modular home financing ny: practical paths to fund your build

How financing typically works

In New York, financing a modular home is often similar to a site-built mortgage when the home is set on a permanent foundation and titled as real property. Lenders underwrite to plans and specs, and an appraiser values the project using comparable stick-built and modular sales. Expect a two-stage process: a construction-to-permanent loan that funds draws during the build, then converts to a long-term mortgage at completion.

Loan options and costs

Common routes include conventional fixed-rate loans, FHA with 3.5% down, VA for eligible borrowers, and USDA in qualifying rural areas. Some borrowers roll land purchase or use land equity as down payment. A single-close construction loan can lock rate early; otherwise, a two-close structure may offer flexibility. Budget for New York closing costs, mortgage recording tax, builder’s risk insurance, and possible interest reserves during construction.

• Get a fixed-price contract and detailed specs.
• Verify modular plans meet NYS code.
• Confirm draw schedule and inspection timing.
• Ask about rate float-down options.

With solid documentation and an experienced lender, you can streamline timelines, control costs, and move in sooner.