How long does it take to fund a loan?


Hi Gang,

I am buying a park. How long does it typically take to fund a loan? Thanks, Peter


Kinda like asking How long does it take to get from New York to Chicago? Are you going with a bank? Is it a local or national bank? Is it a conduit loan? Are you getting a private mortgage? Are you getting a hard money loan? Right now I am waiting on a cash out of a park. The bank’s lawyer has had the papers since 5/6 and the last piece of the puzzle (abstract) since 5/26. Still no closing date. Even with gentle reminders from the begining that we want to close ASAP and we are available anytime. Figure 60-120+ days from application.



We had 90 days total to close (30 DD and 60 finance) per our contract. We went the conventional banking route with about 75-80 LTV. I can say this was the single biggest issue with the overall process.

We contacted national banks, local banks and brokers who ‘specialize’ in MH Parks. We ended up going with a local bank as they were the most flexible to work with. Note that our loan was under $1M and many of the larger institutions no longer dealt with anything else.

I can’t recall how many people told us they would have jumped to finance us 6 months ago, but not anymore.

I don’t think we are in a typical lending environment right now so many of the old standards no longer apply. If you plan on getting a traditional loan, I recommend you give yourself as much time as possible and talk to as many potential lenders. A good number of these guys had no idea what they were talking about - they promised the world and didn’t even come close to delivering.

PS: A few folks wanted me to sign an exclusive with them. I ran from them like the plague.



Typically the standered time is 45-60 days. It all kind of depends on the borrower and how long it takes them to get me the documents needed for the loan. The appraisal is what takes the longest-usually 3 weeks. During that time is when I will will get most of what’s needed from my borrower.

Sometimes it takes the borrower a while to get me what’s needed. In that case I’ve had loans drag on for 3-4 months.

I hope this helps!