How to Refinance a Manufactured Home in Texas

Refinancing a manufactured home in Texas is one of the most underused financial tools available to homeowners. Many buyers close with a high-rate chattel loan or an older FHA mortgage and never revisit it, leaving thousands of dollars on the table over the life of the loan. Texas actually offers more refinance options than most states thanks to FHA Title I and II, VA IRRRL, Freddie Mac CHOICEHome, Fannie Mae MH Advantage, and a growing list of chattel refi lenders. This guide walks through when refinancing makes sense, which loan product fits your situation, and the exact documents and steps you need.

Quick Answer: Yes, you can refinance a Texas manufactured home. The best product depends on the title: homes titled as real property on owned land with a permanent foundation qualify for FHA Title II, VA IRRRL, and conventional refis (often 6 to 8 percent APR in 2026). Homes on leased land use FHA Title I or chattel refi (typically 8 to 11 percent). A successful refi usually saves 0.75 to 2.5 percent on rate.

When Refinancing a Manufactured Home Makes Sense

Refinancing is not automatically good. The math has to work after closing costs, and your plans for the home matter. Refinance if at least one of these applies:

• Rate drop: New rate is at least 0.75 to 1.0 percent below current rate and you plan to stay 3+ years.
• Chattel-to-mortgage upgrade: You own the land now and want to convert the home to real property for a lower-rate mortgage. See our guide on Texas manufactured home regulations.
• Remove PMI or MIP: You have 20 percent+ equity and want to drop mortgage insurance.
• Shorten the term: Refi from 30 to 20 or 15 years to build equity faster.
• Cash-out for repairs or debt consolidation: Texas limits this to 80 percent LTV and requires specific disclosures.
• Remove a co-borrower: Divorce or partnership dissolution.

The Five Refinance Products Available in Texas

Not every lender offers every product, and manufactured home refi is a specialty. Here is how the main options compare on a typical Texas single-family manufactured home.

Product	Title Required	Min Credit	Max LTV	Typical Rate Range	Best For
FHA Streamline (Title II)	Real property	580	Current balance	6.0 to 7.5%	Existing FHA borrowers
FHA Full Refi (Title II)	Real property	620	96.5% rate/term, 80% cash-out	6.5 to 8.0%	Non-FHA to FHA
VA IRRRL	Real property	580 (lender)	Current balance	6.0 to 7.25%	Existing VA borrowers
Conventional (Freddie/Fannie MH)	Real property	660	95% rate/term, 80% cash-out	6.75 to 8.5%	20%+ equity, good credit
Chattel Refi (FHA Title I or private)	Personal property	600 to 640	90 to 95%	8.5 to 11.5%	Park residents, leased land

FHA Streamline Refinance

If you currently have an FHA loan in good standing (no 30-day lates in the past 12 months, no more than one in the past 24), the FHA Streamline is the single easiest refinance in America. In most cases, it requires no new appraisal, no income verification, and no new credit check. The new loan must provide a "net tangible benefit" of at least 0.5 percent APR reduction. Read the full program details at HUD's Single Family Housing page.

VA IRRRL (Interest Rate Reduction Refinance Loan)

Veterans with existing VA loans on manufactured homes get the VA IRRRL, often called a "VA streamline." No appraisal, no income docs, minimal paperwork, and the VA funding fee drops to 0.5 percent. The home must already be on a permanent foundation and titled as real property. Details are on the VA manufactured home loan page.

Conventional Refinance (Freddie CHOICEHome and Fannie MH Advantage)

These two programs treat qualifying manufactured homes as site-built for underwriting purposes. Requirements: built after June 15, 1976, permanent foundation, real property title, minimum home size (usually 600+ sqft for single, 1,000+ for doublewide), and certain exterior features (eave, drywall, energy-efficient spec for MH Advantage). Rates land 0.25 to 0.75 percent above comparable site-built rates.

Chattel Refinance

If your home is in a park on leased land, your only refi options are chattel products. These behave like auto loans: shorter terms (15 to 25 years), higher rates (8.5 to 11.5 percent), and fewer lenders. Credit 640+ and 12 months of clean payment history get you the best chattel refi rates. Read our chattel loans explainer for how these work in detail.

Rate-and-Term vs Cash-Out Refinance in Texas

Texas has the strictest cash-out rules in the country. The state constitution (Article XVI, Section 50(a)(6)) protects homestead equity with several specific requirements:

• 80 percent LTV cap: Total loan cannot exceed 80 percent of appraised value.
• 3 percent fee cap: Total fees on the cash-out portion cannot exceed 3 percent of the loan amount.
• 12-day cooling off: 12 days must pass between application and closing.
• One cash-out per year: You cannot do two cash-out refis in the same 12-month period.
• Only one active cash-out: Any prior cash-out must be refinanced (or paid off) as part of the new loan.
• Closing at title company, attorney, or lender office: Not at home.

