Lending
Modular Home Loans in the Sacramento Region
Financing for modular homes, which most lenders treat like site-built homes once they're on a permanent foundation.
Talk to Maggie directly: cell (916) 549-3131 (text or call) · maggie@loveyoursurroundings.coMaggie B. Hopkins, NMLS #349517 · Surroundings NMLS #2528307
What is a modular home?
A modular home is built in sections in a factory, trucked to your lot and set on a permanent foundation. Once it's finished, it looks and lives like a home built on site.
The key point for financing is the building code. Fannie Mae's Selling Guide (topic B2-3-02, dated February 4, 2026) says modular homes must be built under the International Residential Code, as administered by the state where they are installed. That's the same family of codes used for site-built homes.
In California, the state housing department (HCD) runs a factory-built housing program. HCD's insignia page (checked October 22, 2026) says factory-built housing sold to first users must carry an HCD insignia of approval, placed on the unit before it ships.
How is a modular home different from a manufactured home?
They're both built in a factory, but lenders treat them very differently:
- Modular homes are built to state and local building codes. Fannie Mae (topic B2-3-02, February 4, 2026) says they are not manufactured housing and are treated the same as site-built homes. It sets no extra minimum width, size or roof pitch for them.
- Manufactured homes are built to HUD's federal code, the HUD Code, and carry a red HUD certification label on each section. HUD's homeowner resources page (checked October 22, 2026) says they're built on a permanent chassis. Lenders add their own rules for them on top of the usual ones.
If you aren't sure which kind of home you're looking at, the labels tell you. A HUD label means manufactured. Our mobile and manufactured home loan page covers those homes in depth.
How do lenders finance a finished modular home?
Once the home is on its permanent foundation and complete, you can usually finance it with the same loans used on site-built homes. That includes conventional, FHA, VA and USDA loans, when you and the home meet each program's rules.
Fannie Mae (topic B2-3-02, February 4, 2026) says the home must be permanently attached to a foundation that meets local building code and the manufacturer's recommendations. Any axles, wheels or tow hitch must be removed before sale.
Buying a modular home that's already built? Then it's a regular purchase loan. The appraiser compares it with nearby sales like any other home.
How do you pay for the home while it's being built and set?
A new modular home has a gap to cover. The factory builds it, it's delivered and set, and the site work gets finished. A regular mortgage doesn't fund until the home is done. A construction loan bridges that gap.
The same choices apply as with a site-built home. A one-time close sets up the build and the permanent loan together. A two-time close uses a separate permanent loan at the end. Payments to the factory, the set crew and the site contractors come out in stages as the work is done.
Some factories want deposits before production starts. Ask the dealer for the payment schedule early, so the loan and the build line up.
What should you check before you order a modular home?
Ask these questions before you sign with a factory or dealer:
- The lot. Can a truck and crane reach it? Are water, sewer or septic, and power available?
- Permits. HCD's guidance says the local building department inspects the installation. Foundation and site work go through the city or county.
- Who does what. Who handles the foundation, the set, the utility hookups and the finish work? What does the factory price include?
- The timeline. Factory build time, delivery, set and finish. Construction loans have time limits, so the schedule matters.
- Value. What do similar homes nearby sell for? The appraisal will ask the same question.
Can one team help with the land and the loan?
Yes. Maggie is a licensed real estate broker and a mortgage broker. If you need a lot, the same team can help you find one, write the offer and check what it will take to build. Then we line up the financing for the land, the build and the permanent loan.
Across Sacramento, Placer, El Dorado and Yolo counties, lots vary a lot in utilities, slope and access. Looking at those before you buy saves money later. You're free to use any lender you like, and we'd like the chance to quote your loan.
How do you start a modular home loan?
Fill out the loan options form and tell us about the home and the land. Maggie will look at it and get back to you within 2 hours. You can also call Maggie's cell at (916) 549-3131.
Bring the dealer's quote, the floor plan and your lot details if you have them. To test a monthly budget, try our mortgage calculator. For a short overview of all our specialty loans, see USDA, construction and mobile home loans.
Frequently Asked Questions
Is a modular home the same as a manufactured home?
No. A modular home is built to state and local building codes and set on a permanent foundation. A manufactured home is built to HUD's federal code on a permanent chassis. Fannie Mae treats modular homes like site-built homes.
Can I get a conventional loan on a modular home?
Yes, when the home is complete and on a permanent foundation. Fannie Mae's Selling Guide (topic B2-3-02, February 4, 2026) treats modular homes the same as site-built homes.
Do I need a construction loan for a new modular home?
Usually, yes. A regular mortgage funds once the home is finished, so a construction loan covers the factory, delivery, set and site work until then.
Who inspects a modular home in California?
HCD approves factory-built housing at the factory and its insignia goes on before shipping. The local building department inspects the foundation and installation on your lot.
Will a modular home appraise like a site-built home?
Appraisers compare it with nearby sales, as with any home. That's why it helps to check what similar homes in the area have sold for before you choose a plan.
Talk to Maggie directly: cell (916) 549-3131 (text or call) · maggie@loveyoursurroundings.coMaggie B. Hopkins, NMLS #349517 · Surroundings NMLS #2528307
Loans are arranged through Maggie B. Hopkins, NMLS #349517 · Surroundings NMLS #2528307. This is not a commitment to lend. All loans subject to credit approval and property qualification. Equal Housing Lender.
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