Part 4 – USDA Manufactured Home Loan Guidelines: Processing USDA Mobile Home Loans
USDA Manufactured Home Loan Guidelines: Processing USDA Mobile Home Loans in Florida, Texas, Tennessee, and Alabama
In our prior posts regarding USDA Mobile Home Loans, we discussed the recent USDA announcement and expansion of their existing manufactured home program, USDA Manufactured Home Minimum Property Requirements, and USDA Manufactured Home Foundation standards.
In today’s short video we will break down and explain a recommended approach when processing USDA mobile home loans.
However, before we get started, don’t forget to take advantage and download our Manufactured Home Blueprint for Success with the link below. This free guide is designed to walk you through the manufactured home qualifying process step-by-step and is a great tool for both homebuyers and Realtors alike.
Qualify for a USDA mobile home loan in Florida, Texas, Tennessee, and Alabama
As in previous posts, our discussion today will be focused on existing manufactured homes. If you do have questions regarding a new construction USDA manufactured home loans, please reach out to our dedicated team so we can assist.
Processing USDA Manufactured Home Loans
Because USDA manufactured home loan requirements will need both an appraisal and a certification that the foundation meets the Permanent Foundations Guide for Manufactured Housing (i.e., structural engineer report), we recommend the following approach when processing USDA manufactured home loans:
- Obtain a Proper USDA Manufactured Home Loan Qualification
As with any mortgage, obtaining a proper qualification is critical to future success. With that being said, because USDA manufactured home loan guidelines requires an appraisal, structural engineer report, and potential retrofit costs for the foundation, this increases the upfront out-of-pocket expenses and understanding how these steps connect with each other is crucial. Homebuyers and Realtors are advised to work with a USDA approved lender that is experienced with all phases of the manufactured home loan qualifying process.
- Order the USDA Manufactured Home Appraisal.
Once the sales contract has been received and your loan application has begun, ordering the appraisal is one of the next steps to happen. By ordering the USDA manufactured home appraisal before any engineering reports, this allows all parties to be aware of the valuation and if the appraiser makes comments about any other property related concerns that affect USDA manufactured home loan minimum property requirements.
Knowing that you have the value and appraisal approved before ordering engineering inspections and incurring any retrofit costs, will provide an additional safeguard in the transaction.
- Order the USDA Manufactured Home Loan Structural Engineer Report
Once the appraisal has been approved, the next step would be to order the structural engineer report for the foundation certification. After that has been received, further review is required in order to confirm if any other upgrades or modernizations to the foundation are needed through the process of retrofitting.
- Order the USDA Manufactured Home Loan Foundation Retrofit
Retrofitting is the term used for the process of upgrading or modernizing the existing foundation to meet USDA manufactured home loan minimum property requirements. Please understand that it is possible the manufactured home may have an existing foundation that meets minimum foundation standards. If that is the case, then a retrofit is not a required step in the process.
Also remember that even if the existing mobile home foundation meets state and local requirements, it still must meet HUD Handbook guidelines. After the engineer’s report is received, upgrades and improvements may be required in order for the foundation to conform to all applicable standards. USDA manufactured home loan guidelines.
If upgrades are required, this is the point where the retrofit process begins and since there are costs involved, it is important to discuss these potential expenses upfront with both homebuyers and sellers.
Summary – USDA Manufactured Home Loan Guidelines: Processing USDA Loans for Mobile Homes
I know we covered a lot today but make don’t get overwhelmed by the details, if you have any questions about USDA manufactured home loans, remember to contact our dedicated team of professionals and let our experience go to work for you!
Now, the unfortunate truth is that most lenders can’t even spell USDA, but in our office, we eat, breathe, and sleep USDA loans!
Whether you have a transaction in trouble or are trying to maximize your qualifying ability, just call, text, or email to discuss your scenario so we can show you the “Metroplex” difference!
Toll Free: 800-806-9836 x280
Call/Text: 863-593-2001
Email: SeanS@MPLX.org
As always, I want everyone to make it a great day and look forward to seeing you right here for the next tip of the week!
P.S. – Here is the link for our Manufactured Home Loan Blueprint for Success
