Mobile Home Financing option for an Owner Occupant in Texas

5 Replies

I am closing next week on the purchase of a double wide in East Texas next week from HUD. It is a 2007 5 Bedroom/3 Bath and just needs some minor fix up. It is on a FHA approved foundation, however the lot is small and in a crappy neighborhood

It would bring a much higher price if it was on 2-5 acres in the country. The issue is that once it has been moved it will not be eligible for FHA financing anymore which is the way most buyers would want to purchase in this price range. What other avenues have any of y'all found for financing for these buyers ? Vast majority are not going to have 20% down to go to a local bank and I am not interested in financing the deal myself

I would leave it on the financeable foundation! That's pretty hard to find. 

You can literally get mobiles for free if you move them. Or for 10k in good shape. If you're buying land in the country and moving it any way- I'd look for another mobile and go that route. 

Financing options for mobiles is super tricky when not on foundation. Only a few smaller lenders will do it and the rates/terms are much shorter. You would need to move it to the country- and pay to have it put on a foundation to make it actually worth more. And again, if that's you're objective I'd do that as a separate project with a different mobile. 

Moving and setting up a home is much more expensive than most people think.  Make sure you look into every expense associated with the move.  They really add up fast.

I am subscribing to this topic because I have a rental (on a permanent foundation) which has been moved more a second time. So I am interested to see if there are any lenders that work with these homes.  

@Greg H.

Looking through the Texas Mobile Home registry, I see a lot of used mobiles financed by local banks and credit unions.  Probably based on the owner's existing relationships.  Green Tree Acceptance in Houston and Vanderbilt in Nashville seem to show up a lot, mostly for new but on some used transfers as well.

It's a market I keep looking for opportunities in but there are challenges for sure.

I'm a Real Estate agent, we are closing next week on a mobile home, hopefully, the contract was executed on July 29. I had multiple offers on this one, but the trick was the financing. For what I know most of this buyers are looking for owner financing or FHA. I had also cash offers but way below asking price, it is very difficult to financing, the home has to be retrofitted, and the buyer needs to pay an engineer's report, we had to switch lenders because the first lender even tough we got value with the FHA appraisal, lender decided it didn't worth the contracted price. We transferred the transaction to a local bank and we are scheduled to close on Thursday.

Roy & Sandra, were these homes moved a second time?  The GSEs have a general policy to not finance homes that have been moved a second time.