Local guidance from Team Romines at Keller Williams Realty | Middle Tennessee
Overview
A HUD Title I loan is FHA-insured financing from a private lender. It can fund home improvements that protect livability or help buy or refinance a manufactured home, lot, or both. HUD does not lend the money; it insures the lender against default. For many Middle Tennessee owners, Title I fits projects that are too large for cash but too small for a full refinance or FHA 203(k).
Team Romines at Keller Williams Realty serves buyers and sellers across Columbia, Spring Hill, Thompson’s Station, Franklin, Maury County, and greater Middle Tennessee. We do not originate Title I loans. We help you determine whether the property, zoning, and timeline support this financing—and connect you with lenders who close these files.
What Is a HUD Title I Loan?
Title I is a federal insurance program under the National Housing Act. There are two products people mean when they say “Title I” or “FHA Title 1”:
- Property improvement loans for repairs and upgrades that substantially improve safety, livability, or utility.
- Manufactured home loans to purchase or refinance the home, the lot, or the home and lot together.
Rates are fixed and set by the lender. There is no prepayment penalty. Title I balances over $7,500 are generally secured by the property, and the structure usually must be completed and occupied for at least 90 days before application.
Title I Loan Limits and Terms in 2026
Confirm all figures with a Title I lender. Congress raised statutory limits in 2026 and directed HUD to update them more often, but lender overlays and HUD handbooks can lag. Published summaries after the 21st Century ROAD to Housing Act include:
|
Loan type |
Published 2026 summary limit |
|
Single-family property improvement |
Up to $75,000 |
|
Multifamily property improvement |
Up to $37,500 per unit, $150,000 max |
|
Single-section manufactured home |
Up to $106,405 |
|
Multi-section manufactured home |
Up to $195,322 |
|
Single-section home + lot |
Up to $149,782 |
|
Multi-section home + lot |
Up to $238,699 |
|
Manufactured home lot only |
Up to $43,377 |
|
Maximum term |
Up to 30 years, as determined by HUD |
Typical costs include an annual FHA insurance charge of about $1 per $100 borrowed, which may be built into the rate. Property improvement loans generally have no HUD-required down payment. Manufactured-home purchase loans often require cash investment—commonly about 5%, and more with weaker credit. Many lenders underwrite to a debt-to-income ratio of 45% or less. HUD does not publish a minimum credit score; lenders set their own standards.
What Can a Title I Property Improvement Loan Pay For?
Eligible work must become a lasting part of the property and improve basic livability or utility. Common examples:
- Roof, siding, windows, insulation, and weatherization
- HVAC, electrical, and plumbing
- Accessibility upgrades such as ramps or wider doorways
- Built-in kitchen appliances
- Energy improvements, including some residential solar
- Site work and alterations on single-family homes
- Certain 2–4 unit and historic residential work
- Fire-safety features that meet recognized codes
- In some 2026 cases, accessory dwelling unit (ADU) construction
Usually not eligible: luxury extras, pools, outdoor entertainment kitchens, portable appliances, nonpermanent window units, debt consolidation, and work completed before application.
Middle Tennessee note: ADU loan approval does not replace city or county zoning approval. Spring Hill, Columbia, and unincorporated Maury or Williamson County rules differ. Team Romines can help flag zoning questions before you spend money on plans.
Who Qualifies for a Title I Loan?
You generally need at least a one-half interest in the property through ownership, a qualifying lease, or a recorded land contract. Manufactured-home improvement borrowers typically must have an interest in the home and use it as a principal residence. Lenders still review credit, income, employment, and debt. Loan proceeds must be used for the work disclosed in the application.
Title I Manufactured Home Loans in Tennessee
Title I can finance a HUD-code manufactured home even when you are not buying land, which may help in a leased-lot community. It can also finance a home-and-lot package. The home must meet HUD construction standards, and approval may depend on foundation, installation, title status, and flood-zone concerns.
