What is the difference between a modular home and manufactured home?
Modular Homes
Construction and Standards:
Built in sections in a factory setting.
Must conform to all local, state, and regional building codes where the home will be placed.
Often indistinguishable from site-built homes once assembled.
Assembled on a permanent foundation at the home site.
Can be multi-story and designed in a wide variety of styles.
Placement:
Typically placed on private land or a lot within a community.
Considered real property, making them eligible for traditional home financing.
Manufactured Homes
Construction and Standards:
Entirely constructed in a factory.
Must adhere to federal HUD (Housing and Urban Development) building codes.
Built on a non-removable steel chassis.
Typically limited to one or two stories, with fewer customization options compared to modular homes.
Placement:
Can be placed on private land, in manufactured home communities, or mobile home parks.
Can be placed on a temporary or permanent foundation.
Often considered personal property, which may limit financing options compared to traditional homes. However, if placed on a permanent foundation and classified as real property, more financing options can be available.
How is a manufactured home different from a site-built home?
A manufactured home is constructed entirely in a controlled factory environment, built to the federal Manufactured Home Construction and Safety Standards, better known as the HUD (U.S. Department of Housing and Urban Development) Code. A site-built home is built “on-site” using traditional building techniques that meet either a local or state building code. Starting in 1976, the HUD Code established a stringent series of construction and safety standards that ensure that today’s manufactured homes are superior to “mobile homes,” the term used for factory-built homes produced prior to the HUD Code. Since then, manufactured homes look dramatically different and are much higher quality than those built before 1976. Manufactured homes, like site-built homes, are now available in a variety of designs, floor plans and amenities. Today, they are often indistinguishable from site-built homes and are fully compatible with neighborhood architectural styles.
Why should I consider a manufactured home?
If you’re looking to get the most out of your housing dollar, consider a manufactured home. New manufactured homes can be up to 50 percent less than a comparable site-built home, excluding the cost of land. All manufactured homes are built to specifications and codes that require the highest standards in every aspect of construction.
What are today’s manufactured homes like?
Many of today’s manufactured homes feature innovative designs and custom home features such as state of-the-art kitchens, luxury bathrooms and wood-burning fireplaces. You’ll find some homes in resort-style communities, with amenities like swimming pools, tennis courts, golf courses and more. The manufactured homes available to today’s homebuyers are much more like homes built stick-by-stick on a lot than they were 40 years ago.
What is a modular home?
A modular home is a type of prefabricated house that is built in sections (modules) in a factory and then transported to the home site for assembly on a permanent foundation.
What are the advantages of choosing a modular home?
Advantages include faster construction time, high-quality control, energy efficiency, customization options, and potentially lower costs compared to traditional site-built homes. Additionally, they offer flexibility in design and can be built to suit various needs and preferences.
Are modular homes durable?
Modular homes are built to high standards and are often more durable than site-built homes due to the factory-controlled construction environment. They are designed to withstand transportation and assembly stresses.
Are modular homes energy-efficient?
Modular homes can be very energy-efficient due to their precision construction and the ability to include modern insulation, windows, and energy-efficient systems. Many modular homes are built to meet or exceed energy efficiency standards.
How long does it take to build a modular home?
The construction process for a modular home is typically faster than for a site-built home. Factory construction can take a few weeks to a few months, and on-site assembly can be completed in a matter of days to weeks.
What kinds of financing is available?
Just as there are choices when you buy a site-built home, there are a variety of financing options when you buy a manufactured home. If you are buying the home and land together, or plan to place the home on land you already own, some financial institutions offer traditional real estate mortgages with similar interest rates. Should you be purchasing the manufactured home separately from the land on which it will be located, the home will probably be financed as a personal property manufactured home loan, usually with a somewhat higher interest rate and the down payment amount will reflect the amount of the entire loan, including the home and land costs being financed. FHA-insured and Department of Veterans Affairs-guaranteed (called FHA and VA) loans are available to manufactured home buyers. These types of loans may offer lower interest rates or lower down payment requirements if available in your area. They require more paperwork during the credit application and approval process and, therefore, may take longer for approval than a conventional loan.
