, and they own about $20k.

I've read how either type of equity loan on a manufactured home can be very difficult, even with other investors. Someone, on a different thread, suggested making a note, and selling the note to an investor, but not sure how to structure that note..?

Anyone know if the above property could get an equity loan, either on the house, or the house+land?

Eddie Starr · Answer

@Brent Coombs: They originally owed $110K. They have $20k left, so have paid off about $90k. The family owns the whole thing.

@Reid Hanley: That is what the county site has it listed as. The family's referred to it as timberland, and I know that a while back, they sold off some lumber to a lumber company. They've added a small "apartment" out back, a workshop, and a barn+chicken coop. They also, 2 or 3 years ago, added a new home office. It's very rural, up in the mountains, almost an hour away from the suburbs.

They've mentioned looking at possibly doing some things, and from the original lender, it sounds like they'd only lend based on the land, and possibly the timber.

So, I wanted to reach out to BP, and see if anyone had some suggestions.

Anyone familiar with any of these:

https://www.aprfinder.com/home-equity-loan-options...

https://www.bdnationwidemortgage.com/mobile-home-e...

https://www.lendinguniverse.com/borrowersmobilehom...

Again, thanks for the feedback!

Reid Hanley · Answer

By Designated Forrest land does that mean it can't be improved or developed further?  Regardless, if they originally borrowed $110K on it, someone saw that much value it in.  I would go back to that source first.  If they won't lend again I would try every smaller regional and local bank in the area.  They are able to make local lending decisions and often see the value in a property that big banks won't.

Brent Coombs · Answer

@Eddie Starr, do you mean: "they owe about $20k"? (And do they then own the land too?)

ie. What does the land appraise at now?

[I doubt the mobile home will have much bearing on the valuation, but, I could be wrong].

So, why not ask some Lenders? Community Credit Unions? Local Banks? Good luck...