For over a decade, most government entities would not even consider lending on manufactured homes and appraisal requirements made it a little difficult for modular homes.  Based on recent outreach to Wisconsin Housing Alliance, it feels like the tide is turning.  WHA staff is cautiously optimistic that more home financing is on the horizon.

Wisconsin Housing and Economic Development Authority (WHEDA)
WHEDA has joined as a member of Wisconsin Housing Alliance.  In addition, they asked for a meeting with staff to discuss a potential new lending program in coordination with Fannie Mae.  This would be for real property transactions only, however, it is a big step in the right direction.  Watch for new program announcements in future newsletters.

USDA Rural Development
Rural Development has a pilot program for financing manufactured homes on real property.  The interest rates are very low and the down payment is often $0.  You must be an approved contractor with USDA Rural Development though.  If you are not currently an approved contractor or would like more information about their funding programs, the contact information is below.

Stephanie Kelnhofer, Housing Specialist
Rural Development, U.S. Dept. of Agriculture
5417 Clem’s Way, Stevens Point, WI 54482

Fannie Mae and Freddie Mac
Both Fannie Mae and Freddie Mac are government sponsored enterprises (GSE’s).  They both have been directed to serve underserved markets and one of those markets is manufactured housing.  They will be doing limited pilots for manufactured homes in communities and Fannie Mae has their MH Advantage program that they are revamping to make it more usable.  More details will be made available as they roll out their programs.

The point of the story is that we haven’t seen this much interest in financing affordable housing in a very long time.  Let’s keep working toward impressing them with beautiful manufactured and modular homes until they can’t wait to finance more.


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