How to Finance a Tiny Home in California

Buying a tiny home is an exciting step toward freedom, flexibility, and smart living — but how do you pay for it? Financing a tiny home is a little different than getting a traditional mortgage, especially in California where zoning and classification rules vary. Here’s a breakdown of what you need to know to finance your Forever Tiny Home.

1. Understand How Tiny Homes Are Classified

Most tiny homes on wheels (THOWs) — including all Forever Tiny Homes models — are classified as Recreational Vehicles (RVs). Because they’re not considered traditional real estate, they don’t qualify for standard home mortgages.

Instead, tiny homes are typically financed through:

  • RV loans

  • Personal loans

  • Specialty lenders (like 21st Mortgage for park models)

2. Use a Credit Union or Bank for Personal Loans

Many of our clients have success with local credit unions or banks they already have a relationship with. A personal loan can cover the cost of the home and is often unsecured, meaning no collateral is required.

Pro tip: Strong credit and proof of income help increase your chances of approval.

3. Work with RV-Specific Lenders

Some lenders specialize in RV financing. Because Forever Tiny Homes units are RVIA-certified, they often meet the requirements for this type of loan.

We recommend:

  • Checking with your bank first

  • Exploring RV loan options with terms up to 15 years

  • Looking into 21st Mortgage for specific use cases (especially park placements)

4. What You’ll Typically Need:

  • Government-issued ID

  • Social Security number

  • Proof of income/employment

  • Down payment (usually 10–20%)

  • Credit score of 640+ preferred (but some lenders work with lower)

Final Thoughts

Financing a tiny home in California might feel unfamiliar at first, but with the right lender and a little preparation, it’s absolutely within reach. Whether you're using a personal loan, an RV loan, or working with a specialty lender, there are flexible options to suit different budgets and credit situations. At Forever Tiny Homes, we’re here to help guide you through the process — from choosing your ideal model to understanding your financing options.

Have questions or ready to take the next step?
Give us a call at 530-356-5191 or email sales@forevertinyhomes.com — we’re happy to help you move one step closer to tiny home living.

Affordable Housing, Homeownership, Tiny House, Buying, FinancingForever Tiny Homes