The Manufactured Housing Forums

I am looking at 20 acres with a 1994 doublewide Sunshine mh and have been trying to get financing for 90 days now. Why is it that there is this 70/30 ratio such a big deal? Yes 20 acres is going to be valued at more than the mh but they all go together and why can they not go on my EXCELLANT credit and the fact that I only owe a truck note (I have already pd off a house and several cars) and I am one the best risks around. It seems that my 30 years of good credit has absolutely nothing to do with the purchase of what I want for a home.

As a lender that specializes in Manufactured home /land financing I would like to address your question.

First, the problem is not with the type of home you are buying.
The problem is with the quanity of land.

All lenders have guidelines to follow, for a conforming loan(such as a fannie mae underwritten loan) the max acreage is 5 acres.

Some lenders will allow up to 10 acres. However the amount of land you are purchasing is more than residential lenders are willing to finance.

Although you have great credit, that is not the only criteria used in determing the risk of a loan.

Risk is determined by several factors such as but not limited to Credit, DTI, Property type, location, etc.

If all factors meet the guidelines then usually a loan will be offered or a counter offer may be made that will reduce the risk to the investor. Large properties are risker since they are harder to sell and have a smaller market appeal.

I would suggest you try an Agricultural Bank or Lender. They specialize in loans for properties greater than 5 acres. This will allow you to get much better terms and LTV requirments than it sounds like you have been offered.

Hope this helps.

Good Luck,

You have not mentioned where you are...But if there is a Regions Mortgage in your area...They will do this type of loan...

I am in Beaumont, Texas. Just east of Houston, Tx on the Gulf Coast. Please tell me where I can get help.
Thanks,
Donna H

I'll be a little more to the point than the financial guru was. When you buy a home
on 5 or less acres, the value of the property is actually not considered when the
appraiser does his thing and values your home. Anything above 5 acres is
considered subjective, and speculative, and can't really be considered for a loan
under a normal mortgage situation. Land value in itself is always different based
on location and use. Example: 20 acres of woodland with no utilities might sell
for $750 an acre, while 20 acres next to a busy interstate, with all utilities might
fetch $500K. If you have a dairy farm on this 20 acres, perhaps a value could be
placed on it by the lender due to income. Lenders need to know that they can
get their money back if there is a default in payment down the road.

Hope this helps

Here are links to a couple of national lenders..

http://www.agstar.com/financialservices.shtml

You might go to here and e-mail the owner..
http://www.mtgprofessor.com/

You might also check with the Farmers Home Loan Administration office in your area...

Good Luck...This can be done..

Any of these offices can finance anywhere in TX...Call them...if at first you do not find a good originator..try another office..I have done home deals with this company with up to 165 acres...others with high priced 50 acre tracts...and many with 20 acres...
Austin
Regions Bank
8127 Mesa Drive, Suite B-205
Austin, TX 78759
Phone-(512) 345-4554
Fax-(512) 343-9516

Dallas
Regions Bank
16600 North Dallas Parkway
Dallas, TX 75248
Phone-(972) 738-5000
Fax-(972) 738-5080

Kilgore
Regions Bank
910 North Kilgore St.
Kilgore, TX 75662
Phone-(903) 984-1511
Fax-(903) 983-0208

Longview
Regions Bank
213 Fredonia
Longview, TX 75601
Phone-(903) 237-3510
Fax-(903) 237-3593

Lufkin
Regions Bank
203 South First St.
Lufkin, TX 75901
Phone-(409) 633-2103
Fax-(409) 633-2147

Nacogdoches
Regions Bank
300 East Main St.
Nacogdoches, TX 75961
Phone-(936) 564-4624
Fax-(936) 560-4126

Palestine
Regions Bank
100 Avenue A
Palestine, TX 75801
Phone-(903) 731-8133
Fax-(903) 731-8160

Texarkana
Regions Bank
2000 Richmond Rd.
Texarkana, TX 75503
Phone-(903) 832-2551
Fax-(903) 832-3021

Tyler
Regions Bank
100 E. Ferguson
Tyler, TX 75702
Phone-(903) 595-1941
Fax-(903) 535-4255

I have been in contact with the Federal Land Bank and they will loan for the 20 acres but not the doublewide mobil home. So there seems to be no way at this moment to get on loan for the entire thing.
Donna H.

I know what you mean. I have already had the land appraised, the loan company did not like it so they had the land appraised again. Both times the land was appraised at $4000.00 per acre. It is cleared, and has hay bailed off of it every year. So there is an income regularly. The house was appraised at $52000.. So this makes a total appraisal of $132,000. and the owner is selling it to me for $105,000. This land has elctricity, phone, water well, city water lines to the property line, a septic spinkler system, and a water purifier on the well water. It is finced and crossed fenced, sits outside of the city limits, a quarter mile off the road, houses around it are valued at well over $100,000. and that is with only 2 acres with them. Some of the houses with only only 10 acres were valued at $500,000. So you see, I have done my homework and I know that if I were a man, not a single mother making $35000. that I would get this loan with no problems. What makes it also unfair is that I have told these loan companies that I have 3 grant monies waiting to be paid down on this loan, maybe that's why nobody wants to help me. They do not want me to get FREE MONEY. Sorry if I sound bad right now but this just seems rediculous that I have had to go thru so much. I would be happy if somebody would just loan me $70000. @ 5.125% for 15 years and I would be able to pay it back within 10 years. I have EXCELLANT CREDIT. I pulled a copy of my credit report and it is just TERRIFIC.
Donna H.

Who doe's the seller have the home financed with now?