Frequently Asked Questions About Mobile Homes Financing Making the decision to purchase a mobile home is only the first step in the manufactured mobile home buying process. You need to secure financing in order to pay for both the land and house. For financing, seek out mobile home financing dealers or banks to obtain the right mortgage or loan for you. Following are some frequently asked questions about mobile home financing:
What Factors Should I Consider Before Buying a Mobile Home?
The best thing to do first is plan ahead, saving up enough money for the down payment and closing fees. Many banks will finance up to 95 percent. However, the more you’re able to put down in cash, the less you’ll end up spending each month on payments. Loan officers can work with you to come up with a budget and a dollar amount for the type of house you are qualified to buy. Shop around in terms of rates. You’ll find big differences out there in terms of rates and fees.
Will You Give Me Financial Advice?
Your mobile home financing expert would be happy to sit down with you and go over the some suggestions when in the process of buying a mobile home. He will tell you to avoid changing jobs or shifting money around, at least until your loan process is complete. This will show a stable employment history and allow loan officers to more easily verify your financial status, including where your funds come from. At this time, you should also avoid adding to your debt by buying a new car or expensive furniture. You don’t want to find out you can’t qualify for a modular home loan because you owe too much to creditors.
Are You Upfront with Your Fees and Penalties?
Do your research on every lender you consider, making sure they don’t
offer loans with risky features such as balloon payments in the first seven years of the loan, prepayment penalties or negative amortization.