If you are like most homebuyers,
you will require a loan or mortgage to finance
your new home. The retail sales center where you
buy your home can provide information on financing
and assist you in submitting an application for a
loan. You also have the option of shopping for
your own financing.
Most lenders require a minimum
down payment of 5 to 10 percent and will have loan
terms ranging from 15 to 30 years.
Another growing trend for
homebuyers is to finance their home and land
together as real property using conventional
mortgage financing obtained through a traditional
mortgage lender. Fannie Mae and Freddie Mac, the
primary secondary market sources for mortgage
loans in the U.S., encourage this trend through
their guidelines for accepting real estate
mortgage loans for 20-and 30-year terms secured by
FHA-insured and Department of
Veterans Affairs-guaranteed, called FHA and VA,
loans are available to manufactured home buyers.
These types of loans may offer lower interest
rates or lower down payment requirements if
available in your area. They require more
paperwork during the credit application and
approval process and, therefore, may take longer
for approval than a conventional loan.
Ask your retailer for more
information on the financing options available to