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FHA mortgage insurance, all manufactured home must comply with the following:

have a floor area of not less than 400 square feet;

be constructed after June 15, 1976, in conformance with the Federal manufactured home construction and safety standards, as evidenced by an affixed certification label in accordance with 24 CFR Section  3280.8; (manufactured homes produced prior to that date are ineligible for insured financing);

be classified and subject to taxation as real estate;

the mortgage must cover both the manufactured unit and its site and shall have a term of not  

more than 30 years from the date amortization begins;

built and remains on a permanent chassis;

designed to be used as a dwelling with a permanent foundation built to FHA criteria; and

the finished grade elevation beneath the manufactured home or, if a basement is used, the lowest finished exterior grade adjacent to the perimeter enclosure, shall be at or above the 100-year return frequency flood elevation .

Modular construction is also a factory-built home, but is treated the same as stick-built housing.

For information on FHA Insurance under the Title II Program, see HUD Handbooks 4150.2 Chapter 8; HUD Handbook 4145.1, REV-2, Section 3-4 and Appendix 11; and Permanent Foundations Guide for Manufactured Housing (HUD-7584), dated September 1996 (Mortgagee Letter 97-36).  The latter is a revision of HUD Handbook 4930.3, dated August 1989.  The guide and software may be obtained by calling 1-800-245-2691 or on the Internet at http://www.huduser.org, then select publications, then Manufactured Housing, then the guide or software.

B.Special State Requirements.   Some states require a state agency to approve all modifications to manufactured (mobile) homes once they leave the factory.  The appraiser and underwriter are held responsible for knowing the local regulations on this.  If the area where the manufactured home is located has such requirements, then the property must meet these requirements or it shall be deemed ineligible for FHA insurance.

C.Age Requirement - A manufactured home must be built after June 15, 1976, and bear an affixed "HUD seal" on each section to be eligible for FHA Insurance.  The appraiser should verify the location and wording on the seal(s).  Manufactured houses built before June 15, 1976, must be rejected.  No exceptions are allowed.

D.Foundation Compliance


All foundation systems, new and existing, must meet the guidelines published in the Permanent Foundations Guide for Manufactured Housing, HUD-7584, dated September 1996.  A certification attesting to compliance with this handbook must be obtained from a licensed professional engineer and included in the insuring file.  This procedure does not apply when the current FHA borrower refinances their loan.  It is applicable for all re-sales.


HUD Handbook 4145.1 Section 3-4. C. Criteria for Existing Properties, dated Feb. 1990 states:  “The foundation design information in HUD Handbook 4930.3,

Copy Printed: REVISION  I

   02/16/0210       Revision Effective:  05-30-00

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