Frequently Asked Questions
What is the difference between a mobile, a manufactured and a modular home?
While you still occasionally hear the term mobile home, it's largely an outdated term that referred to "trailer homes" designed to be moved from site to site. The quality and construction of today's manufactured and modular homes are light years away from the mobile homes of yesteryear.
A manufactured home is a single or multi-section home that is built inside a factory -- in accordance with strict H.U.D. construction, durability and safety requirements -- then transported to a building site and installed. A manufactured home can be placed on land that you own, in a land-leased community, or in a planned subdivision. It can be set directly on a concrete pad and is supported by a metal frame under the house. Many are financed as personal property but some programs exist for financing the home and the land purchase together. The factory process allows for economies of scale, both in the purchasing of materials and in the construction of the units, that result in significant cost savings for the consumer. While it varies depending on the part of the country you live in, construction costs per square foot for a new manufactured home average from 10 to 35 percent less than a comparable site-built home.
A modular home is also factory-built -- in a controlled environment where materials and timelines aren't impacted by weather delays and by a construction team that's trained and supervised to meet exacting standards. Modular homes are permanent structures that sit on a basement or crawl space. They come with all the features you expect to get in a site-built home and offer a wide variety of custom options. The factory-build process allows significant savings compared to a site-built home. Modular homes are viewed just like site-built homes by zoning and construction-code authorities, and are financed using conventional mortgage products. But because they can be assembled quickly, the cost of interim construction financing is often significantly less or nonexistent.
How do manufactured/modular homes compare with site-built homes for durability?
Manufactured homes are constructed in accordance with Federal Manufactured Home Construction and Safety Standards, a building code in effect since June of 1976. Administered through the U. S. Department of Housing and Urban Development (HUD), and usually referred to as the HUD Code, it regulates standards for home design, construction, strength, durability, fire resistance and energy efficiency. This code was updated in the 1990's to increase energy efficiency ventilation standards as well as wind resistance of homes in areas that experience hurricane-force winds. The Manufactured Housing Improvement Act of 2000 further established new rules relating to code updates and enhancements.
The exact same building materials that make up a site-built home are used in a modular home, but the construction occurs in a factory environment where the process can be controlled and monitored to create a home that's often superior to what can be done on-site outdoors. Modular homes feature stronger construction than a comparable all-frame site-built home and leave the factory nearly complete. The fact that they need to travel is part of the reason why they need to be so well constructed.
The same local or jurisdictional building codes apply to modular home as to a site-built home.
How do manufactured/modular homes compare with site-built homes for resale value?
A recent study showed that that permanently sited manufactured homes appreciate at a rate close to site-built homes, and exceeded the appreciation rate of condominiums. The newer the home, and the more complex the structure (multi-section etc.) the better the appreciation rate. The more a manufactured/modular residence is like a site-built home (with a foundation or basement, comparable upgrades and amenities) the more it appreciates just like a site-built home. Like site-built homes, the location, community, and condition of the home impact market value as do local market conditions.
Across the nation, many millions of people live in manufactured or modular homes: individuals, families, retirees - all taking advantage of the cost savings of this approach to home ownership.