Manufactured Housing Finance Panel Discuss Challenges and Opportunities of Title 1 Home Loans

The Biloxi Manufactured Housing show in March hosted an industry finance panel moderated by Chris Nicely of ManufacturedHomes.com. The panelist-Teresa Payne, from HUD., Paul Reeves, from Land Home Financial Services and a representative for FHA, and MHI’s Leslie Gooch – came to a consensus on a variety of issues, notably that much progress has been made in the HUD Code, that Title 1 loans, including chattel loans, need to be managed in the same manner as conventional Title 11 offerings and that all of industry stake holders need to continue working through federal, state and local partnerships and with education and more favorable zoning laws.

Expanding attainable housing in every market is what will solve the problem, but housing production needs to be matched by the ability to finance new and existing homes.

FHA Title 1 loans have come closer to meeting market needs, but still are held at bay by being offered only at higher rates than conventional mortgages and are in need of more support through technology and automation. As it stands now, manufactured home loans start at 50 basis points higher than its site-built counterpart.

“I would like to see us put on a level playing field,” Reeves said.” want to see less talk and more action. We need an automated underwriting program for Title 1”.

Gooch said she is encouraged by the new leadership at HUD and FHA. “I am excited about secretary Turner, but I am also excited about Bill Pulte at FHFA” she said.

“The industry needs to continue to design, build and collaborate. They want to hear what we have to say about the product we have to offer the consumer. We have to find some common ground.’’