The VERY COSTLY Differences Between Modular and Manufactured Homes (2023)


There is some confusion between modular and manufactured homes with that home buyers can be misinformed about which home will make them the most money when it’s time to sell. In this video, we will be going over the most costly differences in Modular homes and manufactured home so you can make the most profit when it’s time for you to sell your investment.

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There are some very costly mistakes that people make when they decide if they're going to buy a modular home or a manufactured home today we're going to be going over those differences before you decide to purchase one.

So that way, when you go to resell your home you'll get the most money that you're expecting back.

So let's go ahead and look at those differences, so you don't make those costly mistakes in the future.

What most people don't realize when they hear the word modular, home and manufactured home? They think? Well, it's the same thing.

Yes, both of these homes are built in a factory, a modular home, it's built in pieces and it's built to exact specifications that it would be for a universal building code.

It will meet if not go above the standard of your area and they have the two by fours.

They have the windows just like they would for a traditional stick built home.

The only difference is that it shows up in pieces and they put it together within that day.

Now, when you go to purchase your manufactured home, they usually come in one to two sections, whether you're buying a double wide or a single wide or even a triple wide.

Somebody told me there's a quadruple wide, but I'm not 100 sure about that, but I did also see one that is a two-story manufactured home when these come, they come on a chassis and they're put together on not necessarily attached to a foundation.

Unlike a modular home that, once it's put in its location, it's adhered to.

A permanent foundation.

Most manufactured homes are not attached to a permanent foundation.

They're left on a chassis where the tongue and axle has been taken off and then they're put on a sometimes a concrete pad.

Sometimes it's a limestone pad, and then they put hurricane straps in to keep it into its location.

It's not permanently attached to a foundation itself.

Now, when you go house, hunting, you're, gonna, probably notice a big difference in the look of a modular home in manufactured home now manufactured homes have come a long way since probably 1976.

When you think of manufactured homes, some people call them mobile homes.

Anything built before 1976 is called a mobile home or a trailer.

Anything after 1976 has to meet hud's standards of building codes, which always are changing with the times.

So they are upgrading those uh standards just know.

When you're looking at a manufactured home a lot of times, they do have a certain look to them.

That says, I'm a manufactured home now, when you look at a modular home, sometimes you're kind of questioning.

Is it a mobile home? Is it a standard home, the ones that they have in europe? They are just modern, beautiful pieces of artwork and the ones we have here are beautiful country, style homes and it appraises the same way.

This is where the differences between manufactured homes and mobile homes have the biggest discrepancy.

So over time, when you buy a manufactured home, some people, some experts will say you'll, never gain value on it.

What's your: what's, your gut feeling tell you that that mobile home is going to do.

Is it going to go up in value or down in value? Probably not very much in value, probably not going to go up from valley very much.

It's not going to go up at all, but I'm just trying to go down as quick as I can right.

It's going to go down in value.

It's going to go down in value.

Okay, it's a car! You sleep in okay, which I will argue to death.

So what does that mean for you in the long run, when you go to resell your property? In many cases, if you found the right location, you can still earn and gain value on your manufactured home.

So don't let anybody poo poo on that idea.

I will tell you this, though, do not buy a manufactured home and then put it in a manufactured home park and feel like that you're going to gain any value off of that, but buying a mobile home and renting the land underneath it can be financially catastrophic.

You will not like I've, never seen anybody gain any value, except for in uh this little area in california.

You have a good location of your manufactured home.

You're gonna earn more money and it doesn't mean that just the land increased in value.

The structure itself does have value.

In some cases it will not.

It depends on your area, but make sure you find an area for your manufactured home that will increase in value always work with your real estate, professional, that's an expert in manufactured homes, so that way, you're getting the best bang for your buck and if they don't know anything about them, move on to somebody else that does now another huge difference when it comes to a manufactured home or a modular home is the way that they're financed.

Now, if you're purchasing a manufactured home, that's already settled into a place and it's attached to a piece of property.

Now they qualify for every single loan that you can think of.

When it comes to traditional financing, they will qualify for va rd conventional fha a lot of times.

Real estate agents will tell you if they do or they don't, and then you work with a traditional lender.

If you buy them off the lot, though, this is where a lot of people have had their problems happen.

Sometimes they give you loans with extremely high interest rates when you could have qualified for something that was a lot less expensive, so make sure, prior to ever, even signing on the dotted line for a manufactured home check with your local lender.

Only if you're attaching this manufactured home to a piece of property, I would not use the lender that they have at the facility itself find one outside that works with manufactured homes, and that way you can get the best interest rate.

