Manufactured Housing Rental (MHR)

Fannie Mae Multifamily provides financing options for Manufactured Housing Communities (MHC) where the Borrower owns the MHC sites, associated common amenities, infrastructure and a higher-than-typical number of park-owned Manufactured Homes.

Term Sheet (PDF)


  • Customized solutions
  • Competitive pricing
  • Certainty of execution
  • Speed in processing and underwriting


  • Existing, stabilized, professionally managed MHC, with or without age restrictions, having a minimum of 50 pad sites
  • Quality Level 3, 4, or 5 communities
  • At least one Key Principal of the Borrowers should have experience in operating an MHC
  • Lenders experienced in financing MHCs and approved by Fannie Mae for participation


5 – 30 years.


  • Up to 30 years for Mortgage Loans covering pads portion of the deal.
  • Manufactured Homes older than 5-years, but younger than 9-years: 10-year amortization.
  • Manufactured Homes newer than 5-years: 20-year amortization.

Interest Rate

Fixed- and variable- rate options available.

Maximum LTV


Minimum DSCR

  • 1.35x 

Property Considerations

  • No restriction on the percentage of tenant-occupied homes.
  • Density is based on market norms and generally should not exceed 12 Manufactured Homes per acre for an existing Community and 7 Manufactured Homes per acre for a new Community.
  • With limited exceptions, all Manufactured Homes should conform to applicable Manufactured Housing HUD Code standards.
  • Additional pricing incentives available for non-traditional MHC ownership forms (e.g., non-profit, government entity, or resident owned).
  • Additional pricing incentives available for Borrowers implementing Tenant Site Lease Protections.

Delivery and Securitization

  • Pads and Coaches portion of the deal must be delivered as separate loans that are cross-collateralized and cross-defaulted.
  • MBS may contain one or more loans, however, loans for pads and coaches cannot be mixed in a single MBS.

Supplemental Financing

Supplemental Mortgage Loans are available.

Prepayment Availability

Flexible prepayment options are available. Mortgage Loans may be voluntarily prepaid upon payment of yield maintenance or graduated prepayment premium for fixed-rate Mortgage Loans or graduated prepayment premium for variable-rate Mortgage Loans.

Rate Lock

30- to 180-day commitments. Borrowers may Rate Lock using the Streamlined Rate Lock option.


30/360 or Actual/360.


Non-recourse execution with standard recourse carve-outs for “bad acts” such as fraud and bankruptcy.


Funding of tax and insurance escrows depend on leverage level. Replacement Reserve escrow is typically required.

Third Party Reports

Standard third-party reports required, including Appraisal, Phase I Environmental Site Assessment, and Property Condition Assessment.


Mortgage Loans are typically assumable, subject to review and approval of the new borrower’s financial capacity and experience.

Minimum Underwritten Vacancy/Collection Loss

Minimum 5% economic vacancy assumption.