All loans made under the program will comply with the following terms and criteria in addition to any other requirements imposed by OHCS:

1. (1)

   1. (a) The OHCS manufactured dwelling replacement loan is a gap loan to be used to assist in the completion of the Manufactured Dwelling Replacement Project after all other financial resources available to the homeowner have been utilized. There is no minimum loan amount. Loans for a single-wide Manufactured Dwelling or equivalent are not to exceed $100,000, and loans for a double-wide are not to exceed $175,000.  The Director of the Homeownership Division may approve an increase of up to $25,000 above the original loan amount when unavoidable and unexpected costs increase the original completed project amount.  A director increase may not exceed program limits.
   2. (b) The loan amount for each Manufactured Dwelling Replacement Project shall be determined through a process prescribed by OHCS.

2. (2) Homeowner(s) must contribute other available financial resources from sources other than OHCS such as loans, grants, insurance proceeds, savings, or other resources available to the homeowner, toward the cost of the Manufactured Dwelling Replacement Project.

   1. (a) Minimum homeowner contribution shall be determined through a review process prescribed by OHCS and will be considered the primary funding source for the Manufactured Dwelling Replacement Project.
   2. (b) Homeowner(s) may not be required to utilize or access personal financial resources for homeowner minimum contribution if doing so would cause the homeowner(s) to incur a tax penalty such as from early withdrawal from a retirement account or IRA.
   3. (c) Minimum homeowner contribution requirement may be reduced or waived at OHCS discretion on a case-by-case basis, with approval of the Director of the Homeownership Division of OHCS.
3. (3) The new, replacement Manufactured Dwelling selected by homeowner shall be reviewed and approved by OHCS, meet or exceed Energy Efficiency Standards, and must have the same number of sections and be of similar size as the Manufactured Dwelling that is being replaced. Exceptions to the requirement to meet or exceed Energy Efficiency Standards may be made at the discretion of OHCS for homeowners impacted by natural disasters who do not have access to energy efficiency incentive programs in their location.
4. (4) Program loans have a zero percent (0%) interest rate.
5. (5) Program loans do not require regular principal payments.
6. (6) When a homeowner requires a primary home loan from a lender other than OHCS or other funding sources to complete the Manufactured Dwelling Replacement Project financing, OHCS will agree to subordinate its loan to these funding sources as a security interest holder.
7. (7) The Program loan balance at closing will be reduced incrementally by 1/120th each month and forgiven completely after 10 years of continuous homeowner occupancy of the new Manufactured Dwelling from the loan origination date, subject to homeowner compliance with all Program requirements.

8. (8) If the Manufactured Dwelling is sold or is no longer the primary residence of the homeowner before the 10-year homeowner occupancy period expires, the outstanding balance of the Program loan shall be immediately due and payable unless:

   1. (a) The Program loan is assumed by a buyer who meets the minimum income restrictions set forth in ORS 458.356(2)(a) or the minimum income restrictions set forth in the Program loan documents, whichever is more restrictive, or
   2. (b) The remaining balance of the Program loan is forgiven by OHCS due to hardship. Any such loan forgiveness shall be at the sole discretion of OHCS.
9. (9) The Program loan may be secured by a recorded or filed security interest through a process prescribed by OHCS. OHCS may charge a homeowner for costs incurred by OHCS for filing or recording of documentation or application as necessary to secure the Program loan. The homeowner may pay for these charges from the homeowner’s Program loan or from personal funds.
10. (10) A Program loan may be made to refinance an existing loan, provided the existing loan can be verified as True Debt, was made for the purpose of an otherwise qualified Manufactured Dwelling Replacement Project, and the existing loan was made after January 1, 2020.

11. (11) Program loan and grant fund disbursements must comply with the following:

    1. (a) Program loan and grant funds may only be disbursed upon submission to OHCS of invoices received from Manufactured Dwelling retailers, licensed contractors, financial institutions and lenders, title insurance companies, municipalities and government agencies, or other commercial entities for costs required for completion of the Manufactured Dwelling Replacement Project.
    2. (b) Deposits to Manufactured Dwelling retailers for the purchase of the new Manufactured Dwelling may only occur after a placement permit has been received by the homeowner & verified by OHCS. Deposits for any purchases or work for the Manufactured Dwelling Replacement Project must not exceed 50% of the invoice or estimate total.
    3. (c) Program loan and grant funds cannot be disbursed to any individual or entity residing in or holding an ownership interest or security interest in the Manufactured Dwelling being replaced or persons who will hold title to any real property that the new Manufactured Dwelling is to be located or placed upon.

12. (12) The unpaid balance of the Program loan must be repaid in full upon:

    1. (a) The homeowner’s sale or voluntary transfer of the Manufactured Dwelling without OHCS prior written consent, within 10 years of homeowner occupancy; or
    2. (b) The relocation of the Manufactured Dwelling without OHCS prior written consent; or
    3. (c) The Manufactured Dwelling ceasing to be the homeowner’s primary residence; or
    4. (d) The replaced Manufactured Dwelling remaining on site 180 calendar days after the Manufactured Dwelling Replacement Project is completed.
       

Statutory/Other Authority

ORS 458.356 & ORS 458.358

Statutes/Other Implemented

ORS 456.555, ORS 446.003, ORS 455.010 & ORS 90.100

History

OHCS 26-2025, amend filed 06/16/2025, effective 06/16/2025
OHCS 20-2023, amend filed 08/28/2023, effective 08/28/2023
OHCS 29-2022, amend filed 10/24/2022, effective 10/24/2022
OHCS 13-2022, temporary amend filed 06/07/2022, effective 06/07/2022 through 11/20/2022
OHCS 13-2021, amend filed 12/17/2021, effective 12/17/2021
OHCS 6-2021, temporary amend filed 06/07/2021, effective 06/07/2021 through 12/03/2021
OHCS 20-2020, adopt filed 10/12/2020, effective 10/12/2020