The short answer
A chattel loan generally finances the home as personal property. A mortgage generally finances the home and land together as real property.
Why the difference matters
The collateral, title treatment, loan term, closing process, and property requirements may be different. A lender can explain which option fits your home, land, and ownership plan.
Compare the same scope
Ask whether the quoted loan includes the land or only the home, and list any installation or site costs being financed. If a homesite will be rented, include the rent in your household budget separately. Two quotes are not directly comparable when one pays for substantially more of the project.
Compare the required cash, term, interest cost, fees, and payment breakdown with the lender. A lower monthly payment alone does not tell you which loan has the lower overall cost.
Describe where the home will sit
Tell the lender whether you own the homesite, are buying it, or will rent it. Also explain whether the home is new or already installed. That gives the lender a useful starting point for identifying the loan structure. Do not choose a loan by its name alone; ask what property secures it and which purchase costs the quoted amount actually covers.