Feature Update: Built-In Mobile Home Collateral Language

 

Overview

Many lenders today finance 1–4 mobile homes affixed to real property as business purpose, residential collateral. Historically, this required workaround documentation strategies—most commonly through a Manufactured Home Rider and an Affixation Affidavit. While functional, this approach was minimalist and fragmented. 

GoDocs now offers a purpose-built solution: collateral-specific language for affixed manufactured homes is integrated directly into the Loan Agreement, Mortgage, and other relevant documents—no rider or patchwork affidavits needed. By embedding these provisions in base documents, GoDocs helps lenders avoid lien priority issues and ensures stronger enforceability. 

How to Order a Mobile Home Loan in InvestorDocs

Ordering a mobile home loan is now as simple as selecting the right property type. Here’s how:

• Start a new loan using the InvestorDocs product.

• Choose any loan type and any property state—this feature works across all options.

• On the Property page, select the new “Mobile Home 1–4 Units” option under Property Type.

• Fill in the borrower and loan details as usual.

• Generate your documents—GoDocs will automatically apply the correct templates for mobile home financing.

What’s New: Integrated Mobile Home Language 

GoDocs’ new mobile home feature is more than a UI update. It introduces substantive legal protections and structural improvements: 

	Legacy Approach	GoDocs Enhancement
Document Structure	Separate rider (e.g., Manufactured Home Rider) or post-closing affidavit	Built-in language across Loan Agreement and Mortgage, requiring no rider
Collateral Coverage	Rider loosely ties manufactured home to land	Core documents treat each Manufactured Home as real property through multiple covenants
Loan Agreement	Generally silent on manufactured home requirements	Adds specific representations, warranties, and covenants for affixation, infrastructure, lease terms, and tax status (see below)
Mortgage	Mentions homes as “structures” without detail	Adds definitions, site/tenant requirements, and enforcement mechanisms across multiple sections
Risk Mitigation	Risk of unsecured or improperly perfected collateral	Language explicitly requires titling, affixation, lien perfection, and leasing controls

Why This Matters 

Using a rider to adapt standard loan documents for mobile homes has long been a workaround, not a solution. This update reduces legal risk and increases operational efficiency, particularly for PLs financing mobile home units. Lenders benefit from: 

• Fewer compliance gaps 

• Streamlined doc generation 

• More consistent loan execution 

• Eliminating fragmented riders 

• Embedding mobile home coverage where it matters 

• Making lien perfection clearer and more secure 

• Reducing risk from improper titling or lease-to-own schemes 

Most importantly, this ensures that mobile homes are not overlooked in the collateral enforcement process—whether during origination or default scenarios. For lenders financing SFR portfolios with manufactured homes, this delivers a better borrower experience and stronger document foundation. 

Key Sample Clauses & Document References 

Loan Agreement Enhancements 

• Definitions 

• • Introduces defined terms like "Manufactured Home"  

• C.2 Statements of Fact Regarding Mortgaged Property 

• • Tax Parcel Integrity: Property is not part of another tax lot; all boundaries are contiguous. 

• • Utilities: Underground utilities meet code. Homes have either compliant septic systems or escrowed funds for public sewer hookup. No private wells. 

• • Home Standards: Homes meet federal standards, have patios or porches, are skirted, and have concealed/removed hitches. 

• • Leasing Restrictions: No rent-to-own or retail sales. All leases are market-rate and pre-approved by Lender. 

• F. Events of Default 

• • It will constitute an Event of Default if the Borrower acquires a Manufactured Home without: 

• • Providing at least 30 days’ prior written notice to the Lender, and 

• • Supplying all required information and executing documents needed for the Lender to perfect a security interest in the home (unless the home is not part of the Mortgaged Property). 

Mortgage Enhancements 

• Definitions Added (Section A): 

• • Improvements now include Manufactured Homes and Sites. 

• • Manufactured Home defined per federal standards (42 USC Chapter 70; 24 CFR § 3280.2). 

• • Site refers to a leased lot within the Mortgaged Property. 

• Lease Requirements (Section D Assignment of Leases): 

• • Borrower must provide executed leases upon request. 

• • Leases must comply with law, use Lender-approved forms, be 6–24 months in term, and exclude purchase options. 

• • Shorter leases require Lender’s prior written consent. 

• • Lender must be notified of material lease form changes. 

• Home Installation Standard/ Maintenance & Documentation (Section G Protection of Lender’s Security): 

• • Homes must be permanently affixed, with wheels/hitches removed. 

• • Foundations must meet frost line or local code requirements. 

• • Anchors and engineered designs required where applicable. 

• • Homes must be taxed as real property. 

• • Borrower must retain manufacturer maintenance programs, warranties, and health notices. 

• Collateral & Use Restrictions (End of Mortgage): 

• • Borrower must execute documents to perfect Lender’s security interest in each Home. 

• • Homes must remain on-site and cannot be moved without Lender’s written consent. 

• • No subdivision or alternative land use agreements are permitted.