Since you will own the home, but not the land underneath it, you will be applying for a Chattel Loan (or a Personal Property Loan). Real Estate Loans require that you own the land. Chattel Loans and Real Estate Loans have some different requirements, but many similarities. We are EXPERTS in Chattel Loans.
Who will be my Lender?
MHSS has closed loans with many different national and local Lenders. MHSS will let you choose from the lenders that approve your Loan so that you get the best loan for you.
Will my name be on the Title as owner? Do I get the Original Title?
Yes, your name (or names) will be on the Title as owner. The Lender will be identified as the Lienholder. You will get a copy of the Updated Title after Loan Closing, but the Lender holds the Original Title until the Loan is paid off.
How much Down Payment is required?
Down Payment is determined by many factors - Credit Score, Income stability, Loan Program, and Lender. Generally, 10% of the value of the home is typical.
What is the monthly payment?
Your Total Monthly Payment will be finalized after verifying all the loan details including Loan Amount, Interest Rate,Term of the Loan, Insurance, Taxes, Closing Costs, as well as down payment.
What is the Loan Amount?
The Loan Amount is calculated by adding the Purchase Price and the Closing Costs minus the Down Payment.
What is the Term of the Loan?
The Lender may give you options for the term, but generally the term is between 15-25 years.
What is the Interest Rate for the Loan?
Each Lender will determine the interest rate when the loan is approved. You can choose from all the approved loans to get the best loan for you.
Can I make extra payments? Can I pay off the Loan early without a Pre-payment Penalty?
Absolutely, you can make extra payments every month, or once a year, or whatever works for you. Every extra dollar reduces the Loan Balance, and can shorten the term of the loan without a Pre-payment Penalty.
Who Pays the taxes and insurance for my home?
Taxes and Insurance amounts are included in your monthly payment. Your Loan Servicer will pay the Taxes and Insurance out of an Escrow Account created for your home.
Is an Escrow Account required?
Yes, each home must have an Escrow Account.
Who Chooses the Insurance Company? Can I change Insurance Companies?
Lenders will allow any reputable Insurance Company that covers Chattel Homes. You can change Insurance Companies at any time by notifying your Loan Servicer.
Do I need an aprraisal? Who pays for it?
Most Lenders require an appraisal before approving a loan. You will have to pay around $400, but the cost can be financed in most loans.
Do I need a Social Security Number to be approved for a Loan?
No, most Lenders will accept people with ITIN Numbers or Social Security Numbers
What kind of Identification do I need to get approved for a Loan?
Most Lenders require an acceptable United States Identification with a picture.
Can the Closing Costs be included in the Loan?
Yes, most times the closing costs can be included in the loan.
