Nearly a century ago, you could flip through the pages of a Sears catalog and order a pre-constructed house. A few weeks later, all of the individual components would arrive for you, or the Sears construction team to assemble. While this seems like a foreign concept to us now, the fact is that manufactured housing is having something of a renaissance, even in places like Fayetteville. As Fayetteville’s Top Rated Local® mortgage broker, we have the expertise to help you get a loan for your manufactured house.
The Collapse of the Manufactured Housing Market
The 2008 financial crisis left no industry untouched, but housing, in particular, felt the weight of the impact the most. While Americans all over country defaulted on loans and went into foreclosure, the manufactured housing industry took a dramatic hit. Indeed, the industry fell from a high in 1998 where it shipped just shy of 400,000 homes in a year to fewer than 50,000 a year in 2010. But with the economy steadily recovering, there has also been a steady increase in the number of manufactured homes being made and shipped to potential homeowners.
Why Manufactured Housing Is Making a Comeback
Long considered the equivalent to trailer or mobile homes, new manufactured houses are becoming increasingly more attractive and fancier, without going up in price. This makes them an obvious choice for those looking to move into a nice-looking home, but without having to spend big money on a new home. It’s not uncommon for manufactured homes to now come with luxuries like hardwood cabinetry, high-end laminate floors, and many other features.
The Affordability of Manufactured Housing
Perhaps the major driving factor behind this renaissance is the cost. The economy may be recovering, but that doesn’t mean that families can yet afford a new home. Affordable housing options are still in short supply, and manufactured housing is proving to be a popular choice within that small segment. It’s estimated that in June of 2018, the average American family would spend $363,300 on a single family home. Conversely, that same family could spend a meager $91,400 on a manufactured house of similar quality.
More Financing Options Are Becoming Available for Manufactured Homes
Government-sponsored Fannie Mae and Freddie Mac are expected to offer new chattel loans, which can be used to finance manufactured homes on leased land. This hasn’t really been done since the early 2000s, and this change could make it easier for prospective home buyers to get larger lending options while also lowering their borrowing costs.
Ready to Buy Your Manufactured Home?
Have you found the perfect manufactured house for you in Fayetteville? Let The Mortgage House help! We’re happy to help you find the financial support you need to get your manufactured home. We’ll connect you to lenders that can make it easy to fund the purchase of your new home. Connect with one of our mortgage brokers today, or use our online application to get started!