“In our area, one of the frustrating things is trying to fund mortgages for mobile homes; there are only a couple lenders who will do them,” Derek Sherbinin, a B.C.-based broker/owner of Centum Mortgage Store told MortgageBrokerNews.ca. “Most just aren’t interested and I don’t know what it is; lenders have really shied away from them in the last year-and-a-half.
According to Sherbinin, there are fewer options for mobile homes, as several lenders have pulled out of the segment.
For his part, Jonah Wright, a mortgage consultant with Mortgage Intelligence
in Nova Scotia
, once relied on these deals as a major part of his business. That’s no longer the case. Especially considering the banks seem to have more options for these clients.
“Banks have an advantage over brokers for this market,” Wright said, noting that several of the big banks offer mobile home mortgages through the respective branches but not through the broker channel.
Wright says he has shied away from these deals and has had to turn clients away or, in some cases, send them directly to the banks.
And those deals he is able to fund often come at a higher cost to the client.
“I got a deal done a few weeks ago and my only option was to go through a credit union,” Wright said. “And they couldn’t offer the most competitive rate.”
Brokers on both sides of the country are reporting fewer options for mobile home mortgages – and missing out on potential business as a result.