You don't be stuck with an interest rate.

That's not going to help you in the long run.

When you go to resell your house, because you ended up spending so much money on the interest itself, always check with as many lenders as possible that work with manufactured homes.

Now, if you're purchasing one that's already been lived in, and it's already attached to a piece of land again make sure you find a lender that works with manufactured homes.

If they're unsure find somebody else, because somebody will get you the best bang for your buck, I want you to get the best interest rate.

You can and there's plenty of lenders out there that are willing to help you now when it comes to financing a modular home if you're purchasing one before it hits the land you're gonna need a new construction loan meet with a couple lenders that are not in the facility that you're purchasing the modular home from and see what they have as far as new construction loans and see.

If you can beat the price that they're offering from the lot itself, there's no difference in purchasing a brand new house that was traditionally built in a modular home, you can qualify for the same loan, so the biggest difference between the modular home and the manufacturer.

Homes comes to the point when you want to resell your home, so every single home, that's sold within the united states before you can get a loan on, it has to be appraised and the appraiser comes in and gives it a certain kind of value well with a modular home, even though it was built in a factory, they appraised the same level as a traditional stick built home now with a manufactured home.

They're gonna praise for a lot less, but don't panic.

If this is what you can afford, that doesn't mean that you made a bad investment.

It just means that you could have made a lot more if you were able to purchase a modular home now you know the costly difference between a modular home and a manufactured home either one is a great alternative way of buying an affordable house.

One of them is just going to get you a little bit more money in the long run and that's modular, but I don't want you to think that, because you bought a manufacturing home you're in a bad way, because manufactured homes are fantastic.

They're energy, efficient, they're a great way to get out of renting and they do resell as long as they're in the great area for more money than what you purchased it.

For I don't care what those experts say.

If you find a good real estate agent to sell your property and you put it in a good location, you will make money, there's plenty of people in many of my videos that will tell you that they made money off of their manufactured homes.

So don't listen to people that will poo poo on you, plus it's a great, affordable way that I'm trying to find housing for the 40 000 veterans throughout the united states, so keep following me on this journey because I'm trying to get as many homeless vets into manufacturing homes as possible so be sure to subscribe.

Now my name is christina smallhorn, your real estate whisperer- and I tell you all this because you matter.


The VERY COSTLY Differences Between Modular and Manufactured Homes? ›

The primary difference between modular and manufactured homes is that modular homes are held to the same local, state and regional building codes required for on-site homes. Manufactured homes are held to a federal code set by the Department of Housing and Urban Development (HUD) and have the ability to move.

What is the biggest difference between a manufactured home and a modular home? ›

The primary difference between modular and manufactured homes is that modular homes are held to the same local, state and regional building codes required for on-site homes. Manufactured homes are held to a federal code set by the Department of Housing and Urban Development (HUD) and have the ability to move.

Is modular really cheaper? ›

In most cases, modular homes are less expensive than building a house, mainly because there's less labor involved. Builders build the home in a factory and install it on the site when it's mostly built.

Is modular better than prefab? ›

Real estate experts consider modular units to be better than standard prefabs. The reason for this is that prefab buildings are generally temporary structures assembled from panels and are portable. Schools use these prefabs as temporary classrooms, or corporations use them for additional office spaces.

What are the cons to building a modular home? ›

The Problems of Modular Homes
  • Foundation Cost. A downside of modular homes is pouring the foundation. ...
  • Payment May Be Required in Full. One of the problems with prefabricated houses is financing. ...
  • Hard to Guarantee Quality. ...
  • Extra Costs. ...
  • Difficult to Make Modifications. ...
  • Customization Issues. ...
  • Hard to Finance. ...
  • Finding Land.
Feb 21, 2022

Is a double wide the same as a manufactured home? ›

A double wide home is another type of manufactured home and isn't built on site. Because of this, a lot of customization options are available. These homes can be moved to anywhere you'd like, consisting of two sections, joined together to create a larger home.

What is one advantage to a modular home? ›

Pros of modular homes

There are many pros to choosing a modular home construction. They are high-quality, customizable constructions that are more efficient and cost-effective than site-built homes.

Why do modular homes lose value? ›

One of the top questions potential buyers of modular homes have is whether they will lose home value through depreciation. Modular homes do not depreciate; instead, they appraise the same as their traditional counterparts. The best feature of modular homes is that they come with building warranties.

How much should I save for a modular home? ›

A modular home typically costs between $180,000 to $360,000 to install, with a national average cost of $270,000. Factors that affect the total cost of a modular home include the home size, style, and brand; the amount of land-clearing required; and the type of foundation installed.

