Quick Answer
The right financing product depends on which CSA standard your factory-built home carries. CSA A277 modular on owned land finances through standard residential mortgages, construction mortgages (during the build), or CMHC-insured mortgages (minimum 5% down). CSA Z240MH manufactured — including the Parkland Series catalogue — finances through manufactured-housing mortgage programmes from specialty lenders or Big 6 banks until deregistered to real property, at which point a standard residential refinance is available. Construction draws are released in stages tied to build milestones either way.
Financing Depends on the CSA Standard
Before picking a financing product, identify which CSA standard your home carries — this is the single biggest variable in the lender conversation. The Parkland Series catalogue Modular Homes 400 sells today (CSA Z240MH) follows a different mortgage path from the CSA A277 modular ADU/garden-suite product line coming online next.
See Mortgage on a Modular Home for the detailed lender path comparison. This page covers the financing products available within each path.
If You Already Own the Land
CSA A277 Modular
Construction Mortgage: Covers the build period with staged draws — foundation complete, modules delivered, home enclosed, occupancy permit. Converts to a standard residential mortgage at occupancy. All Big 6 Canadian banks offer these.
Standard Mortgage (post-placement): Finance the home after it's set on permanent foundation. Requires bridge funding during the construction period.
CSA Z240MH Manufactured
Manufactured-Housing Mortgage: Specialty lenders (Equitable Bank, certain credit unions) and Big 6 manufactured-housing programmes (TD, Scotiabank, BMO) finance Z240MH homes set on permanent foundation per CSA Z240.10.1. Initial rates may run slightly higher than a standard residential mortgage; after deregistration to real-property title, refinance into a standard residential mortgage at conventional rates.
Chattel Mortgage: Available when the home is treated as personal property (typically pre-deregistration or on leased land). Higher rates than a residential mortgage.
Buying Land + Home Together
Purchase and Construction Mortgage (CSA A277): One mortgage covering lot purchase and home construction. Lender requires an as-built appraisal. Typically 20% minimum down payment.
Turnkey Package: Some dealers bundle land, foundation, and home into one purchase price. For CSA A277 modular this is treated as a standard home purchase. For CSA Z240MH manufactured the dealer files Manufactured Home Registry paperwork at closing and the buyer's lawyer handles deregistration on the standard timeline.
Land-Lease Community
You are financing only the home ($180K–$310K typically) — not the land. Regardless of CSA standard, most major banks do not offer conventional residential mortgages on home-only-leased-land. Specialty lenders (Equitable Bank, Home Trust, certain credit unions) offer chattel or portfolio mortgages. Many buyers in this price range purchase with cash, RRSP proceeds, or downsizing equity.
CMHC Programs
CMHC Mortgage Loan Insurance — Standard Residential: Available with 5%–19.99% down. Premium: 2.8%–4.0% added to mortgage. Applies to CSA A277 modular on permanent foundation, and to CSA Z240MH manufactured after deregistration to real property.
CMHC Mortgage Loan Insurance — Manufactured Housing: Available for CSA Z240MH on permanent foundation pre-deregistration through select manufactured-housing lender programmes. Premium structure is similar; eligibility criteria differ slightly.
CMHC MLI Select: For developers building affordable or seniors housing. Significant premium discounts for projects meeting affordability and accessibility criteria — highly relevant for 55+ community developers building with either CSA standard.
Current Rates (March 2026)
| Product | Typical Rate |
|---|---|
| 5-year fixed standard residential mortgage | 4.2%–4.8% |
| Construction mortgage | Prime + 0.5%–1.5% |
| CMHC-insured standard residential (5% down) | 4.2%–4.6% |
| Manufactured-housing mortgage (Z240MH pre-deregistration) | 4.6%–5.4% |
| Chattel mortgage (home on leased land) | 5.5%–7.5% |
Rates above are illustrative ranges as of March 2026 — confirm current pricing with the lender at application time.
Frequently Asked Questions
Can I use my RRSP Home Buyers Plan for a modular home?
Yes — if you qualify as a first-time home buyer under the CRA definition, you can withdraw up to $35,000 from your RRSP tax-free for a CSA A277 modular or CSA Z240MH manufactured home purchase on owned land. Plan and Build Canada / federal program updates have proposed increases for 2026 — confirm the current limit with CRA at the time of withdrawal.
What is a construction draw schedule for a modular home?
A typical schedule releases funds at: lot purchase, foundation complete, modules delivered and set, home enclosed, mechanical rough-in complete, and occupancy permit issued. Each draw requires an inspection. The schedule is similar for CSA A277 and CSA Z240MH construction.
Can a non-resident of Canada finance a modular home in Ontario?
Non-residents face additional restrictions across both CSA standards. CMHC insurance is not available to non-residents. Conventional financing at higher down payments (35%+) may be available through some lenders. Land-lease community residency rules may also apply.
When can I refinance a CSA Z240MH manufactured home into a standard residential mortgage?
Once the home is on permanent foundation and the buyer's lawyer has filed deregistration with the Manufactured Home Registry, the home converts to real-property title. From that point the homeowner can refinance the manufactured-housing mortgage into a standard residential mortgage at conventional Schedule A rates. Most buyers complete this within 6–12 months of taking occupancy.