How to Find a Lender For a Manufactured Home
This seems like a paradox, but it should make Manufactured Home loans a logical consideration among the possible lenders that are looking to emerge into a lucrative new niche market. Which leaves everyone in the Manufactured Home community asking the question: Who will step up to the plate to be the leading Mobile Home Lender? It is possible that Warren Buffet will step up to the plate, but his big investments and movements lately have seemed incongruous. He may move to a low-stakes table, while the Manufactured Home financing market is overtaken by a new investment company willing to emerge into a new industry starving for capital.
Loan standards in the Mobile Home finance market have typically tightened during times of economic crisis. This is not surprising, but nevertheless not well received. The tight standards that banks are now holding themselves to for Manufactured Home loans can be compared to a farmer who depletes all the nutrients from his soil as fast as possible. The farmer then points the finger at the grocery store for his loss in livelihood, instead of accepting that he is truly to blame for poisoning the well. The financial institutions have been reaping the benefits of the loose legislation for many years now, all the while profiting from allowing irresponsible lending to take place, then securitizing it and placing it elsewhere. Now the hens have come home to roost, and the banks are acting irresponsibly in the opposite direction, on the side of over caution. Manufactured Home lending institutions are finding phantom reasons to decline even the lowest risk loans.
Manufactured Home finance California agents are now left asking who the new primary funding institution will be in the Mobile Home loan industry after the dust settles. Recently the government has blocked Taylor, Bean and Whitaker from providing any more loans backed by by the federal government. HUD believes the institution failed to submit a necessary financial report, raising eyebrows at fraud concerns. The company was also ordered to desist from issuing mortgage backed securities for Ginnie Mae. Taylor was the No. 1 source of funds for mobile homes, they lent nearly 13 percent of all Mobile Home investments in 2007, which were insured by the FHA. modular homes for sale
Wells Fargo, JP Morgan Chase Bank, and Countrywide are the remaining large manufactured home lenders, however these companies are not as active as they used to be in the Manufactured Home loan market. This small number of lenders will lead to reduced competition, yielding a high demand and therein, increased interest rates. Because of this situation, the lenders have the advantage and will probably only issue a limited number of loan programs available to refinance or finance a Mobile Home in America.