Refinancing a mobile home

[paulharvey]

Ok, this is probably stretching the topic of tractors a Lot, but does can anyone give some advice on refinancing a double wide mobile home on land. I bought this in 2006, it's a 1996 model on 2 acres. I had "an irregular work histroy" at the time, and a 5% down payment, so my interest rate was less than good. I currently have a 6.875% fixed rate on about $55,000 left. I've asked at my credit union about it; and they said they don't know of anyone doing refi on mobile homes. I'm sure I'm not the only person in the world with a bad rate on a mobile. All of the thousands of refi places I've seen seem to not do mobiles.

Note: it's permanently set up

It is included in property taxes, not paying a yearly tag (like in a park)

It's all one loan, not separate land and home loans.

I have just over 20% equity based on original loan, but don't know about 20% of current resale value. I'm at about 1:1 value on tax appraisal.

Always made payment on time


So... anyone have advice or knowledge you can lay on me

 

[Bird]

I bought a new double wide in the Spring of 1997 when interest rates were really high. The dealer got it financed with Chase at 10% (my land not included in the deal). Then in January, 1999, Triad Financial Services sent me a letter offering to refinance it at a lower interest rate; no appraisal required. They just sent me one of those disposable cameras to make pictures of the place and send to them. But I called Chase and they decided to simply lower my interest rate; an amendment to the original contract instead of a new contract. So I can't really say how good Triad is, but they're located in Florida.

Triad Financial Services | 50 Years of Experience

 

[George2615]

Not sure about Fla. but where I am I found it impossible to get a loan on a used MH.
I acquired a 9 year old MH but had to move it off the property it was on. I bought 3 acres to put it on but then needed money to get permits, clear the land, install a well, septic system, driveway, electric, then move the MH to the property and general clean up and interior painting in order to sell it. Could not get a dime from any bank or financial institution. Had it been a new MH I could have got a loan but not on a used one. I had to take out a home equity loan on my own home to finish the job.
Then I had the same problem when I put it on the market. Prospective buyers couldn't get financed because it was used. I ended up selling it by holding the mortgage with a down payment. Now I have to keep my fingers crossed for 15 years that the buyers don't forgo their down payment and walk away.
Tough to find any financial institution to give loan money out on a used MH in NY. Some will finance a new MH but not used. Same with insurance. Couldn't get homeowners ins. cause I didn't live there. Had to get a commercial ins. policy to cover the structure and they wouldn't give a policy for what it was worth. Never again. I lost money big time on this deal. I hope you can get what you need.

 

[ozley]

I mobile home depreciate in value were a house appreciates in value. Very hard to find a loan.

 

[paulharvey]

I bought a new double wide in the Spring of 1997 when interest rates were really high. The dealer got it financed with Chase at 10% (my land not included in the deal). Then in January, 1999, Triad Financial Services sent me a letter offering to refinance it at a lower interest rate; no appraisal required. They just sent me one of those disposable cameras to make pictures of the place and send to them. But I called Chase and they decided to simply lower my interest rate; an amendment to the original contract instead of a new contract. So I can't really say how good Triad is, but they're located in Florida.

Triad Financial Services | 50 Years of Experience

I emailed them and they said they no longer refinance; although there website says they do... I called my credit union who does not; but the loan officer gave me one of their competitors names and numbers who do. "Harbor Community Credit Union" although they have some fairly limited guide lines: 1995 or newer and 80/20 loan to value. Mine is a 1996 model but I'm unsure of value. So I'm very early into exploring this but there might be hope.

They also do 3, 5, and 7 year adjustable that "they have more flexibility in"; so although I don't like the idea of adjustable, 7 years is a long way down the road to kick the can.


Wonder if Bank of America or other super banks would give you a competitors name and number; or call local realtors to see what can be done....

 

[zing]

Have you tried going to an indepentent mortgage broker instead of a bank/credit union? Those guys are not tied to any institution or sert of rules, they can float around to any number of institutions or plans to find out what is the best plan/rate for your individual situation. It is kind of like going to one of those website travel agents instead of to a travel agent for a certain company, or an insurance broker instead of an Allstate agent. They are not locked in to any one set of company policies.

I can't say if they will be able to get around the issue specific to used mobile homes because I have no idea, but it is worth a try. Ask around with your friends to see if any of them use an independent broker, or maybe even try the yellow pages or Google.

 

[bjr]

We had sort of boom area for a while and developers were just going crazy building real cheap crappy homes on lots, where the homes are very close together (High Density) . They were being built too fast even for the concrete footings to set up. I don't know where the building inspectors were. When I went to put a house on my own payed off property, I went with a double wide manufactured home. They were way better inspected, better materials. I set it on a basement, good foundation AND still had one **** of time getting a loan. My initial construction loan was only for two years and at a fairly high rate, 8 percent if I remember. Then they tried to sell my loan, all FHA met all requirements. This was like 7-8 years ago when the mortgage companies were being scrutinized and the one that finally took my loan went out of business like two days after my signing with them. Finally the locally owned bank sold it to Wells Fargo. The Mortgage fees were like $ 10,000. It was a ugly time to get a loan. I walked a mile in your shoes. bjr

 

[Bird]

In 2003 I bought a used (1997) single wide mobile home in a mobile home park in town and Chase Home Finance financed it.