Current interest rates for manufactured home purchase loans can vary depending on the loan term. For example, recent rates for fixed-rate manufactured home purchase loans are approximately 6.750% for a 30-year term and 6.250% for a 15-year term.
Understanding Manufactured Home Loan Rates
When considering a loan for a manufactured home, it's essential to look at both the interest rate and the Annual Percentage Rate (APR). The interest rate is the percentage charged on the principal loan amount, while the APR reflects the total cost of the loan, including the interest rate and other charges like origination fees.
Here's a breakdown of example interest rates and their corresponding APRs for fixed-rate manufactured home purchase loans:
Loan Term | Interest Rate | APR |
---|---|---|
30-year Fixed Rate MH Purchase | 6.750% | 6.813% |
15-year Fixed Rate MH Purchase | 6.250% | 6.352% |
Key aspects to remember about these rates:
- Fixed-Rate Loans: These rates are for fixed-rate loans, meaning the interest rate remains the same throughout the life of the loan, providing predictable monthly payments.
- Purchase Loans: The examples provided are specifically for the purchase of manufactured homes. Rates for refinancing or other loan types may differ.
- Variable Factors: Actual rates can vary based on several factors, including:
- Lender: Different financial institutions offer different rates.
- Borrower's Creditworthiness: Your credit score, debt-to-income ratio, and financial history significantly impact the rate you qualify for.
- Loan-to-Value (LTV) Ratio: The amount of the loan compared to the home's value.
- Market Conditions: Overall economic conditions and the prime interest rate influence mortgage rates across the board.
It's always recommended to compare offers from multiple lenders to find the most favorable terms for your specific financial situation.