[Code of Federal Regulations]
[Title 38, Volume 2]
[Revised as of July 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 38CFR36.4251]

[Page 570]
 
            TITLE 38--PENSIONS, BONUSES, AND VETERANS' RELIEF
 
          CHAPTER I--DEPARTMENT OF VETERANS AFFAIRS (CONTINUED)
 
PART 36--LOAN GUARANTY--Table of Contents
 
Sec. 36.4251  Loans to finance the purchase of manufactured homes and the 
cost of necessary site preparation.

    (a) A loan to finance the purchase of a manufactured home may 
include funds (or be augmented by a separate loan) to pay all or a part 
of the cost of the necessary site preparation of a lot on which to place 
the manufactured home and the loan shall be eligible for guaranty: 
Provided, that:
    (1) The veteran has, or incident to the transaction will acquire, a 
title to the lot that conforms to Sec. 36.4253(a).
    (2) The loan is secured as required by Sec. 36.4253(d).
    (3) The lot is determined by the Secretary to be an acceptable 
manufactured homesite pursuant to Sec. 36.4208,
    (4) The cost of the necessary site preparation is determined by the 
Secretary to be reasonable.
    (5) The amount of the loan to pay for necessary site preparation 
does not exceed the cost thereof and also does not exceed the reasonable 
value of the developed lot as determined by the Secretary, and
    (6) The loan conforms otherwise to the requirements of the 
Sec. 36.4200 series.
    (b) Notwithstanding that the veteran-borrower's obligation for such 
site preparation be evidenced and secured separately from the obligation 
for purchase of the manufactured home, the obligations together shall 
constitute one loan for the purposes of the Sec. 36.4200 series, 
including computation of the Secretary's guaranty liability.
    (c) The cost of site preparation which will not be paid from the 
proceeds of the loan must be paid by the veteran in cash from the 
veteran's own resources.

[36 FR 3368, Feb. 23, 1971, as amended at 40 FR 13215, Mar. 25, 1975; 48 
FR 40230, Sept. 6, 1983]