8 Best Mobile Home Loans

Best mobile home loan main takeaways

• Mobile homes are more affordable than traditional homes but still require some form of financing.

• Many mortgage companies exclude mobile homes unless they are attached to a permanent foundation.

• Depending on the purchase price, you may be offered a mortgage or a personal loan.

• Most lenders require a minimum credit score of 600 or more.

• Mobile home financing usually has specific requirements, such as square feet, being fixed to a foundation, and age and condition guidelines.

• 21st Mortgage Corporation, Amerisave and Caliber home loans are among Money’s picks for best mobile home lenders.

We looked at some of the best mortgage lenders and researched their loan offerings to determine the top mobile home lenders in the country.

Our top picks for best mobile home loans

The companies listed below are in alphabetical order.

• 21st Mortgage Corporation: Best for mobile homes within a community or park
• eLEND: Best for first-time buyers
• Guild Mortgage: Best for low down payment options
• ManufacturedHome.Loan: Best for high loan amounts
• Manufactured Nationwide: Best for low credit scores
• PenFed Credit Union: Best for high personal loan limits
• USDA: Best for rural areas
• Vanderbilt Mortgage and Finance: Best for a variety of loan options

Best mobile home loan reviews

Why we chose it: 21st Mortgage Corporation (NMLS #2280) stands out as a company that will finance both new and used mobile and manufactured homes on leased land. Loans are available to borrowers in every U.S. state except Alaska, Hawaii, Massachusetts, and Rhode Island. It's one of the few lenders that offers park model loans, but it only offers those loans in 43 states.

21st Mortgage Corporation doesn't require a minimum credit score, and down payments typically range between 5% and 35%, depending on your credit score, collateral and property type. A 20% down payment is required for investment properties (that goes up to 35% for borrowers whose credit score is below 575). Borrowers with no credit score or a score below 575 need to put 35% down. This down payment can come in the form of land equity, trade-in, cash or any combination of the three.

Although 21st Mortgage Corporation doesn’t have a maximum debt-to-income ratio (DTI), if yours is above 43%, you may be required to provide additional documentation. Minimum loan amounts are $16,00 for mobile homes purchased through a dealer or retailer and $25,000 for refinanced properties or those purchased from an individual.

Borrowers can apply online, and the process takes approximately four to six weeks for home-only loans. If land is included in the loan, the processing time may take six to eight weeks.

Why we chose it: eLEND (NMLS #2826) provides loans for new homes, first homes, multi-family homes, investment properties and vacation homes. It's a good option for first-time borrowers because the down payment requirements are low and the company educates borrowers about loans. eLEND also offers down payment assistance for those who need it.

eLEND provides financing through the U.S. Department of Housing and Urban Development (HUD), specifically the FHA’s mobile home loan program, offering fixed interest rates and competitive pricing. The property must be at least 400 square feet, built after June 15, 1976, have a permanent foundation, and can’t be located in a mobile home park.

The loan must also cover the land purchase. If you’re buying a home that will sit on leased land, you’ll need to take out an eLEND personal property loan instead. Credit score requirements will depend on location and property type, so you’ll need to contact a loan consultant for more information.

Why we chose it: We like Guild Mortgage (NMLS #3274) for its e-closing options, seamless application process, and wide variety of loans with low down payment requirements designed specifically for manufactured homes.

Loan options include FHA, conventional, VA, USDA, FNMA MH Advantage and FHLMC CHOICEHome, all made for the manufactured home market. Depending on the loan type, you can qualify with a credit score as low as 540. Down payments range as low as 0% to 5%. All loans have a fixed interest rate, which means payments won’t change from month to month.

Guild’s loans are available for single, double, and triple-wide properties. However, there are some standard qualifying requirements. The home must have been built after June 15, 1976, and transported to the home site directly from the manufacturer.

Guild Mortgage works with over 500 down payment assistance programs to support first-time homebuyers with little savings. However, this assistance isn’t available in all 50 U.S. states.

Why we chose it: A licensed nationwide mortgage broker, ManufacturedHome.Loan (NMLS #1905879) works with eLEND to offer loan variety and competitive terms to borrowers.

ManufacturedHome.Loan specializes in personal property/chattel loans for homes located on leased land or within mobile and manufactured home parks, something not every lender will do. It will also finance the purchase of a vacation home on leased land.

You can also take out FHA, VA, conventional and one-time close manufactured home loans through eLEND (see review above).

ManufacturedHome.Loan doesn't post interest rates, so you'll need to speak to a representative or fill out an application to request more information. Compared to the other sites we studied, the company's website is less user-friendly.

Why we chose it: Manufactured Nationwide (NMLS #411500) offers several loan options that provide up to 100% financing for a manufactured home on a fixed foundation, with no mortgage insurance required.

