Buying a double-wide mobile home can provide a housing option for much less than the cost of a traditional home. However, it is sometimes difficult to find financing for this type of purchase. When researching a loan for a double-wide, it may be necessary to look at several options.
One financing option that may be available to you is through the dealer who sold you the trailer. To make this work, you must agree to a personal property loan instead of a traditional mortgage loan. The interest rate for this kind of loan is a few percentage points higher than what you could get with a traditional mortgage, in most cases.
The government has a number of financing programs that could potentially help you buy a double-wide trailer. For example, the Federal Housing Administration (FHA) has a loan program for those who wish to live in the property as their primary residence. You could also pursue a loan program that's offered by Fannie Mae or Freddie Mac. With either of these two loan programs, you can qualify for a loan even if you use it to buy a double-wide for a second home.
One of the hurdles that double-wide buyers must often overcome is making sure that the home is considered a permanent structure. To do this, you'll most likely need to create a concrete foundation for the double-wide trailer. Many mortgage lenders require this of their borrowers before they'll extend a mortgage loan. Otherwise, you may have to get a personal property loan from a dealer instead of a traditional mortgage loan.
When choosing a loan for your mobile home, look at the terms provided by your lender. Some loans in this category are variable rate loans. If you agree to this type of loan, check the maximum payment and interest rate. Make sure you choose a loan length that's not too long, as you run the risk of spending more in interest in the long-run.
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