Providing Multifamily Financing to Manufactured Housing Community Owners

Multifamily Manufactured Housing Community

Freddie Mac Multifamily recently announced it will purchase and securitize Manufactured Housing Community (MHC) loans as part of its efforts to increase access to affordable housing.

Our financing will help to provide debt capital to more non-metro and rural areas and housing options for underserved populations. We will work with experienced lenders to finance stabilized, high-quality, professionally-managed communities owned by experienced operators and will securitize these loans.

These are commercial loans made to professional owners and operators of the communities, not loans made to individuals to buy a manufactured home. Our borrowers own the land in the community, its amenities and infrastructure and rent the home sites to residents.

The New Look of the Communities

The MHCs today bear little resemblance to their predecessors 50 years ago. Most communities are geared toward families and retirees, and provide an inclusive neighborhood atmosphere. You can find beautiful communities with tree-lined streets, landscaped yards, tennis courts, swimming pools and clubhouses. Residency is no longer considered mobile as it can be very costly to move a manufactured home – providing for a more stable community with longer tenant retention.  In addition, lending to the community owners helps maintain the community's quality by increasing the capital for improvements or renovations.

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