Fannie Mae financing FAQ

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What is Fannie Mae™?

Fannie Mae is a program that provides fair, fixed-rate financing to non-traditional mortgage markets. Until recently, this has excluded manufactured housing.

So it’s available for manufactured housing now?

Fannie Mae has a pilot program in New Hampshire that allows owners and buyers of manufactured homes to access mortgage loan products from local lenders.

The loans can be used to:

  • finance the purchase of a manufactured home
  • refinance an existing mortgage of a manufactured home
  • refinance a home to take cash out of the homeowner’s equity

How do homeowners benefit?

  • Access to low, fixed-rate, financing to purchase a new home.
  • Save money each month by refinancing a high-interest-rate loan into a new lower rate.
  • Refinance to make home repairs or improvements.

How does the cooperative benefit?

  • Homeownership in the ROC is more affordable, making it easier for homeowners to pay their monthly rent.
  • Low-cost financing helps co-ops fill vacant sites and increase their monthly earnings.
  • The availability of financing makes the co-op more attractive to homebuyers.

What does our cooperative need to do so our homeowners can access this financing?

The Fannie Mae pilot program is designed to directly benefit homeowners, potential homeowners and resident-owned communities (ROCs). The ROC must take the first steps to apply for access to the program.

  1. ROC must have complete financial records for the previous two years.
  2. ROC amends its bylaws (if it hasn’t already) to insert the Fannie Mae Resolution language and comply with the program’s requirements. Adopting the Fannie Mae Resolution includes approval of Recognition Agreements for homeowners who borrow through the program. This agreement outlines the responsibilities and obligations of the lender, homeowner, and cooperative in a Fannie Mae-eligible loan. Your ROC-NH consultant can assist you with these changes.
  3. The ROC’s attorney must review closing documents, provide an opinion letter, and verify compliance with Fannie Mae requirements.
  4. ROC must submit the application through ROC-NH.

For more information on how to start the Fannie Mae process in your ROC, please contact your ROC-NH technical assistance provider.