Title I is not always the best manufactured-home option. If the home is permanently affixed and titled as real estate, some buyers use Title II FHA, VA, USDA, or conventional manufactured-home loans instead. The right path depends on land ownership, home age, foundation, and lender requirements. Team Romines helps clients compare site-built homes, manufactured homes on owned acreage, and community placements so the financing conversation starts in the right lane.
Title I vs. HELOC, Cash-Out Refinance, and FHA 203(k)
|
Option |
Best when |
Watch-outs |
|
Title I improvement loan |
Focused repairs; limited equity; you want to keep the first mortgage |
Smaller max amount; fewer lenders; insurance cost |
|
HELOC |
You have equity and may reuse funds |
Variable rate; requires equity and strong credit |
|
Cash-out refinance |
You will recast the first mortgage anyway |
Closing costs; rate may be higher than current first lien |
|
FHA 203(k) |
Purchase or refinance plus a larger renovation |
More process, consultant rules, longer timeline |
|
Title II manufactured loan |
Home + land as real property |
Stricter foundation and property rules |
How to Apply
- Define the project and get written contractor bids.
- Pull your mortgage, title, and insurance information.
- Apply with a HUD-approved Title I lender—not a HUD office.
- Provide ownership proof, income/debt documents, and a scope of work.
- Do not start major work until loan conditions are clear.
Not every bank offers Title I. Ask, “Do you currently originate HUD Title I property improvement or manufactured-home loans in Tennessee?” If the answer is unclear, keep looking.
How Team Romines at Keller Williams Realty Helps
Rochelle and Andrew Romines work with first-time buyers, move-up families, and owners of older or rural properties throughout Middle Tennessee. For Title I decisions, that usually means:
- Identifying whether the home is a better Title I, 203(k), or conventional file
- Checking how manufactured-home foundation and land ownership affect marketability later
- Timing a purchase so repairs do not collide with closing
- Connecting you with local lenders and, when needed, HUD-approved housing counseling
- Keeping the American Dream practical: the right house, the right financing, no surprises
Frequently Asked Questions
Is a Title I loan the same as an FHA purchase loan?
No. A standard FHA purchase loan is a Title II first mortgage. Title I is a separate insured program for improvements or manufactured-home financing.
Can I use Title I when I buy a house in Columbia or Spring Hill?
Sometimes. Some buyers pair improvement funds with a purchase, but it requires a lender who will coordinate both pieces. It is not automatic.
Do I need equity for a Title I improvement loan?
HUD does not require equity the way a cash-out refinance does. Larger loans still need to be secured, and the lender must be comfortable with repayment.
Can Title I finance a manufactured home in a park?
Often yes, if the home itself qualifies and the lender accepts the community lease. Lot-only and home-and-lot rules are different.
Should I call a Realtor or a lender first?
Call both. The lender qualifies the loan. Team Romines helps you avoid spending time on a property type or repair plan the financing will not support.
Bottom Line
HUD Title I can be useful for modest repairs, accessibility improvements, and manufactured-home purchases. Because limits and eligible uses changed in 2026, verify current figures in writing. For Middle Tennessee owners, the key question is not whether Title I exists. It is whether this property and project fit Title I better than a HELOC, refinance, or 203(k).
Ready to Talk Through the House, Repairs, and Financing Path?
Team Romines at Keller Williams Realty
Rochelle Romines — 941.773.4542 — rromines@kw.com
Andrew Romines — 931.922.6711 — aromines@kw.com
www.rochelleromines.com
1507 Nashville Hwy, Suite C, Columbia, TN 38401
Call us to talk through the house, repairs, and financing path.
Disclaimer: This article is for general education only and is not a loan offer, credit decision, or guarantee of financing. FHA Title 1 guidelines, loan limits, mortgage insurance, and lender overlays can change. Contact an FHA-approved lender to confirm current requirements and whether you and the property qualify. Team Romines at Keller Williams Realty can help you evaluate homes and connect you with preferred lenders, but they do not originate mortgages.