Manufactured Housing News

As a general rule, lending goes hand in hand with economic growth, fact also demonstrated by a new report published on the NCUA’s website. According to the report, the credit unions participating in the survey have recorded a median loan growth rate of 4.1 percent from January until September 2015.

Manufactured Home Loans: An Overlooked Financing Option for Affordable Housing

As the U.S. economy is recovering at a relatively fast pace, an increasing number of credit unions are looking for new ways to expand their loan portfolios and offer consumers a wider range of housing finance options. Yet, many of them are missing out on one of the most lucrative indirect lending programs: manufactured home loans.

Besides allowing credit unions to fulfill their primary goal of providing affordable credit, an indirect manufactured home lending program can help them connect the dots between increasing demand for real estate loans and the growing need for low-cost housing. Since manufactured homes look similar to site-built houses, can be customized to match different needs and demands, and are more affordable than bricks-and-mortar construction, they’re considered the best possible housing option by increasing numbers of home buyers. Based on the an economic report issued by the MHI, the number of manufactured homes shipped from January through October 2015 has increased by 7.7 percent compared to the same period in 2014.

Because manufactured homes provide an affordable housing alternative for low-income borrowers, improving the climate for these types of loans is a fundamental economic factor that needs to be addressed as soon as possible. By embracing an innovative manufactured home lending program and replicating it in multiple communities across different states, any credit union can provide a valid solution to the affordable housing crisis and become a leading participant in the secondary market for manufactured home loans. While increasing demand for manufactured homes remains the principal driver of the manufactured housing secondary market, indirect manufactured home lending programs also work because of the convenience and significant return on investment they provide.

At Triad Financial Services, we’ve developed a low-risk, profitable, scalable and replicable manufactured home lending solution that allows financial institutions to diversify their loan portfolios and gain new customers or members without extra spending.

Geared toward all categories of investors, our innovative lending program can help you offer lower-income borrowers the opportunity to bring their homeownership dream to life while still allowing them to make a living. In addition, our comprehensive lending program offers significantly better terms to you and your members than other financial institutions, while saving your employees the hassle of learning the intricacies of different indirect lending solutions and procedures.

Since our aim is to help your credit union to efficiently respond to your members’ needs, we provide a simple yet comprehensive manufactured home lending solution. Another aspect worth mentioning is that our specialists are well aware of all the risks the manufactured housing secondary market can hide. To provide a truly low-risk, high-yield lending solution, there are a number of details we look at, including FICO score, amount of outstanding credit, debt-to-income ratio, length of employment and size of the home being purchased before submitting applications to you for approval.

If you’re looking for a tried-and-true, member-focused indirect lending program from an established industry player, we invite you to contact us at Triad Financial Services. Our experienced financial professionals are ready to provide outstanding support, consultation and administrative services, loan application screening and processing, and unparalleled underwriting expertise to help you successfully overcome the challenges and complexities of the secondary market for manufactured home loans.