Home equity loans are offered against the equity vested in your home. It is the value of your house in the fair market minus any existing mortgage on the same. Some of the borrowers have mobile homes. The mobile home equity loans allow you to obtain loans as well. It is offered against the equity in the mobile home. The mobile home is used as collateral.  Home equity loans are used for different purposes like debt consolidation, medical bills, education etc.
Though mobile home equity loans are not very popular when compared against the regular home loans. You may not find many lenders offering loan on mobile homes. Lenders see a lot of risk in offering loans on mobile homes as it becomes difficult to foreclose the defaulter’s loan. In the history of foreclosures, mobile home equity loans stand first. Thus it is difficult to seek loan against a mobile home.
There are certain guidelines attached to offering mobile home loans. It requires that the house should be built after 1977. The house must agree to the housing and urban development standards. The size requirement should match the guidelines. The house must be livable and should have skirting. The other requirements like borrower’s financial situation and payback ability are also looked at.

Credit history plays a critical role in approval of any loan. The borrower should check before applying for the loan if the property he has meets the requirements to obtain loan. The terms and conditions attached to the loan, the paperwork required, fees attached to the loan, credit check are some of the things for which a proper home work is required. A good lender ensures a good deal thus peace of mind after loan.
Mobile home built on the land have higher equity value as compared to the one built on the parks. Mobile homes appreciate very slowly as compared to the regular homes thus it is very difficult to increase the value of the mobile home. Mobile homes do not require much to maintain. The tax on the mobile home is less as the value of the mobile home is less. Make sure you have insured your mobile home. For some of the young starters mobile home is the only option. It allows a lower initial price as well. Everything like maintenance, monthly payments, property tax, and insurance is less on mobile home but it offers a faster equity build up.