The transition from an apartment lifestyle to a mobile home might seem pretty overwhelming. But for some people, that’s the only way to become a homeowner. Buying a mobile home is a cost-efficient option.

A repossessed mobile home is even more cost-friendly, as banks usually sell these homes at a fairly cheaper price than the standard mobile home prices. Before you invest in a repo manufactured home, it’s important to understand the basics of these homes, what they are, and some do’s and don’ts of your investment. Keep reading to learn more about bank repo manufactured homes.

What Exactly are Repo Manufactured Homes?

The mortgage system for manufactured homes works just like the same for your traditional apartments. If the homeowner defaults on the loan payment, the home will go into foreclosure. The bank will eventually seize the property and put it up for sale at a far lower price than its original cost.

The lower price of the home is because of the fact that previous homeowners have lived in it. This makes it a cost-effective choice for homeowners who can’t afford a customized manufactured or modular home. You can look for a used mobile home in the repo mobile home market. You can find such homes by discussing your requirements with a bank, or realtor, and checking out the foreclosed homes websites.

The biggest advantage of buying a repo mobile home is its affordability. As mentioned previously, these are cheaper than new mobile homes, as they are used, and are auctioned off at a very reasonable cost. Those who have a limited budget or are having a hard time finding a deal that suits their needs and the budget can consider repo homes.

Let’s get to the do’s and don’ts for repo mobile homes.


Do Conduct Research Before Buying

Investing in the first repo manufactured home that pops up in the search results is a mistake. It’s possible that the home might be equipped with all the right features, but comparing it with other repo homes is important before you make a decision. Besides, you should always start your research after creating a list of the things and amenities you need in a home. For instance, the floor plan, size, and space are a few essential things you must check.

These homes are mostly customizable and are available in different architectural styles and sizes. You can find single-wide, double-wide, and triple-wide mobile homes, each varying in size and space. Some of them have special amenities, like a jacuzzi, spacious closets, a patio, and a fireplace. Once you know what you want, it gets easier to narrow down your search to the most suitable mobile home for you and your family.

Do Know Your Financing Options

Just like you’d explore your financing options for a traditional site-built home, you should do the same for a repo mobile home. There are multiple options for conventional loans and non-conventional loans. Some programs are designed specifically for mobile home financing.

See if you qualify for FHA, USDA, VA, and other financing programs. You can also get a personal loan for mobile home financing. Other conventional options include Fannie Mae and Freddie Mac. Some lenders also offer insurance plans. They are a good choice if you don’t want to run back and forth between your lender and the insurer for monthly payments.

Do Consider the Location

Carefully review the zoning requirements and the HUD standard for mobile home sizes and development before proceeding with the purchase. With mobile homes, you can buy the land where the home sits or skip that. If you are buying a home in the mobile home park, you will most probably have to rent the land where you will place the manufactured home. If not, you can choose a suitable location, but only if it meets the HUD standard. You also need to check if you can hook up your home to the utilities.


Do Not Buy Before Visiting the Home

You should take some time to visit the manufactured home, so you can get a clear picture of whether it’s equipped with the required amenities, its location, size, vapor barrier, insulation, electricity, and other features.

Do not seal the deal without contacting a realtor or paying the seller a visit. Even if it’s a repo home, you must check it in person and schedule a professional home inspection to get a comprehensive report of the home’s features.

Do Not Worsen Your Credit Score

Many financial programs for those with a low credit score are available, but these often come with high interest, a high down payment, and a short repayment term. When planning to buy a repo mobile home, it’s advisable to avoid borrowing a loan for other properties or your personal stuff.

Pay your utility bills on time and do not make any significant purchases during this period. Anything that might hurt your credit score can also negatively affect your chances of securing a home loan.

Do Not Skip a Full House Inspection

Inspection is a must for every home. While you might check certain parts of your property on your own, you must consider professional manufactured home inspection to ensure the home is in good condition. The roof, walls, bottom part, and foundation specifically are some key factors that are assessed during professional house inspection. The team will check whether the electricity and plumbing units are functional and if the foundation is sturdy enough to support the home. Check these things thoroughly in bank repo homes before investing.


Conduct a thorough due diligence before making any decision. If you don’t have the budget for a repo home, you can finance it through conventional loans or other home financing schemes, such as USDA, FHA, and VA loans.

These options are great for those struggling with poor credit history or lack of enough money for the down payment. Follow the above-listed dos and don’ts of investing in mobile homes and simplify your purchase and financing journey.