The lender offers manufactured home loans through FHA, VA and USDA programs. Options include purchase loans and refinance loans, including cash-out refinancing and VA jumbo loans. Depending on the loan type, you can obtain between 85% and 100% financing.

Manufactured Nationwide also provides up to 100% financing on mobile home construction loans and has the highest loan limits of all the lenders we considered: $3+ million, which provides greater flexibility when purchasing the land.

Owned by The Federal Savings Bank, a federally chartered, veteran-owned organization, Manufactured Nationwide made the list because of its extensive work with government-backed low-down-payment programs and availability in all 50 states. The lender has a lengthy closing process and doesn't offer loans for mobile homes on rented land or in parks.

Why we chose it: PenFed (NMLS #401822) offers personal loans with a limit of up to $50,000, a large enough amount for those who choose to use this type of loan to finance a mobile home. Bear in mind that the credit union does not provide mobile or manufactured home loans.

Most personal loans offered by PenFed have competitive interest rates and terms of 12 to 60 months. Since this is an unsecured loan and not a mortgage, you don’t have to make a down payment, and a lien won’t be placed on your home. The second largest credit union in the nation, PenFed was formerly only available to members of the U.S. military but is now open to any eligible borrower so long as they maintain a member savings account with PenFed.

The credit union also offers more traditional home financing options like conventional, FHA and VA loans for borrowers planning on buying property other than mobile homes.

Why we chose it: The United States Department of Agriculture (USDA) offers Section 502 direct and guaranteed loans and Section 504 home repair loans. Most USDA loans offer 100% financing, requiring no down payment, and are intended to help low- and moderate-income households afford a home purchase.

USDA loans aren’t offered directly through the government agency but via approved lenders. You can also apply through the USDA Rural Development Loan program. These loans can be used to purchase, build, repair, or refinance a primary residence, including a mobile home. You can borrow 100% of the home's value, so there’s no down payment.

Borrowers who apply through third-party lenders will be subject to a guarantee fee, which, similarly to mortgage insurance, is generally rolled into the total amount of your loan. USDA loans have some eligibility requirements, including a credit score of 640, a willingness to repay the mortgage and United States citizenship or legal permanent residency.

Why we chose it: Vanderbilt Mortgage and Finance (VMF) (NMLS #1561) has been around for almost 50 years and is a Berkshire Hathaway company and a partner with Clayton Homes. We included this company on our list because of the many types of loans it offers, as well as its long-term financing and fast approval. The partnership offers loans to borrowers in all 50 U.S. states.

VMF loans are available for new and pre-owned mobile and manufactured homes. They can also be used for home improvement and to upgrade your home’s energy efficiency through the eScore program. The company offers traditional home loans, FHA-backed loans, variable loans and fixed-rate loans. The company has six types of loans in total:

• Pre-owned financing
• Home upgrade loans
• Land and home mortgages
• Fresh Start home loans
• Portfolio home loans
• Biweekly advantage loans

VMF is currently offering a zero-cash-down loan option that allows the borrower to use land in lieu of a cash down payment. The offer is valid for loan applications made between May 1 and August 31, 2024, and only applies to the purchase of a new or pre-owned manufactured home from the Clayton Homes brand retailer. However, you’ll still be responsible for paying closing costs and other lender fees.

Other companies we considered

New American Funding

Founded in 2003 and based in California, New American Funding (NMLS #6606) offers home loan options to borrowers in all U.S. states except Hawaii. Borrowers can choose between adjustable and fixed-rate mortgages, and the company has programs to assist Black and Latino borrowers.

Why it didn't make the cut: New American Funding doesn't disclose its fees until after you've applied for a mortgage.

Rocket Mortgage

Formerly known as Quicken Loans, Rocket Mortgage (NMLS #3030) was founded in 1985 and is the largest mortgage lender in the U.S. Borrowers benefit from a completely digital experience and access to jumbo, fixed-rate mortgage, refinance, VA, FHA, ARM and conventional loans.

Why it didn't make the cut: Rocket Mortgage doesn't offer USDA or home equity loans. There is no option for in-person service, so borrowing is more challenging for those who prefer a personal touch.

Mobile home loans guide

Financing a mobile home purchase is a little different than financing your typical property. Not all lenders offer these kinds of loans, and the type of home you buy can determine the type of financing you need. Here's what you need to know about mobile home loans.

Types of mobile homes eligible for financing

"Mobile home" is a broad term that people often apply to different types of homes, including mobile homes, park models and manufactured properties. However, though people may use the terms interchangeably, these three property types are very different from one another, and their distinction affects what financing options are available:

• Mobile home: A true mobile home is a factory-built home built prior to June 15, 1976 — when the U.S. Department of Housing and Urban Development (HUD) instituted new regulations. Homes built before that date are ineligible for most mortgages. If you're buying an older mobile home, you may need to apply for a personal loan or seller financing.