Are modular homes safe in storms? ›

Modular Homes Are Permanent Structures

There is a common misconception about modular homes. While some might think these are mobile homes, modular homes are lasting structures with permanent foundations. Modular homes will be safe in minor storms because they are secured to the ground.

Is semi or full modular better? ›

Fully modular units offer the greatest flexibility but are also the most expensive. Semi-modular PSUs are more affordable and easier to install, while non-modular PSUs are the most basic and least expensive option.

What is another name for a modular home? ›

The terms "manufactured home," "mobile home," and "modular home" are sometimes used interchangeably, but while they have some features in common, these types of home have more differences than similarities. Modular homes are constructed off-site in segments and assembled on-site on permanent foundations.

What is the difference between a kit home and a modular home? ›

While kit homes may appear cheaper upfront, they require more work and time for assembly. Whereas modular homes are delivered (or built on your land) with electrical fittings, water connections, and everything else you need for everyday living, kit homes require the extra work and effort on the part of the homeowner.

Are there downsides to manufactured homes? ›

Manufactured homes might not be a good idea for some home buyers for the following reasons: Must have a foundation: You can't just wheel your home wherever you feel like it, like a camper or RV. Manufactured homes require finding undeveloped land or space in a manufactured home community.

What are the negatives of modular architecture? ›

The cons of modular construction

Because modular construction components are prefabricated away from the job site, you have to consider transportation costs and the risk of damage during transport. It only takes one mishap during transportation to cause a significant setback.

What is the biggest size mobile home? ›

In fact, it's common to find homes that vary quite a bit in their square footage, but have the same number of sections. A single-wide mobile home is most commonly between 900 and 1,440 square feet, but can be bigger or smaller. Meanwhile, a triple-section mobile home can be as large as 3,600 square feet.

What determines the difference between a mobile home and a manufactured home? ›

The Difference Between Mobile and Manufactured Homes

The only difference between the two types of homes is the date they were built. According to HUD, a factory-built home prior to June 15, 1976 is a mobile home and one built after June 15, 1976 is a manufactured home.

Is a manufactured home safe in a tornado? ›

No matter what type of manufactured home you live in, it is not a safe place to take shelter during a severe weath- er event. MOVE TO A SAFER STRUCTURE. Single family homes are safer, but not completely safe.

What I wish I knew before buying a modular home? ›

Here are five things you should know:
  • Prefabs Are Faster to Build. ...
  • You'll Pay More Than Just the Base Price for Your Modular Home. ...
  • Modular Homes Can Be Surprisingly Durable. ...
  • Sure, You Can Remodel Your Modular Home. ...
  • You May Need to Be a Patient Seller.

Are modular homes noisy? ›

Acoustics. Acoustics of modular homes is much better than houses traditionally built. In traditional homes, sound propagates through the construction of walls and ceiling. That is why floating floors are often used to suppress noise.

What is the useful life of a modular home? ›

However, they are still designed to last around 25–30 years—certainly not an eternity, but definitely long enough to serve their intended purpose. Leasing or purchasing a used modular building will mean its lifespan is slightly shortened, having already been owned for a few years.

Can you negotiate on modular homes? ›

Negotiate | When you're at a dealership you CAN and SHOULD negotiate the price of your home. Ask the dealer if you can see the invoice of the home and what the cash price would be. Don't offer up what your maximum payment would be or what price you'd like to pay.

What is a stick building? ›

A stick-built home is a property with a wood frame, which supports the plywood and other building materials. These homes use lumber and often have a custom design that allows the owner to personalize everything from layout to amenities (like space for a double oven).

How much does a modular home depreciate each year? ›

In general, mobile homes depreciate at about 3-3.5% a year. Working out how much your manufactured house has depreciated can help you to fairly accurately determine the current value of your home. For example, a home that originally cost $50,000 will be worth $ 41,000 after six years.

How can I save money on a modular home? ›

Purchasing materials at good prices and then receiving an allowance can potentially lower the cost of your modular home in a significant way. With builder allowances, you can use appliances you already own.

Do modular homes depreciate faster? ›

In short, modular homes do not necessarily suffer from the same depreciation as mobile homes. Because they are constructed to a higher standard and are often put on permanent foundations, modular homes have a better chance of maintaining their value over time.

Do modular homes appreciate in value over time? ›

Modular homes appreciate in value, so you will absolutely see a return on your investment in the house in the right market. However, like other types of specialty builds, you'll just have to find the right buyer come time to sell.

