Modular vs. Manufactured Homes

Deciding Which Option Is Best for You

Modular homes and manufactured homes are often confused, but there are key distinctions that may make one option better suited for you. When you choose Preferred Homes as your modular or manufactured home provider, we’ll walk through the perks of each option with you and help make a decision that fits your lifestyle and needs.

Family in home

What Is a Manufactured Home?

A manufactured home is a prefabricated house built in an off-site factory. Most people are at least partially familiar with these structures. They’re typically available in both single wide and double wide models. There are some important factors to consider when deciding if a manufactured home is right for you:

  • Foundation: Manufactured homes are built on a permanent steel frame. They often don’t require a full crawl space, allowing them to be placed on slabs or piers and into manufactured home communities. These homes require cross beams when being placed over a basement, with the basement needing a minimum of nine-foot walls.
  • Delivery: A manufactured home is transported using the home's own wheels and axles. They’re placed on a slab foundation with a supportive block wall.
  • Restrictions & codes: All manufactured homes are constructed to meet the U.S. Department of Housing and Urban Development (HUD) codes. The main restriction that might arise is the ability to place it on private property. Zoning will need to be consulted to know what is allowed.
  • Mobility: Manufactured homes are naturally more mobile, allowing for relocation. This means potential homeowners searching for a pre-owned home can still benefit from the perks of this prefabricated housing solution.
  • Financing: If you’re searching for the most square footage for the money, manufactured homes are the best bet. In terms of financing your manufactured home, it’s important to be aware that most lenders don’t consider these homes “real” property. This means you might struggle to find a lender willing to provide a loan. However, Preferred Homes can assist as you determine which financing options are right for you.
  • Value: Manufactured homes are valued based on other sold manufactured homes in the same area.

Energy efficiency: Living in a manufactured home comes with the benefit of more energy efficiency than most stick-built homes have. Save money and make a greener impact on the environment when you purchase a manufactured home.

How Much Does a Manufactured Home Cost?

Manufactured homes tend to be the most affordable in comparison to traditional homes or modular homes. From the cost of the build and land to the price of maintaining the property, it ends up being a less expensive choice. Plus, you can implement energy-efficient technology and increase insulation to further boost your savings. 

Are Manufactured Homes a Good Investment?

Due to the tough real estate market and a rise in housing costs, these prefabricated homes have a much higher demand at lower upfront costs. If you’re trying to decide whether a manufactured home is worth purchasing over a traditional home, note that you’ll save money while still having a stable, comfortable, and aesthetically-pleasing house. Manufactured homes are a popular way to become a homeowner without going into insurmountable debt.

Recent data has shown that manufactured homes appreciate at about the same rate as traditional homes. If you’re searching for a long-term investment opportunity, manufactured homes shouldn’t be overlooked in your decision. 

How Long Do Manufactured Homes Last?

Today's manufactured homes are built to last for decades, just like traditional-built homes.

Manufactered Homes

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What Is a Modular Home?

Modular homes are prefabricated houses that are constructed in modules in off-site factories. They’re then delivered and the sections are combined during installation. When deciding if a modular home is the right fit for you, there are some factors to consider.

  • Foundation: Modular homes need to go on a permanent foundation. Most often, these foundations are either a crawlspace or a basement.
  • Delivery: Modular homes are transported in sections to the building site on steel carriers. Upon arrival, they’re removed from the carriers via crane and set onto the foundation. 
  • Restrictions & codes: Modular homes are built to meet (and often exceed) the local and state codes of the home site. Usually, they require notice of the intended placement location. They are not restricted by building or zoning regulations.
  • Mobility: Because modular homes are typically permanent, mobility isn’t an option. This means that they’re not readily available pre-owned.
  • Financing: When financing and applying for building permits, modular homes are viewed as traditional homes.
  • Value: Buyers can save tens of thousands of dollars in an apples-to-apples comparison to site-built homes. The value of modular homes is based on what other site-built homes have sold for in the area.
  • Energy efficiency: Modular homes are energy-efficient, allowing homeowners to cut energy costs and be more eco-friendly.
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Modular Home

How Much Are Modular Homes?

According to reports by Home Advisor, modular homes cost $100 to $200 per square foot to build. Additionally, the cost of land and any fees will need to be covered. This ends up making an 1,800-square-foot modular home cost $270,000 on average

What Is an A-Frame Modular Home?

A-frame modular homes are exactly as they sound. These houses are shaped like a triangle, or a capital letter “A”. They’re a popular style choice in which the roof meets the ground on either side of the home.

What Is the Resale Value of a Modular Home?

Modular homes are valued the same as site-built homes and increase in value over time. Resale value is dependent on a list of factors about the home, just like traditionally built homes. From where it’s located to how long ago it was built and its overall condition, the selling price can fluctuate.

Modular vs. Manufactured: The Similarities

Both manufactured and modular homes are:

  • Prefabricated in environment-controlled factories: Manufactured homes and modular homes are both built in factories off site, protected from the environment and weather conditions.
  • Stable structures: Both options must follow safety regulations and be up to code in terms of weather proofing. They’re stable structures that will last decades.
  • Assembled on site: These homes are built off site in a factory, delivered either whole or in a few large parts, and then assembled on site. 
  • Quicker to assemble: Manufactured and modular homes can be built in just a few months, while site-built homes usually take about five to seven months from start to completion.
  • More cost effective: Due to the materials used, both modular and manufactured homes are more affordable to purchase than site-built homes.
  • Less wasteful: Because they’re built in an off-site factory, the materials and equipment used are different from that of stick-built construction. This means less waste in both material and energy.

Modular vs. Manufactured Homes: What’s the Difference?

Preferred Homes offers both manufactured homes and modular homes. Manufactured homes are best for those looking for a lower-cost alternative to becoming a homeowner, while still having a stable, customized house. They’re typically available in single and double wide. Modular homes are a great option for anyone looking for an affordable home with financing opportunities. 

Manufactured homes must follow the Federal Government HUD Codes, while modular homes are treated as stick-built homes and follow local building and zoning codes.

Manufactered Homes

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Get the home of your dreams on budget and in less time with a modular or manufactured home from Preferred Homes. Contact us today for more details on modular vs. manufactured homes and which might be a better fit for your family.

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