White House Announcement on MH "PRICE" Program and FHA Title I Loan Limit Increases

On February 29 the White House announced “New Actions to Boost Housing Supply and Lower Housing Costs.”  Specific for MH, first HUD announced a new $225 million grant program for the preservation and revitalization of manufactured housing and eligible manufactured housing communities.  This grant program is limited to only, “local and state governments, Indian Tribes or their Tribally Designated Housing Entities (TDHEs), multi-jurisdictional entities, resident-controlled MHCs, cooperatives, non-profit entities (including consortia of non-profit entities), Tribal non-profits, community development finance institutions (CDFIs), and Native CDFIs.”  Of the total award, $25 million is dedicated to a new program to replace existing MHs that are in disrepair.

Also included in the announcement were the loan limit increases in FHA’s published final rule.  Title I MH FHA loan program has been increased to $69,687 (previously was $48,600), with additional loan increases for lot-only and home and lot loans.  They will also start increasing annually the loan limits going forward based on a new pricing index and method that more accurately reflects market prices for MH at, basically, 115% of the average market price.