Factory-Built Home Financing, Plain & Simple

Unlike Home Only financing, Land/Home loans are typically similar to loans on stick-built, conventional homes in terms of interest rates and down payment requirements. This loan type covers the cost of the home, the land, and improvements to the land — a garage, foundation, septic system, or land clearing can all be financed together. You can choose conventional, FHA, or VA, and pick your own lender; because these loans are more complex, we suggest asking your lender how many they've closed start to finish, and consider paying a little extra for a "construction/draw" loan so your site contractor is paid in draws rather than waiting until the very end.

If you've had past credit challenges but currently have the ability to repay a mortgage, an FHA manufactured home loan can be an excellent opportunity — these loans often carry lower credit score and down payment requirements than conventional loans. The VA offers factory-built home financing to active duty military, veterans, and their spouses with even more benefits: you may be able to purchase with no money down, skip monthly PMI payments, and receive an appraisal selected independently by the VA rather than the lender.