Guide · 4 min read · Updated October 10, 2026
Manufactured Home Loans: FHA, VA, USDA, Conventional + Chattel
The main ways to finance a manufactured home, what each one requires, and how land and titling decide which ones you can use.
The short answer
The main manufactured home loans are FHA (Title I and Title II), VA, USDA, conventional loans like Fannie Mae MH Advantage and Freddie Mac CHOICEHome, and chattel loans. If the home sits on a permanent foundation and is titled as real estate with land you own, you can usually use a regular mortgage. A home financed by itself, such as one on a rented lot, usually needs a chattel loan or an FHA Title I loan.
Financing is where a manufactured home is most different from a regular house. The right loan depends less on the home and more on the land under it. Start there.
What decides which loan you can get?
Whether the home is real property or personal property decides most of your loan options.
- Real property: the home sits on a permanent foundation, on land you own, and is titled together with the land as real estate. This opens the door to FHA Title II, VA, USDA, and conventional mortgages.
- Personal property: the home is financed by itself, like a vehicle. This is common for homes in a community on a rented lot, and it usually means a chattel loan or FHA Title I.
The build date matters too. FHA will not insure a home built before June 15, 1976, when HUD's code took effect (HUD reference guide).
Manufactured home loan types compared
This is the LAND + HOME loan map, the six main options side by side. Rules as of 2026; verify with your lender.
| Loan | Land required? | Minimum down | Key rule |
|---|---|---|---|
| FHA Title II | Yes, titled with home | 3.5% (580+ score) | Permanent foundation, at least 400 sq ft |
| FHA Title I | No | 5% of home price | Loan limits; leased park sites allowed |
| VA | Yes, for a real-estate loan | Generally $0 | Funding fee; no monthly mortgage insurance |
| USDA guaranteed | Yes, titled with home | $0 | Eligible rural area, income limit |
| Fannie Mae MH Advantage / Freddie Mac CHOICEHome | Yes, real property | 3% (CHOICEHome: 3% only with Home Possible or HomeOne, else 5%) | Home must meet extra design specs |
| Chattel | No | Varies by lender | Secured by the home only |
Sources: HUD, 24 CFR 201, VA, USDA, Fannie Mae, Freddie Mac. FHA down payment tiers: Bankrate.
FHA loans for manufactured homes: Title I vs. Title II
FHA has two programs for manufactured homes, and they work very differently.
Title II is a regular FHA mortgage. The home must have at least 400 square feet, be built on or after June 15, 1976, sit on a permanent foundation, be classified as real estate, and the mortgage must cover both the home and its site. The term can run up to 30 years (HUD). Our mobile home foundation guide covers the foundation rules.
Title I can cover a home only, a lot only, or both, and the home can sit on a leased site in a manufactured home park (24 CFR 201.21). HUD's latest published limits, effective March 2024 (HUD):
| Title I loan | Limit | Max term |
|---|---|---|
| Single-section home | $105,532 | 20 years |
| Multi-section home | $193,719 | 20 years |
| Single-section home + lot | $148,909 | 20 years |
| Multi-section home + lot | $237,096 | 25 years |
| Lot only | $43,377 | 15 years |
The 21st Century ROAD to Housing Act, which became law in July 2026, raises these baseline limits and has HUD adjust them each year by notice, so ask a Title I lender for the current numbers (CRS).
Can you use a VA loan for a mobile home?
Yes. VA lists "buy a manufactured home or lot" as an eligible use of a VA purchase loan, generally with no down payment and no private mortgage insurance, though a one-time funding fee may apply (VA). A home permanently affixed to a lot and treated as real property under state law is handled as a real-estate loan (38 CFR 36.4301).
For military families, one tip: ask each VA lender up front whether it finances manufactured homes at all, before you fall for a floor plan.
USDA and conventional loans
USDA guaranteed loans offer 100% financing in eligible rural areas for households earning up to 115% of the area median (USDA). New homes qualify, and a 2025 rule opened the program to some existing manufactured homes on permanent foundations (Federal Register).
Conventional loans: Fannie Mae's standard manufactured home loan allows as little as 5% down, and MH Advantage homes as little as 3% (Fannie Mae). Freddie Mac's CHOICEHome allows up to 95% LTV, or 97% through Home Possible or HomeOne, and appraises the home against site-built sales (Freddie Mac).
What is a chattel loan?
A chattel loan is a personal property loan secured by the home only, not the land. The CFPB found about 42% of manufactured home purchase loans were chattel loans, and that they generally carry higher interest rates than mortgages (CFPB, 2021). A chattel loan can be the only option for a home on a rented lot, so compare it carefully.
Example (hypothetical $200,000 home + land): minimum cash down would be $0 with VA or USDA, $6,000 with MH Advantage (3%), $7,000 with FHA Title II (3.5%), and $10,000 with a standard Fannie Mae loan (5%). Closing costs come on top.
Questions to ask every lender
- Do you finance manufactured homes, and which loan types?
- Does this home qualify as real property here?
- What foundation certification do you need?
- What's my rate, term, and total cost of each option?
The bottom line
Your land and titling decide most of your loan options, so sort that out first. Rules and limits change and vary by lender and state, so get quotes from more than one lender. For the full buying order, see buying a mobile home with land. Do your research and know your numbers.
Common questions
Can you get an FHA loan for a mobile home?
Yes, if it is a manufactured home built on or after June 15, 1976. FHA Title II mortgages cover a home on a permanent foundation titled as real estate with its land, and FHA Title I loans can cover a home, a lot, or both, including a home on a leased site in a park.
Can you use a VA loan for a manufactured home?
Yes. VA lists buying a manufactured home or lot as an eligible use of a VA purchase loan, and a home permanently affixed to land and treated as real property under state law is handled as a real-estate loan. Not every VA lender offers them, so ask early.
What is a chattel loan?
A chattel loan is a personal property loan secured by the home only, not the land. The CFPB found chattel loans make up about 42% of manufactured home purchase loans and generally carry higher interest rates than mortgages.
What credit score do you need for a manufactured home loan?
It depends on the loan and the lender. For FHA, a score of 580 or higher generally qualifies for 3.5% down, and 500 to 579 requires 10% down. Lenders can set stricter rules.
How much down payment do you need for a manufactured home?
Down payments run from 0% for VA and USDA, to 3% for Fannie Mae MH Advantage, 3.5% for FHA with a 580+ score, and 5% for standard Fannie Mae manufactured home loans and FHA Title I home purchases.
When you're ready for the next step
Keep reading
Buying a Mobile Home With Land: A Step-by-Step GuideThe steps to buy a manufactured home with land in the right order, from financing type to land checks to closing.
Modular vs. Manufactured Home: What's the Difference?How modular, manufactured, and mobile homes differ in building code, foundation, financing, value, cost, and zoning.