Mobile Home Loans

In order for a member to qualify for a Mobile Home loan, the mobile home must be permanently set-up on the land that is owned, or will be owned with this mobile home purchase, by the owner.

Mobile Home definition - In order for a mobile home to qualify for a WRCU mobile home loan it must:

be set on a cement pad
have its wheels and hitch removed
must have skirting installed between its base and the cement pad
No loans will be made for mobile homes built before 1977
the property must be located within the boundaries of Vermont.

Maximum Terms -

The maximum loan term for a new Mobile Home is 20 years.
The maximum loan term for a used Mobile Home is 15 years.
The loan term shall not exceed the effective life of the mobile home as set out in the appraisal.

Appraisal & Credit Report Fees – If an appraisal is required, the cost of the appraisal shall be collected from the member at the time the loan is closed.

Loan-to-Value – All loan-to-value (LTV) ratios shall be computed on the lesser of the sales price or appraised value of the subject property. The maximum LTV for mobile home loans will not to exceed 80%.

Interest Rate – The interest rate for Mobile Home loans will be a fixed rate. The rate set for New Mobile Homes may be different from the rate set for Used Mobile Homes.

Insurance Requirements

Homeowners Insurance – A Homeowners insurance policy must be in force naming the WRCU as the loss payee. The policy must be for a minimum of the amount of the original loan balance, or the replacement value of the structure, whichever is less.
Flood – All property shall have a flood zone determination. Flood insurance must be obtained if property is determined to be in a flood zone.
Force Placed Insurance – In the event that a borrower fails to maintain either homeowners or flood insurance, then WRCU will force place the insurance with the carrier of its choice. The borrower will be responsible for the cost of this forced placed insurance.

Title Search & Opinion - A title opinion for the mobile home and the land upon it is to reside shall be prepared covering a forty-year period.

Mortgage Deed – The Mortgage Deed shall contain a due-on-sale provision.

Credit Report – A Merged (residential) credit report will be obtained.

Note – The Note shall become due and payable in full in the event of transfer of title.

Payments - Payments shall always be due on the 1st day of the month.

Late Fees – A late fee will be assessed when the full amount of any monthly payment is not received by the end of fifteen (15) calendar days from the date it is due. The late fee will be 5.0% of the overdue payment and interest.

Closing Requirement - The Member must agree to obtain written approval from the Credit Union prior to moving the mobile home.

Financing Costs - The Member must agree to pay all costs associated with the above requirements.

Mobile Home Loans

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