Tips on Buying a Manufactured Home

It is no secret; housing is hot right now.  National home prices have increased 7.3% in 2020, housing inventory has hit record lows, and demand is continuing to climb.

With home prices continuing to jump, a lot of new home buyers are having trouble finding affordable single-family houses.  Many are going further out from major cities to find more affordable areas.  Outside of moving to the outskirts of town, there is another option:  buying a manufactured home.

Manufactured homes are historically much cheaper than their single-family counterparts.  The main difference between these homes is that manufactured homes are prefabricated and assembled in factories and then transported to sites of use.  Single family homes are built on site and immediately affixed to the land.

It is a misconception that you cannot get a standard mortgage on a manufactured home.  There are a lot of loan options available, including FHA, USDA, VA, and Conventional.  But manufactured homes do have more guidelines that the property must meet, here are the major ones:

• The home must have been built on or after June 15, 1976
• The home must be built on a permanent chassis in compliance with HUD codes for Manufactured Homes
• The home must be a double-wide or larger and have a minimum 600 square feet of gross living area
• The land must be zoned residential.
• A recorded Affidavit of Affixation and Engineering Certification is required.

Outside of these guidelines, the financing is the same as a single-family home.

If you’re looking to purchase a new home but are frustrated with the rising prices of single-family properties, looking at manufactured homes is a great option.

Ryan Gilliam
Waterstone Mortgage
3489 E. Baseline Rd
Gilbert, AZ 85234
Phone:  480-635-3035
E-mail:  [email protected]