question about financing....

[Jody]

We were just approved for an FHA loan on our land/mobile package. My husband would like to do some of the work ourselves, such as electricity and sewer system but how do we go about doing this. Our loan is set up so that the project has to be completed and everyone gets paid when its done. (My husband has lots of experience in the two above areas.) Any suggestions on how to get the money to buy the things we need to do some of the work ourselves? Thanks for the help.

[Jody]

I mean "septic" not sewer.

[r murray]

Most FHA financing has a construction loan component....This means that contractors are paid as the work is done...

Unfortunately in most areas you have to have a license to install septics and electrical.....and...FHA is very particular about every little aspect of the deal...They will probably require a licensed contractor...Also it is strictly against the law for the dealer to give you any money out of the loan...I think you ought to just let it go and let the dealer take care of the business...You might ask for the right to shop the prices that you are quoted with other contractors that do make the rules...

[Jody]

We are the owner-contractor and the dealer did give us a list of contractors to deal with. Here in So. Calif. they let you make your own arrangements so you can shop around for contractors from septic, foundations and wells etc...
Unfortunetely our loan (which is FHA guaranteed) is through a local bank and they will not pay until the project is finished. We may be required by some contractors and the dealer to pay interest while the other contractors and inspectors finish. Its just the way many of the banks around here do it. Some do not but they are much harder to get and sometimes they cost more to get also.

I just wanted to know if anyone knows of any creative financing method that will allow us to get the required materials to finish some of the things we are doing ourselves without going through a contractor. Also, some contractors will allow you to work with them at a lower cost. That's also available in our area and probably in many areas.

All of our savings went to the down so we are cash poor to get the needed materials to save the thousands by doing the things we know how to do ourselves. Any suggestions? I know FHA has an improvement loan but you have to be in the home for at least 90 days to get one.

[rmurray]

The only way I know of is a construction (also called bridge loan) that is offered by virtually every lender that does FHA...

Think about this...If you were haveing a customer stick built home built...do you think the builder would build it without some assurance that he will be piad...I think not...The loan you have applied for is identical to the ones done by stick builders...No custom home would ever be built under these circumstances..

Ask your lender about a bridge loan or shop around for another lender...By the way...remember even if it is FHA...rates and costs vary from lender to lender..

[David Oxhandler]

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[sarahniloy]

When your borrowing money never forget that you are the customer. Let the banks compete for your loan business !!

You can spend days going from web site to web site, filling out any number of applications.... instead you will discover that it is easy to find a manufactured home loan at roof repair mclean va

Submit their fast, easy form , select your loan preferences and they forward your request for loan information to several participating manufactured housing finance offices, saving you a ton of leg work.

While your waiting to hear back from them, have fun shopping for that manufactured home you have been thinking about!

When borrowing money, remember you're the customer. Let banks compete for your loan at ManufacturedHomeLoan.com. Fill out their quick form, they'll send your request to multiple finance offices. Meanwhile, enjoy shopping for your dream manufactured home...