Mobile home loan payments follow the standard amortization formula. Monthly principal and interest depends on three inputs: loan principal (home price minus down payment), annual interest rate, and loan term in years. If you are financing a rental property, pair this with the DSCR Loan Calculator to check whether the property's cash flow covers the debt service.
Monthly P&I = P x [r(1+r)^n] / [(1+r)^n - 1]
P = loan principal (home price minus down payment)
r = monthly rate = annual rate / 12
n = total payments = years x 12
For a $120,000 loan at 8.5% for 20 years: r = 0.085/12 = 0.00708, n = 240. Monthly payment = $1,041. Total interest paid over 20 years = $129,900.
Mobile Home Loan Calculator with Down Payment
A larger down payment directly reduces the loan principal and total interest cost. FHA Title II loans allow 3.5% down for borrowers with 580 or higher credit scores. Chattel lenders typically require 10-20% down. The table below shows how down payment size affects monthly payment and total interest on a $150,000 manufactured home at 8.5% for 20 years. For commercial or investment property loan comparisons, see the Commercial Real Estate Loan Calculator.
Down Payment
Loan Amount
Monthly P&I
Total Interest
$0 (0%)
$150,000
$1,302
$162,400
$5,250 (3.5%)
$144,750
$1,256
$156,700
$15,000 (10%)
$135,000
$1,172
$146,100
$22,500 (15%)
$127,500
$1,106
$138,000
$30,000 (20%)
$120,000
$1,041
$129,900
Mobile Home Chattel Loan Calculator: Rates and Terms
A chattel loan is the most common financing type for mobile homes in land-lease communities. The home is classified as personal property, not real estate, so lenders treat it like a vehicle or equipment loan. Rates are higher and terms are shorter than real property mortgages. Once a home is permanently affixed to land you own and titled as real property, you can qualify for FHA Title II or conventional mortgage rates. For investment property mortgage comparisons, use our Commercial Mortgage Calculator.
Loan Type
Rate Range (2026)
Max Term
Own Land Required?
Chattel loan
7.5-13%
20 years
No
FHA Title I
7-10%
20 years
No
FHA Title II
6.75-8.5%
30 years
Yes
VA loan
6.5-8%
25 years
Yes
USDA loan
6.5-8%
30 years
Rural areas only
Conventional
7-9%
30 years
Yes
Used Mobile Home Loan Calculator: What Lenders Require
Used manufactured home financing uses the same payment formula. Enter the sale price, your down payment, the lender's quoted rate, and the loan term above. The calculator works for new and used homes. Key differences from new home financing are listed below.
Age restriction
Most lenders require the home to be 10-15 years old or newer. Some chattel lenders cap at the 1990 model year.
HUD certification plate
The home must have its HUD certification plate (also called the HUD tag) intact. Most lenders will not finance a home without it.
Down payment
Used chattel loans typically require 10-20% down, compared to 3.5% for FHA Title II on qualifying new homes.
Appraisal and condition
Lenders order an appraisal or inspection to confirm the home's current value. Structural damage or deferred maintenance can disqualify the home.
Titling status
Check whether the home is titled as real property or personal property in county records before closing. The title type determines your loan options.
Refinancing outlook
Used manufactured homes on leased land rarely appreciate and are harder to refinance. Plan your budget based on keeping the loan to maturity.
Example Calculation
You are buying a double-wide manufactured home for $140,000 with 10% down ($14,000), borrowing $126,000. You compare a chattel loan at 9% for 20 years against an FHA Title II mortgage at 7.25% for 30 years. If the home will be a rental property, run the returns through the Cap Rate Calculator before committing.
Home price: $140,000
Down payment (10%): $14,000
Loan principal: $126,000
Chattel loan (9%, 20yr): $1,134/mo, $146,160 total interest
FHA Title II (7.25%, 30yr): $860/mo, $183,600 total interest
Chattel: $274/mo more but $37,440 less interest over the full loan.
Common Mobile Home Loan Mistakes
Applying for a conventional mortgage when the home is personal property
Most manufactured homes on leased land are titled as personal property and require a chattel loan, not a conventional mortgage. Applying to the wrong loan type wastes time and produces unnecessary hard credit inquiries.
Not checking how the home is titled before applying
Whether a manufactured home qualifies for real property financing depends on whether it is permanently affixed to owned land and retitled as real property. This distinction controls the loan type, interest rate, and term length available to you.
Underestimating the rate gap between chattel and conventional loans
Chattel loans for manufactured homes typically run 2 to 4 percentage points higher than site-built mortgage rates. On a $100,000 loan, that difference adds $150 to $250 per month in interest and significantly increases total interest paid over the life of the loan.
Forgetting to include lot rent in the total housing cost
If the home sits on leased land, monthly lot rent can add $300 to $700 or more to your carrying cost. Calculating affordability using the loan payment alone produces an incomplete picture that can lead to budget shortfalls.
Missing the FHA Title I versus Title II distinction
FHA Title I loans cover personal property manufactured homes with no land requirement. FHA Title II loans apply only when the home is on owned land and permanently affixed. Using the wrong program during the application process causes delays and potential denials.
Manufactured Housing Institute (MHI): annual data on manufactured home shipments, financing, and market conditions
HR
Hassaan Rasheed
Developer and Researcher, CalculatorFlux
Researches and verifies the formulas, methodology, and source data behind each calculator on CalculatorFlux. All tools are built and checked against the cited references before publication.
Last updated: June 2026
Frequently Asked Questions
Mobile home loans use the standard amortization formula: Monthly Payment = P x [r(1+r)^n] / [(1+r)^n - 1], where P is the loan principal, r is the monthly rate (annual rate divided by 12), and n is the total payments (years x 12). For a $100,000 chattel loan at 9% for 20 years: r = 0.0075, n = 240, monthly payment = $899.73, total interest = $115,935.
If you can buy the land with the home and meet FHA permanent foundation standards, you qualify for FHA Title II at 6.75-8.5% instead of a chattel loan at 8-12%. On a $120,000 loan over 20 years, a 3% rate reduction saves roughly $40,000 in total interest.