3 years and flood insurance required

[jeff]

i am getting ready to purchase a mobile home from luv homes in panama city,fl financing will be though vanderbilt mortgage. the dealer told me if i get insurance from the outside i have to pay a year in advance,since i dont have the extra money,i have to take theirs,my question they told me a have to take 3 years at a time,worked into my financing($4,200) plus i have to take their flood insurance even though the home wont be in a flood zone,and also their credit life if i dont take just all three then they said they have to up the interest rate up 1 point. does this sound right?

[rmurray]

No..........All of the above increase the commission of the saleperson...even increasing the rate...Financing $4200 insurance and credit life for 30 years...adds tens of thousands to your bottomline price...

If you cannot afford 1 year at about $800 through other insurers(have you thought about credit cards)...you might want to shop around for another home without this unheard of requirement..