Do modular homes pipes freeze? ›

Manufactured Homes Can Be More Prone To Pipe Freezing

Unfortunately, mobile homes are very prone to pipes freezing because they are smaller and have thinner materials making up their walls and foundation. The process of making sure your mobile home stays protected is different than in a stationary home, as well.

Where is the safest place in a modular home during a tornado? ›

The safest place during severe weather and tornado warnings is in the safety of a basement or storm cellar. If you don't have a basement, the safest place to take refuge is in a windowless room at the center of the building on the ground floor.

Are modular homes more flammable? ›

Reality: The fact is that manufactured homes are no more prone to fire than homes built on site, according to an annual report released by the Oklahoma State Fire Marshall's office.

Should you get a fully modular power supply? ›

Benefits of modular power supplies

Modular power supplies offer several advantages over non-modular ones. First, they can improve the airflow and cooling inside your case by reducing the clutter of unused cables. Second, they can make your build look neater and more aesthetically pleasing by hiding the excess wires.

Do modular power supplies come with cables? ›

Modular power supplies, on the other hand, don't come with the cables attached. This changes the installation process, as you'll need to connect each cable to the PSU and the component that it is powering, but that also means you can optimize for fewer cables.

What makes a power supply modular? ›

What is a modular power supply unit? In simple terms, it is a power supply where some or all of its cables and connectors are detachable; This is different from a regular power supply where all its cables are permanently fused to the unit.

What is the new name for a mobile home? ›

What is a Manufactured Home? Modern manufactured homes are extremely different from mobile homes built prior to 1976, both in terms of construction and design. Manufactured homes are constructed using quality materials inside climate-controlled building facilities and according to the HUD Code.

What is the difference between single wide and double wide? ›

The primary difference has to do with how the home is built. A single-wide home is built in one long section. A double-wide, however, must be built in two separate sections and joined together on site to make a larger home. Double-wide manufactured homes are typically twice the size of single-wide homes.

Will having title insurance help protect buyers on the purchase of a manufactured home? ›

Title insurance in a manufactured home

Mobile homes that can move from one mobile park to another, are not “real estate." Title insurance for a movable home is generally not available. Manufactured homes that have been “retired” or are otherwise considered “real estate” may be eligible for title insurance.

What is a shell kit home? ›

A Shell home typically includes basic excavation, foundation, framing, siding, roofing and the installation of windows and doors. The inside of a SHELL home is typically left unfinished, sub-floor and stud walls, so that remaining stages can be completed by the homeowner at a later time.

Is a modular home the same as a tiny home? ›

Modular homes are more spacious than tiny homes and offer ample storage space just like a traditional home. On the contrary, much of the storage spaces are out of reach in tiny homes due to custom rooflines. Items that are used daily and should be easily accessible are not as functional as they could be.

What is the difference between modular building and other types of buildings? ›

A portable building is a stand-alone, self-contained building that is delivered in one piece by road and installed on site ready for immediate use. A modular building is constructed from two or more individual building modules.

Do manufactured homes always depreciate? ›

A disadvantage of buying a mobile home is that its value will depreciate quickly. Like a new car, once a mobile home leaves the factory, it quickly drops in value. Stick-built homes, on the other hand, normally appreciate in value over time because the stick-built home owner almost always owns the underlying land.

Are manufactured homes good to flip? ›

Flipping mobile homes can be VERY lucrative.

And a big plus is that in most parts of the US, there's much less competition than in the category of flipping single-family residences.

What are some problems in modular? ›

7 Challenges of Modular Learning to Students and Proposed Solutions
  • Inability to submit on time. ...
  • Difficulty in reading and comprehension. ...
  • Personal Teenage Problems. ...
  • Poor Wi-Fi Connections. ...
  • Inability of parents to assist in the modules. ...
  • Inability to Comprehend the Lessons. ...
  • Game addiction among students.
May 14, 2022

What are the three types of modular construction? ›

Three Main Types of Modular Construction Structures. Modular buildings provide highly flexible spaces that can be customised to suit many different uses. The basic structure, however, can be categorised into one of three basic modules: 4-sided, partially open-sided or fully open-sided.

What are modular designs not good for? ›

Lower Costs and Lower Efficiency

However, the greatest disadvantage of having a modular design for electronics has a lot to do with the limited number of configurations. Several parameters that need alteration get fixed by default and cannot be changed. This, in turn, reduces their efficiency.

Can you put drywall in a manufactured home? ›

Yes, a drywall interior is an option in many of our manufactured and modular homes. You can search for floorplans with drywall that are available near you using the features filter on our Find a Home page.