• Park model: A park model home is a different classification than a mobile or manufactured home. Park models are considered vehicles for recreational use and don't need to meet HUD regulation standards. Park model homes are smaller and usually portable; they're good options for those who prefer to live in one area for a season or two before relocating elsewhere. Since they don't meet HUD standards, they may require alternative financing or specialty loans.

• Manufactured home: A manufactured home is a mobile home built after June 15, 1976. These homes meet HUD standards and are eligible for a broader range of mortgages and loans.

Main things to know before choosing a mobile home loan

Manufactured housing includes mobile and modular homes that are factory-built or site-built and placed on land owned or leased by the homeowner. These types of homes are typically single-family residences.

The type of loan you need will largely depend on your income, credit score, the lender you choose and the amount you want to borrow. A personal loan may be sufficient for some borrowers, while others may opt for a mortgage loan to finance a mobile home. In most cases, a mortgage loan is preferable to a personal loan because the maximum loan amounts are higher, the repayment terms are longer and the credit requirements are more flexible.

Before applying for a mobile home loan, consider doing the following:

• Check your credit score: If it's less than 600, research ways to raise your credit score.

• Save for a down payment: While some loans don't require a down payment, many offer lower interest rates and better terms to those who put some money down.

• Research loan types: Most lenders also offer conventional loans, FHA loans, VA loans and USDA loans. Some even offer investment property loans and LLC loans.

What are the different types of mobile home loans?

In addition to personal loans, there are three primary types of mobile home loans:

• Construction mortgage: Enables you to borrow specific amounts of money at different times if you purchase your mobile home and land separately.

• End mortgage loans: Provides financing for a residence that has already been built.

• Chattel mortgage: Used to finance a residence that doesn't include land, such as those situated in a mobile home park or on leased land.

• Seller financing: Available with some mobile homes, the buyer makes payments directly to the seller over a specific period. These financing arrangements tend to be better for those with less-than-stellar credit, but they may have shorter repayment terms and higher interest rates.

Traditional mortgage loans include the following:

• Adjustable-rate mortgages (ARM loans): Involves interest rates that fluctuate throughout the life of the loan

• Conventional loans: Not backed by the government and available as both non-conforming (jumbo loans) and conforming (loans that meet the guidelines of Fannie Mae and Freddie Mac) loans

• Jumbo loans: Ideal for borrowers with good credit who need a substantial loan

• Government-insured loans: Ideal for those with low credit scores and no down payment; for example, FHA, VA and USDA loans

• Fixed-rate mortgages: Determines a fixed, predictable monthly payment for the life of the loan based on the mortgage rates at the time the loan is originated

What are the requirements for a mobile home loan?

The requirements for a mobile home loan depend on the lender you choose. Most lenders offer loans to those with a credit score of 600 or above, and many offer 100% financing, so you don't have to provide a down payment. Some require collateral, which is the property that is used to secure the loan.

How to get a loan for a mobile home

The first step to securing a loan for a mobile home is to check your credit score and improve it as much as possible. Then save for a down payment and choose a lender that offers the flexibility and benefits you need. Finally, research the lender’s interest rates, loan terms, loan amounts and any other borrower qualifications.

If you have less-than-stellar credit, you may qualify for a mobile home or personal loan if you add a co-signer or co-borrower to your application. With another person applying with you, the lender will consider their income and credit, improving your odds of qualifying for a loan and securing a better rate.

How we found the best mobile home loans

To find the best mobile home lenders, we studied a few crucial elements of each company:

• Loan types and terms: We checked the loan limits, the repayment terms and the types of mortgage loans each lender offers.

• Options for different types of borrowers: We researched the best loans for people in various situations, such as those with no cash for a down payment, those with low credit scores and those looking for the best mortgage refinance terms.

• Financing for homes with or without land: We investigated banks that finance mobile homes on purchased land and others that finance homes in mobile home parks or on leased land.

• Borrowers with low credit requirements: To help those with poor credit or no credit history, we also identified mortgage lenders willing to work with lower-than-average credit scores.

Summary of the best mobile home loans

The companies listed below are in alphabetical order.

• 21st Mortgage Corporation: Best for mobile homes within a community or park
• eLEND: Best for first-time buyers
• Guild Mortgage: Best for low down payment options
• ManufacturedHome.Loan: Best for high loan amounts
• Manufactured Nationwide: Best for low credit scores
• PenFed Credit Union: Best for high personal loan limits
• USDA: Best for rural areas
• Vanderbilt Mortgage and Finance: Best for a variety of loan options