does the va loan cover modular homes

Yes, the VA loan does cover modular homes. Modular homes are a popular option for many homebuyers due to their affordability, energy efficiency, and customization options. If you are a veteran or a service member looking to use a VA loan to purchase a home, you’ll be glad to know that modular homes are indeed eligible under the VA loan program.

Modular Homes: A Brief Overview

Modular homes are built in sections or modules off-site in a factory setting, and then transported to the home site for assembly. They are constructed using the same materials as traditional stick-built homes and must comply with local building codes. However, there are a few key differences that set modular homes apart:

  • Modular homes are typically more cost-effective compared to traditional site-built homes.
  • They offer faster construction times, as the factory setting allows for efficient production and minimal weather disruptions.
  • Modular homes can be customized as per the buyer’s preferences, allowing for a personalized touch.
  • They are known for their energy efficiency, often exceeding the energy standards of traditional homes.

Considering these advantages, it’s no wonder why many veterans and service members are interested in purchasing modular homes. Luckily, the VA loan program supports their financing needs.

Eligibility for VA Loans and Modular Homes

In order to qualify for a VA loan to purchase a modular home, you need to meet the eligibility requirements set forth by the Department of Veterans Affairs. These requirements include:

  1. You must be an active-duty service member (including National Guard or Reserve), a veteran, or a surviving spouse of a service member.
  2. You must meet the credit and income requirements set by the VA and the lender.
  3. You must obtain a valid Certificate of Eligibility (COE) from the VA.

Once you meet these basic criteria, you can move forward with the loan application process to finance your modular home purchase using a VA loan.

VA Loan Limits for Modular Homes

The VA loan program imposes certain loan limits on the amount you can borrow. These limits determine the maximum loan amount. However, it is important to note that modular homes that meet the local building codes and are considered real property are not subject to VA loan limits. This means that you can secure a VA loan to cover the full cost of your modular home, without being restricted by loan limits.

Additional Considerations

While the VA loan does cover modular homes, it’s essential to keep a few additional considerations in mind:

  • Make sure the modular home is built by a reputable manufacturer. Verification of the manufacturer’s certification and compliance with applicable building codes will be required during the loan approval process.
  • Shop around for lenders who have experience with VA loans for modular homes. Some lenders may have specific requirements or restrictions.
  • Budget for any additional costs, such as foundation installation, site preparation, and utility connections, which are not typically included in the modular home price.


The VA loan program is an excellent option for veterans and service members looking to purchase a modular home. With the ability to finance the full cost of the home and benefits like no down payment and competitive interest rates, the VA loan offers a convenient and affordable path to homeownership for those interested in modular homes. If you meet the eligibility requirements, utilize the resources available to educate yourself about the process, and work with experienced professionals, you can make your dream of owning a modular home a reality with a VA loan.