Often when people begin to look for homes they do not consider mobile homes (also referred to as manufactured homes).  Maybe it's because they don't have enough room, are often in large parks, or maybe mobile homes were the subject of too many Jeff Foxworthy jokes to be taken seriously.  For whatever reason often first time home buyers do not consider them.  While, I will grant you that often, a mobile home is not a forever home for most people, it can be a good option for those buyers that are just starting out.  They are usually very affordable, and can help you build some equity.

There are a few things to bear in mind though if your going to look for a mobile home.

First, the famous Dave Ramsey line, "Cash is King," could not possibly be more fitting in the case of mobile homes.  Many mortgage lenders including a lot of banks do not want to take these on.  The reason for this is because they are not on a fixed foundation, which makes them subject to property damage much easier, as well as being moved which can be a liability.  In addition, they are technically motor vehicles and not real estate.  Finally, prior to 1976 there were no standard specs for modular homes.  So that means no quality standards for how they were made.  It is nearly impossible to find a lender that will finance a mobile home prior to 1976.  One other consideration here is that even if you are able to locate a lender many times the interest rate is much higher, sometimes more than double other mortgage rates.

Second, if you are going to be in a mobile home park you will need to pay a monthly ground rent for the space that your mobile home is on.  The mobile park owners divide up the land in the park, and then charge a ground rent or lot rent fee for the lot your home is on. Lot rent fee's can vary from park to park; however in York county the range from around $250-$500 a month on average.  The more services the park provides for you (water, sewer, snow removal, etc...) the more you will pay. 

The final thing you need to bear in mind is that the parks often run like an HOA/planned unit development you must submit an application for approval, and there can often be strict rules governing the parks.  You will typically have 5-7 days from the time your offer is accepted to review the park rules and have your own application accepted.  Some parks will limit what you can do with the land.  For example, often no swimming pools are allowed, but gardening, landscaping and children's play-sets are often fine.