Are modular homes walls thin? ›

Your modular home should have a standard exterior wall thickness of 6-1/2”, but always double check. As a result of the code requirements, modular homes are just as strong as traditional homes. They can withstand high winds and earthquakes just as well, if not better, since they are also built to be transported.

What are modular home walls made of? ›

Manufactured homes usually use vinyl-on-gypsum (VOG) wall panels rather than standard drywall. Instead of using tape to cover the seams, as is done with drywall, the joints are covered with batten strips during assembly.

What is the definition of a manufactured home? ›

A mobile manufactured home is a single-family house constructed entirely in a controlled factory environment, built to the federal Manufactured Home Construction and Safety Standards known as the “HUD code”.

What is the widest a modular home can be? ›

Module Width

Modules can come in units of 12, 14, and 16 feet wide. Some module sections can be as wide as 20 feet depending on the area of the country you are in.

Who makes the largest modular home? ›

Clayton Homes is regarded as the largest modular home builder in the United States, but many other builders offer homes with more innovative designs and higher-quality building materials.

What is the downside of manufactured homes? ›

Manufactured homes might not be a good idea for some home buyers for the following reasons: Must have a foundation: You can't just wheel your home wherever you feel like it, like a camper or RV. Manufactured homes require finding undeveloped land or space in a manufactured home community.

How long does a roof last on a manufactured home? ›

Manufactured homes' roofing materials can last up to 50 years, just like the entire home itself. However, the choice of roofing materials, installation, and weather elements are among the factors that will hinder the lifespan of a roof.

Are mobile homes safe in storms? ›

Mobile homes – which are also known as trailer homes or manufactured homes – are not safe structures to shelter in during severe weather events, particularly events that involve tornadoes.

How do you make a manufactured home look like a house? ›

How to enhance the exterior of your mobile home
  1. Install a unique front door and matching architectural accents. ...
  2. Repaint or repair your siding. ...
  3. Spruce up the skirting. ...
  4. Replace plain steps with a porch or a deck. ...
  5. Get creative with your carport. ...
  6. Play around with plants. ...
  7. Maximize any outdoor living space.
Oct 26, 2020

What is another name for a manufactured home? ›

The terms "manufactured home," "mobile home," and "modular home" are sometimes used interchangeably, but while they have some features in common, these types of home have more differences than similarities. Modular homes are constructed off-site in segments and assembled on-site on permanent foundations.

Is a manufactured home an asset? ›

However, if the manufactured or mobile home is not on a permanent foundation, it is not part of the land and is personal property. In California, manufactured homes and mobile homes are generally titled and registered with the California Department of Housing Community Development (“HCD”).

How high off the ground is a modular home? ›

Because manufactured homes must conform to state transportation guidelines, the maximum allowable height stands at 13 feet, 6 inches from the ground to rooftop. This generally equals the ceiling height norm in site-built homes, which typically runs between 9 and 10 feet.

Can you build around a modular home? ›

It is possible to add onto a modular home, including a second floor, side addition or an in-law apartment. With a modular home addition, the contractors will build the majority of your addition off-site. This means the only disruption you may experience is when the rooms are set into their proper location.

What is the standard size for a modular? ›

There are three general widths that most modular construction comes in. Most modular factories produce buildings with widths that are either 12 feet, 13 feet, or 13 feet 9 inches. Some will also build to the width of 14 feet 9 inches or 15 feet 9 inches.

Who is best cost effective modular home builder? ›

The Top Modular Home Manufacturers
  • Clayton Homes. Clayton Homes made the list of top modular home manufacturers due to its relatively affordable price points, ample options and fast timelines. ...
  • Champion Home Builders. ...
  • Impresa Modular. ...
  • Commodore Homes. ...
  • Deer Valley Homebuilders. ...
  • Blu Homes.
Feb 16, 2023

Who makes the highest quality manufactured homes? ›

The Best Mobile Home Manufacturers of 2023
  • Champion Home Builders: Best Overall.
  • Clayton Homes: Best for Energy Efficiency.
  • Fleetwood Homes: Best for Families.
  • Skyline: Best for Tiny Homes.
  • Adventure Homes: Best Custom.
  • TRU Homes: Best for First-Time Home Buyers.
  • Deer Valley: Best for Modular Homes.
Oct 6, 2022

What is the largest size manufactured home you can buy? ›

In fact, it's common to find homes that vary quite a bit in their square footage, but have the same number of sections. A single-wide mobile home is most commonly between 900 and 1,440 square feet, but can be bigger or smaller. Meanwhile, a triple-section mobile home can be as large as 3,600 square feet.

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