This glossary defines the financial vocabulary of factory-built housing development — from the capital stack and pro forma to CrossMod® financing, LIHTC, and the long-term affordability mechanisms that keep manufactured homes within reach for income-qualified buyers. It’s written specifically for developers, CDFI partners, housing finance agencies, and nonprofit teams working on factory-built housing projects.
Use it as a reference while structuring deals, talking with lenders, or training new team members on affordable housing finance. Terms cover everything from predevelopment financing and entitlement costs through end-buyer mortgage products like Fannie Mae MH Advantage®, Freddie Mac CHOICEHome®, FHA Title II, USDA, and VA loans. Revised March 2026.
What You’ll Learn
- How a capital stack comes together — equity, senior debt, subordinated debt, gap financing, and the pro forma that ties it all together
- Federal and state subsidy programs developers use most: LIHTC, NMTC, HUD programs (CDBG, HOME, SHOP, PRICE), CRA loans, and tax-exempt bonds
- End-buyer mortgage products that determine project feasibility: FHA Title II, USDA, VA, Fannie Mae MH Advantage®, and Freddie Mac CHOICEHome®
- Long-term affordability tools — deed restrictions, recapture provisions, shared equity, Community Land Trusts, and ground leases
- Hard costs vs. soft costs, contingency reserves, draw schedules, and the insurance and licensing requirements your lender will ask about