mortgage where you pay principal and interest for predetermined amount time i.e., 15 years, 20 or 30 years depending upon the term of the note.
Mobile Homes:
Mobile and manufactured homes present complexity in obtaining a mortgage loan because a mobile/manufactured home will potentially depreciate in value. This makes the underwriter’s job more difficult as there are more items to check off the list than there would be for a traditional home. The age of a mobile home is a key factor in a mobile home mortgage. Think depreciation on an auto rather than appreciation on your homestead. Mobile homes depreciate in value while houses will commonly go up in value. Loans for Mobile homes tend to have shorter terms than traditional more "permanent" structures. Another factor the underwriter will review is whether the home qualifies as real property and not as personal property. Personal property is viewed more in line with a vehicle loan and lenders will not provide home mortgage loans on vehicles. A borrower may instead get a loan on the property that a mobile home may be located on. How the home is titled will often determine a mortgage loan on manufactured housing. There are loan programs for mobile and manufactured home with Fannie Mae, Freddie Mac, FHA, VA, and USDA but they are available from a select number of lenders.
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