Financing insights / 18
Mobile Home Park & Manufactured Housing Community Loans
Manufactured housing communities can require specialized underwriting because financing involves both the underlying real estate and community-level operating characteristics.
At a glance
Manufactured housing communities can require specialized underwriting because financing involves both the underlying real estate and community-level operating characteristics.
MDN Capital Consulting helps sponsors evaluate acquisition, refinance, cash-out, expansion, renovation and transitional financing for mobile home parks and manufactured housing communities.
Financing overview
Financing at a Glance
What Can Be Financed?
- Community acquisitions
- Refinancing
- Cash-out refinancing
- Infrastructure improvements
- Community expansion
- Value-add repositioning
- Transitional properties
- Certain development opportunities
Park-Owned vs. Tenant-Owned Homes
The mix can affect underwriting. A lender will want to understand what collateral is included, how income is generated, condition of park-owned units and the community's operating model.
Hypothetical example
Illustrative Scenario — Value-Add MHC Acquisition
A sponsor acquires a manufactured-housing community with vacant pads and below-market rents. A bridge lender may evaluate acquisition basis, current income, improvement budget, sponsor experience and stabilized value.
Illustrative only. Financing and terms depend on lender underwriting.Borrower questions
Frequently Asked Questions
Can I get a bridge loan for a mobile home park?
Potentially. Bridge financing is commonly evaluated for acquisitions and transitional situations.
Can park-owned homes be included?
Potentially, although treatment varies among lenders.
Can I finance infrastructure improvements?
Potentially. The lender will evaluate scope, cost and impact of proposed improvements.
Can I finance an under-occupied community?
Some lenders consider transitional properties when the sponsor has a credible stabilization strategy.
Financing inquiry
Financing a Manufactured Housing Community?
MDN Capital can evaluate acquisition, refinance, expansion and value-add financing requirements.