Difference Between Modular Homes and Manufactured Homes

Written by Posted On Friday, 13 December 2019 07:08
How Do Modular Homes Differ From Manufactured Homes? How Do Modular Homes Differ From Manufactured Homes?

How do Modular and Manufactured Homes Differ?

When looking for your perfect home, you may have considered modular and manufactured homes. There are many differences between these types of buildings, with each having their advantages. We review the significant differences and look into how it will affect your buying decisions.

Manufactured and modular homes are both constructed in a factory and then transported to where they will become somebody's new home. Foundations need to be created on-site, before the arrival of either type of home.

This is where the differences start to appear. Manufactured homes, previously commonly known as mobile homes, are constructed following the HUD federal code. This is the same everywhere in the United States, regardless of which state they are delivered to.

Modular homes follow the building codes for the state they will be assembled. It is usual for construction to go beyond the code requirements, building the modular home to a better standard than necessary. Modular homes are going to be more sturdy than manufactured homes as a consequence.

There are, of course, differences in modular homes when compared to stick-built construction. You can see a comparison in the excellent resource found at Maximum Real Estate Exposure above, where the pros and cons are detailed.

Are All Modular Homes the Same?

Modular houses can look almost as different as regular homes can. You usually won't be able to tell a modular building from an ordinary property. Only if you saw it being constructed, the modular sections being delivered and fitted together would know the difference.

A modular home may look like a regular house, but it could have been much cheaper to build. The factories which construct the modular sections do have standard designs that they can modify to your requirements, or they can create plans from scratch to fit your needs. They can turn virtually any home plan into modular construction.

Years go, you could quickly pick out the differences between a modular home and one that was stick built. The quality, however, is light years from what it used to be in modular construction.

How Quickly Can a Modular Home Be Built?

If you are ordering a standard design, the factory could produce it in as little as two weeks. More complicated models are likely to take longer, and it does all depend on the manufacturer. This method of construction does mean that there isn't going to be any delays because of bad weather, though that won't be the case when the modular sections get to your site.

A builder can take anywhere from about 2 to 4 weeks to put the sections together and finish the house. A manufactured home is going to be significantly quicker and could be delivered to your site within days.

The Advantages of a Manufactured Home

While manufactured homes have fewer options for customization and will generally look similar, they do have some benefits. They don't need much in the way of assembly. They are delivered on a steel frame that has its own wheels, this is parked where you want it, and the wheels are removed. Then it's just a case of hooking it up to utilities, sorting a few other things out, and you're ready to go.

You also have the option of moving a manufactured home to a new location. Since the regulations are the same for manufactured homes, you could move to a new state with your home if you wanted.

Are Modular Homes Cheaper?

It will depend somewhat on the manufacturer, but the price of the construction will typically work out cheaper than a regular home. Modular buildings tend to have better insulation to reduce heating as well as cooling expenses. This will leave you will a house which was cheaper to build in the first place and more cost-effective to run once you have moved in.

Manufactured homes usually are even cheaper to buy than modular homes. They are less likely to hold their value over time, however.

Can You Get a Mortgage for a Modular Home?

Lenders will generally treat a modular building the same way they would any other. You shouldn't have a problem getting finance, but there could be a few differences, pick a local mortgage lender to find out what the situation is in your area.

Financing might be more difficult for a manufactured home. Since they lose their value more easily, lenders won't give such favorable terms as they would with a modular or stick-built home.

Speak to a Local Real Estate Professional

The saying that all real estate is local is a vital consideration when trying to decide if a modular or manufactured home is the right housing choice. There are some areas where there will be significant resistance to anything other than a quality stick-built home.

It would be a shame if you were the type of person who gets moved around a lot for their job and had a difficult time selling your house. Having a consultation with a local agent who has an outstanding reputation would be essential. They will be able to tell you if there is any stigmatization with this type of construction.

Can you imagine investing a ton of your hard-earned money into a manufactured or modular home only to find out they are looked down upon?

Conclusion on Manufactured Homes vs. Modular

Choosing between a manufactured or modular home will come down to your individual requirements and the budget you have to spend. Both opportunities offer a cheaper home than a regular site-built house. They have various advantages and disadvantages over traditional homes, but your decision will be a judgment call on what meets your needs the best.

Don't rule out any of the housing choices until you do some thorough research. You may find that a modular or manufactured house is just perfect for your needs.

Other Valuable Real Estate Resources From Realty Times

  • Mortgage programs for first-time buyers - see a review of some of the best financing programs for first-time homeowners. There could be a specific mortgage program that works for your home purchase.
  • Who to notify that your address is changing - when you are moving due to the purchase or sale of a home there are several people who should be informed. See a helpful checklist of the parties that should be made aware you're moving.

Use these resources to make the best decisions possible in your next real estate transaction.

Rate this item
(1 Vote)
Bill Gassett

One of the top RE/MAX agents in New England over the last decade plus. Providing exceptional real estate services to buyers and sellers in the Metrowest Massachusetts area including the following communities: Ashland, Bellingham, Douglas, Framingham, Franklin, Grafton, Holliston, Hopkinton, Hopedale, Medway, Mendon, Milford, Millbury, Millville, Northborough, Northbridge, Shrewsbury, Southborough, Sutton, Wayland, Westborough, Whitinsville, Worcester, Upton and Uxbridge MA.

See my real estate website at Maximum Real Estate Exposure - one of the most visited real estate sites in Massachusetts.

Agent Resource

How to capture your next prospect - click here

Realty Times

From buying and selling advice for consumers to money-making tips for Agents, our content, updated daily, has made Realty Times® a must-read, and see, for anyone involved in Real Estate.