PRICING

 

According to The American Tiny House Association, the average cost for a tiny house on wheels in 2016 was $65,000 – $70,000.  Our homes are anything but average, from quality of materials used and the build-quality, to the extreme versatility and inherent storm resistance that can only be found with an RSG home.   Site-prep costs average about $25,000, including trenching and running water/electric/septic.  Please note that this is for estimating purposes only, and a lot depends on the type of foundation you choose, on whether or not your situation requires septic, etc…

 

Complete Homes: (please note that the price for each of these will vary depending on options, if on a trailer, etc..)

20’ Wanderer: $30-$50k.

40’ Sensualist: $70-$90k.

40’ Vista: $70-$90k.

40’ Expedition: $70 – $90k.

 

Additional Modules:

20’ Bedroom/Bath: $20-$30k

20’ Kitchen/Bath: $30-$40k

20’ Kitchen: $20-$40k

 

40’ Kitchen/Bath/Utility: $50-$70k

40’ 2 Bedroom/2 Bath: $30-$40k

40’ 2 Bedroom/1 Bunk/1 Bath: $30-$40k.

 

Please note that this is the price for the home or module itself, excluding site-prep and utilities, as well as any additional site-built features such as decks, porches, roofs, etc…

 

 

How to Finance your Resilient Shelter Group House

Please note: when buying a Tiny House, whether its on wheels or on a permanent foundation, cash reigns supreme.It is important to note that Tiny Homes do not qualify for traditional home mortgages, in part because they are typically not attached to real property, don’t meet many minimum square footage requirements htat have crept into the building codes, and so on. Have said that – if you have a down payment of at least 20%, you will dramatically increase your odds of successfully getting financed.

RSG houses are typically built either on a foundation (stemwall, piers, etc…) or on a trailer that allows mobility for your RSG home. What your RSG sits on can influence which financing options are available. RSG houses that are situated on permanent foundations may provide security for a personal or construction loan. Financial institutions may not be as quick to loan against tiny homes on wheels, as they can be moved. On the other hand, RSG homes on wheels may qualify for RV loans. Below are four ways to finance your RSG house.

HELOC

Perhaps the easiest way to finance a tiny home is a Home Equity Line of Credit or “HELOC”. Most lenders will loan you a percentage of the equity in your home. Home equity loans are the easiest to qualify for and generally have the best terms. For those reasons, if you are already a homeowner this would be a great choice.

Personal loan or line of credit

These loans may be secured by your RSG home or unsecured.    Personal loans are made for a specific amount, usually carry fixed rates and are repaid at a consistent payment amount over a specific period. A personal line of credit offers a credit line that you can draw against as needed. If you are building your own tiny home, this can be a good option as you pay interest only on amounts you’ve used.

Lightstreamoffers unsecured, low-interest loans* to people with good credit. There are no home-equity requirements, and no fees, and their loan process is refreshingly simple.

*All loans are subject to credit approval by LightStream. If approved, your APR will be based on loan purpose, amount, term and your credit profile. Conditions and limitations apply. Advertised rates and terms are subject to change without notice.

Backed, a personal loan startup with a cosigner-friendly model, has a product customized for tiny house buyers, who the company sees as a “lower risk community” since going mortgage- and debt-free is one of its cherished values. This involves a loan amount of up to $35,000, lasting up to five years, with an inherent APR reduction baked into the application.

With Backed, adding a cosigner can reduce APR rates and the entire cosigning process is completely digitalized, including payment notifications and a 15-day grace period for covering a missed payment. Backed is currently only operating in New York, New Jersey, Florida, Arkansas, Alaska, and West Virginia, but will work with affiliated lenders to accommodate applicants from other states

RV loan

RSG homes built on trailers can be RVIA certified, and may qualify as recreational vehicles that can be funded with RV loans. The amount the bank is willing to lend, generally not to exceed $100,000, and the interest rate will be determined by financial factors such as your credit score, debt-to-income ratio, work history, etc.  Most banks and credit unions offer RV financing. Your history with a particular bank or credit union can help offset some shortcomings in your credit history. Because of this your primary bank is a great place to start seeking financing.

Having said this, bear in mind that this option depends on how your state defines recreational vehicles. All RSG homes are road worthy, of course, but please note — that the RVIA prohibits tiny house owners from living full time in their homes, and prohibits its builders from suggesting that people do so.  As you can imagine, we couldn’t disagree more with that stance, as our homes are designed to live in, for life, anywhere.  That said, we DO build our homes to beyond-RVIA standards in terms of design and safety, beyond American Manufactured Home Association standards, and we emphatically state that for the money, our homes are the most storm resistant homes available.

Manufacturer financing

Resilient Shelter Group does not currently offer in-house financing — but we are working on it!

Peer-to-peer loans

This type of loan is typically arranged through a company that qualifies borrowers for loans and connects them with appropriate private lenders. Investor lenders may fund all or part of your tiny home; the company that connects borrowers and lenders will likely take care of credit reporting and collecting payments for your tiny house loan.  Peer to Peer lending requirements and terms can vary; it’s important to compare peer-to-peer loan offers to find your best option.

Things to Think About

How to finance your RSG house depends on where you plan to place it.  If you won’t have to pay rent or buy land for your tiny home, so much the better. But if you need to purchase or rent land, you likely won’t be able to borrow an RV loan. Unsecured personal loans may not cover the entire cost of your tiny house and land, but it can definitely be worth a shot. A secured personal loan, on the other hand, may provide more funds and a lower interest rate. Keep in mind that you may need to pay for property taxes and hazard insurance for your RSG home and land. Factor in these costs, along with construction and the cost to move your tiny home to its location, if applicable.

Who is a “well qualified” buyer?

 

Although lenders will look at a number of factors when determining whether or not to fund a loan here are some common criteria used by most lenders to determine whether or not a buyer is well qualified. It is not necessary to check all the boxes in order to qualify but the more you can the better.
Credit Score: Most financial institutions like to see a FICO score of 720 or higher. We have however seen successful financing with scores as low as 680.
Down Payment: 15-20% of purchase price
Credit History: 3-5 years of credit history. Comparable loan amount in recent history.
Debt/Income Ratio: Less than 45%
Income: Gross annual income equal to or greater than amount being financed
No Credit Defaults: Late payments or bankruptcies.