A rate-and-term refinance (no cash pulled out) is not subject to these caps and is much faster to close. If you only want a lower rate or shorter term, always choose rate-and-term.

Documents You Will Need

Manufactured home refi docs are almost identical to a standard home refi, with two extras: the Statement of Ownership and evidence of foundation classification. Start gathering these before you apply.

1. Last 2 years of tax returns (W-2s if simple employment).
2. Last 2 months of pay stubs.
3. Last 2 months of bank statements for all accounts.
4. Current mortgage statement and payoff quote.
5. Homeowners insurance declarations page.
6. TDHCA Statement of Ownership showing current lienholder and real-property election status.
7. Deed to the land (if real property).
8. Foundation certification from a Texas PE (HUD-7 form or equivalent) for FHA Title II, VA, or conventional.
9. Current property tax statement.
10. Government-issued photo ID for all borrowers.

If your home is not yet titled as real property but sits on owned land with a qualifying foundation, you can file the TDHCA election as part of the refi. Read our regulations guide for the conversion process.

Step-by-Step Refinance Timeline

A typical Texas manufactured home refi closes in 30 to 45 days. Streamline products can close in 2 to 3 weeks. Here is what to expect.

1. Week 1: Shop 3+ lenders, lock rate, submit application and docs.
2. Week 2: Appraisal ordered (if required), title search, lender review.
3. Week 3: Conditions cleared, foundation cert uploaded, underwriting decision.
4. Week 4: Clear to close, final disclosure issued, 3-day right of rescission begins.
5. Week 5: Closing at title company, funding, new SOL filed with TDHCA if applicable.
6. Week 6+: First payment on new loan.

Common Refinance Pitfalls

Every one of these has killed a Texas manufactured home refi at the finish line. Know them going in.

• Missing foundation cert: No Texas PE letter means no FHA Title II, VA, or conventional.
• Unreleased old liens on the SOL: Old chattel loans sometimes remain on the Statement of Ownership even after payoff. File a lien release with TDHCA before you apply.
• Appraisal comes in low: Manufactured home appraisals can lag the market. Provide 3 to 5 strong comps to the appraiser up front.
• Home moved without notice: A home physically relocated without an updated SOL can stall a refi for weeks.
• Dealer-financed balloon: Some dealer loans have 5-year balloons that surprise owners. Refi before the balloon, not after.
• Chasing the lowest rate without checking APR: Low-rate teaser products often carry 4 to 6 percent in points and fees.

The CFPB's manufactured housing loan guide is the single best consumer resource for comparing disclosures. For borrowers who struggled with credit on the original loan, our bad-credit financing guide lays out rebuild steps that often enable a better refi 18 to 24 months later.

Frequently Asked Questions

How long after buying should I wait to refinance?

Most programs require a seasoning period: 6 months of payments for FHA Streamline, 7 months for VA IRRRL, and 12 months for conventional cash-out. Rate-and-term conventional refi can happen as early as Day 1 but only makes sense if rates have dropped meaningfully or you need to remove someone from the loan. Plan on 6 to 12 months before most refi math works.

Can I refinance a manufactured home in a park on leased land?

Yes, through a chattel refinance. FHA Title I, 21st Mortgage, Triad Financial, Cascade, and a handful of credit unions serve this market in Texas. Rates run 8.5 to 11.5 percent depending on credit, age of home, and park lease length. The park usually has to sign a lease consent letter stating the land lease has at least as many years remaining as the loan term.

Does refinancing change my property taxes in Texas?

Refinancing alone does not trigger a reappraisal. However, converting a home from personal property to real property during the refi (which many buyers do to access better loans) does change how the county appraisal district values the home going forward. You may gain or lose homestead exemption depending on how the prior taxes were structured.

What is the minimum balance for a manufactured home refinance?

Most conventional and government lenders have a $50,000 minimum loan amount. Chattel lenders will go down to $20,000 to $30,000 but with higher rates. Below $20,000, refi math rarely works because closing costs eat the savings. For very small balances, consider paying off aggressively instead.

Can I refinance to remove my ex from the loan after divorce?

Yes. A rate-and-term refinance is the standard tool for removing a co-borrower after divorce in Texas. You will need to qualify on your own income and credit. If the divorce decree awards you the home, bring the decree to the lender. Texas is a community property state so the lender will usually require a spousal waiver or a release of marital rights signed by the departing spouse at closing.

Thinking about refinancing your Texas manufactured home? Mobile Buy Buy partners with lenders who actually understand manufactured home financing, from Statement of Ownership conversions to chattel refi. Call (737) 777-9437 or contact us for a no-pressure rate review.