Financing A Manufactured Home

Financing A Manufactured Home

Manufactured Homes are financed using a Retail Installment Contract. It is similar to the financing for automobiles or boats. We have a number of financing outlets available to our customers. All paperwork can be handled and processed through our office. You may also want to check with your local bank or credit union. Several area banks are now financing homes as well.

Interest Rates – Change periodically… depend upon your prior credit history & down payment amount.

Length of Term – Up to 25 Years on Single-Section Homes & Up to 30 Years on Double-Section Homes

Down Payment – 5% to 10% down depending upon the bank (Note: Most lenders require 10%)

Frequently Asked Questions

I just filed bankruptcy last year… Can I get a loan?

In all honesty… probably not. However, the standard rule of thumb is usually 4 years from when you filed… some banks are trying 2 years. Be sure to speak with your sales representative to find out your options.

I am just recently divorced and I am afraid my credit history is not good… What are my chances of getting a loan?

You may first want to send away for a copy of your credit history report. Ex. Equifax Reporting Agency. It is always better to know ahead of time what the bank is going to find out eventually. Many times you can then justify why certain bills were not paid on time, Etc.

I have a good job and make pretty good money, however, I am having a hard time coming up with the down payment… Options?

Several banks now have programs where you only need 5 % down. Also, if you are thinking of trading your existing home, find out how much you owe on it. Your equity in the home maybe enough for a down payment on a new home.

My husband and I are both employed. We paid for both our cars in cash and do not have any credit card bills… someone told me I won’t be able to get a loan… Is that true?

Most banks like to see that you have established some credit. It’s hard to believe that they would want to see that you "owe money" but that’s not really what they are looking for. They want to make sure that you a) pay your bills and b) pay them on time.

E-Mail Us YOUR Questions!! We’ll try and get an answer for you!

"So where do you go to get a LOAN?"

You can try any local lending institution. However, some local banks have shorter terms than the other larger lenders. Also, you may want to check out your local credit union if you belong to one.

The National Bank of Geneva in Canandaigua, Rt. 332
Key Bank in Canandaigua, Rts. 5 & 20
Canandaigua National Bank & Trust Co. – Several Branches Locally

Another alternative is to go through a "service company" such as AM Funding. They are a locally owned and operated company who works with several lenders. They will work with you to get you the lowest interest rate and will try your credit application at more than one lender, if for some reason you get turned down by one.

AM FUNDING

Barry Ogden & Mike Dupler

East Bloomfield, NY

Phone: (800) 332-9575 or (585) 657-6944 Fax: (585) 657- 6929

www.amfunding.net

You can down load a Finance Application from the AM Funding web-site. Fill it out and fax it to us here at Burke’s (585) 624-3557. We will have an answer for you within 2-4 business days. No obligation – No fee required. Please let us know the approximate amount that you would be interested in borrowing, how much money you would be putting down (5-10% or more) and what home you think would be around your price range.

THE TRUTH ABOUT CREDIT SCORES

Did you know that you have a credit score? Everyone does! A FICO or BEACON score determines how much of a credit risk you will be to the lender. Every time someone checks your credit history they have the option of finding out your credit score. Almost all banks/lenders use this score to determine whether or not they will lend you credit, what interest rate they will charge you and how much of a down payment they will require from you. Did you also know the more credit cards you hold (even if they are all paid off with 0 balances) may hurt your credit score? Also, if you allow several institutions to check your credit history within a few hours or days your credit score will have gone down by the time the last lender checks your credit. So be very careful about who you allow to check your credit history and only give out your social security number when it is absolutely necessary!

FICO Scoring System….

Have you ever wondered how lenders determine whether they will give you a loan? The decision is largely determined by a system called FICO – which stands for the company that devised the system. Here is how your credit is determined:

35% of the score is determined by payment histories on your credit accounts – with recent history weighed more heavily than the past.
30% is based on the amount of debt you have outstanding with all creditors
15% depends on how long you’ve been a credit user. A longer history is better if you always make timely payments.
10% is your very recent history and whether you’ve been actively seeking (and getting) loans or credit in the past few months.
10% is calculated from the mix of credit you hold, including installment loans (i.e. car loans), leases, mortgages, and credit cards.

Always be on top of your credit history… it can really hurt you in the long run!

Be sure and request an up-to-date copy of your current credit report Ex. Equifax Reporting Agency.

All information provided is to help educate you in the purchasing of your home. Please see your sales representative for specific questions. Not all lenders have the same requirements. All information provided is not guaranteed.

FICO Article – Issue 12, SCC Insider (2001)

NOTE: These are all hypothetical questions. Each lender may have different standards or qualifications. Contact your lender or dealer for more information.