NLIC.org

Allison Said:

Why a higher interest rate on modular home mortgage?

We Answered:

It's my understanding that the rate can be as much as double, so, possibly, 12% or better. That's because these homes don't appreciate as much as a traditional home (the buyers market is smaller, there are still some people with negative feelings about modular homes), they can be moved (literally, someone could drive away with the banks equity), but most importantly, because there is a higher rate of loan default with modular homes. Why there is a higher default rate is immaterial. Statistically, the loan is higher risk than a traditional stick built home.

It's still a secured loan though, so you won't pay rates comparable to credit cards, for example. And, of course, the interest is still deductable.

Miriam Said:

what is the best rate for the home mortgage loan?

We Answered:

15 yr is 4.45%

30 year is about 5%

Erica Said:

What's the average going rate for a New Home Mortgage Lead ?

We Answered:

Credit and mortgages can be a very difficult issue for many people. In fact, every situation is different and depends on many circumstances (not included in your question).

Lisa Said:

Why don't we have a 50 year fixed rate home mortgage to lower monthly payments and prevent more foreclosures?

We Answered:

Some Lenders (Argent) did offer 50 yrs. mortgage, but they were sub-prime lenders and most of this bank are out of business. In fact at one ponit many years ago, a Lender use to offer 100 yr. mortgage. We had a loan officer that came accross a client that had a 100 yr. mortgage.