2026-01-02 • 5 min read
Chattel Loan vs Mortgage: What’s the Difference?
Learn why leased land often uses chattel loans and why land ownership can open mortgage-style options. Educational only.
If you’re shopping for a manufactured home, you’ll often hear “chattel loan” and “mortgage” used interchangeably — but they’re usually different structures. This is educational; requirements vary by lender and state.
Chattel loans (common for leased land)
A chattel loan is often used when the home is treated like personal property. This can be common in parks where the land is leased.
Mortgage-style programs (more common with land)
Mortgage-style programs are typically secured by real estate (land + home) when the property qualifies and the lender offers that structure.
What this means for you
- Ask early: land owned or leased?
- Confirm the home’s year and HUD code status.
- Expect different rate/term possibilities depending on the scenario.
Need personalized help?
If you’d like a licensed professional to review your scenario, you can request help here: Get Personalized Help.