Manufactured homes are generally acceptable collateral for an FHA loan. The property, however, must conform to HUD’s manufactured home guidelines. In order to be accepted, the property must meet the following minimal criteria:
- Property must be at least a doublewide property (no singlewides)
- The FHA loan must cover both the home and the land (no trailer parks)
- It must be on a permanent foundation and have the foundation certified by a licensed engineer
- It must be built after June 15th, 1976
- It must have a visible certification label (HUD tag) attached to each transportable unit of the home (see example of a label below). Without that visible tag, a label verification letter is normally required before the loan can be approved. You can obtain a label verification letter by following the instructions on the Institute for Building Technology and Safety (IBTS) website at www.ibts.org/label_req.htm or by calling (703) 481-2010. IBITS is a HUD-approved contractor.