Can You Get a VA Loan on a Manufactured Home?

The Department of Veterans Affairs (VA) offers a home loan guaranty program to help eligible service members, veterans, and surviving spouses achieve homeownership. While VA loans can be used for manufactured homes, specific requirements apply to both the borrower and the property. Understanding these guidelines is important for the financing process.

VA Loan Borrower Eligibility

Accessing a VA home loan begins with establishing eligibility based on military service. Service members and veterans qualify if they have served a minimum period, which varies by service era and duty type. Active-duty service members need 90 consecutive days of service, while veterans might need 90 days during wartime or 181 days during peacetime. National Guard or Reserves members usually require six years of service, or 90 days of active service under Title 32 orders with at least 30 consecutive days. Certain eligible surviving spouses may also qualify for VA loan benefits.

A key step in confirming eligibility is obtaining a Certificate of Eligibility (COE). This document verifies that an individual meets the VA’s service requirements. To secure a COE, applicants provide proof of service, such as their DD Form 214 for veterans or a statement of service signed by a commanding officer for active-duty personnel. The COE can be obtained quickly through the VA’s eBenefits portal or by a VA-approved lender using an automated system. While the VA does not set a minimum credit score, individual lenders often require a score of at least 620.

Manufactured Home Property Standards

For a manufactured home to qualify for VA financing, it must meet specific property requirements. Only manufactured homes built on or after June 15, 1976, are eligible for VA loans because they comply with the federal Manufactured Home Construction and Safety Standards (HUD Code). Compliance is verified by a permanent metal HUD tag on the home’s exterior and an interior data plate.

The home must be permanently affixed to a foundation and classified as real property, not personal property, under local and state laws. This means the home should be anchored to the ground with its wheels and axles removed. The land on which the manufactured home sits must be owned by the borrower; homes on leased land do not qualify for VA financing. The property must also meet the VA’s Minimum Property Requirements (MPRs), ensuring it is safe, structurally sound, and sanitary, encompassing utilities, structural integrity, and overall condition. Many lenders also have minimum square footage requirements, such as 400 square feet for single-wide homes and 700 square feet for double-wide units.

The VA Loan Application Process for Manufactured Homes

Securing a VA loan for a manufactured home involves a series of steps once borrower and property eligibility are confirmed. The initial phase includes finding a VA-approved lender that offers loans for manufactured homes, as not all lenders do. After selecting a lender, borrowers proceed with pre-qualification or pre-approval, submitting financial documents such as income verification and asset statements, in addition to their Certificate of Eligibility.

A mandatory step in the process is the VA appraisal, conducted by a VA-certified appraiser. This appraisal determines the home’s fair market value and ensures it meets the VA’s Minimum Property Requirements (MPRs). For manufactured homes, the appraiser verifies the permanent foundation, compliance with HUD Code standards, and overall structural integrity and safety. While the appraisal assesses the property’s condition for VA loan suitability, it is not a substitute for a comprehensive home inspection, which buyers may opt for to identify potential issues.

Following a successful appraisal and meeting the lender’s underwriting standards, which involve reviewing all documentation, the loan can proceed to closing. At closing, all necessary paperwork is signed, and funds are disbursed to complete the home purchase.