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How Modular Homes and Manufactured Homes Differ
Facts About Modular, Manufactured & Site Built Homes
When you are buying a home, you might hear the terms modular homes, manufactured homes and site built homes. It's important to understand how they all differ, no matter whether you are purchasing an existing house or plan to build on land that is subject to restrictions. The differences can affect a home's price and its resale value, and even dictate whether or not it can be built on your land.
What Are Site Built Homes?
- They are constructed entirely at the building site.
- They conform to all state, local or regional codes where the house is located.
- Often called 'stick-built' houses.
- A well-built, cared for site-built home generally increases in value over time, although its location plays a key role in value.
What Are Modular Homes?
- Modular homes are built in sections at a factory.
- Modular homes are built to conform to all state, local or regional building codes at their destinations.
- Sections are transported to the building site on truck beds, then joined together by local contractors.
- Local building inspectors check to make sure a modular home's structure meets requirements and that all finish work is done properly.
- Modular homes are sometimes less expensive per square foot than site built houses.
- A well-built modular home should have the same longevity as its site-built counterpart, increasing in value over time.
What Are Manufactured Homes?
- Formerly referred to as mobile homes or trailers, but with many more style options than in the past.
- Manufactured houses are built in a factory.
- They conform to a Federal building code, called the HUD code, rather than to building codes at their destinations.
- Manufactured homes are built on a non-removable steel chassis.
- Sections are transported to the building site on their own wheels.
- Multi-part manufactured units are joined at their destination.
- Segments are not always placed on a permanent foundation, making them more difficult to re-finance.
- Building inspectors check the work done locally (electric hook up, etc.) but are not required to approve the structure.
- Manufactured housing is generally less expensive than site built and modular homes.
- Manufactured homes sometimes decrease in value over time.

Modular homes are houses that are manufactured in a remote facility and then delivered to their intended site of use.
Typically, modular dwellings of the US are built to local code, so dwellings built in a given manufacturing facility may have differing construction standards depending on the final destination of the modules. Steel and wood framing are options that can provide clients with many solid choices. For example, homes built for final assembly on the Southeast coast of the United States may have additional bracing built-in to meet local hurricane codes.
Modular components are typically constructed within a large indoor facility on assembly lines much like Henry Ford originally instituted with his automobile company. Such facilities use an assembly line track to move the modules from one workstation to the next. Independent building inspectors are on site to supervise the construction and ensure that all building codes are adhered to during assembly.
Such dwellings are often priced substantially lower than their site-built counterparts and are typically more cost-effective to builders and consumers. These new homes can be constructed in a fraction of the time it takes to build a home "on-site" and they’re built to higher standards as well.[1] Manufacturers cite the following reasons for the typically lower cost/price of these dwellings:
- Indoor construction. Assembly is independent of weather which often leads to cost overruns on site-built dwellings.
- Favorable pricing from suppliers. Large-scale manufacturers can effectively bargain with suppliers for discounts on materials.
- Low waste. With the same plans being constantly built, the manufacturer has records of exactly what quantity of materials are needed for a given job. While waste from a site-built dwelling may typically fill several large dumpsters, waste from a modular dwelling generates much less waste.[2]
Raines Court, a multi-story modular housing block in Stoke Newington, London. One of the first two such residential buildings in Britain. (December 2005)
Off-frame modular dwellings differ from mobile homes largely in their absence of axles or a frame, meaning that they are typically transported to their site by means of flat-bed trucks; however, some modular dwellings are built on a steel frame (on-frame modular), which can be used for transportation to the homesite. Many modular homes are of multi-level design, and are often set in place using a crane.'
Assembly time
The on-site assembly process takes only hours or days, rather than weeks or months as is typical with site-built housing. Once assembled, modular buildings are essentially indistinguishable from typical site-built homes. While mobile manufactured buildings often decrease in value over time, a well-built modular should have the same longevity as its site-built counterpart, increasing in value over time.[3]
Zoning Considerations
Some US courts have ruled that zoning restrictions applicable to mobile homes do not apply to modular homes, and some Modular homes are built to the International Building Code which equals or exceeds US Codes. Additionally, in the US, the Uniform Standards of Professional Appraisal Practice allow site-built homes to be used as comparators to modular homes in real estate appraisal; thus, modular homes can in some cities and counties (depending on local ordinances) be evaluated the same way as traditionally built dwellings of similar quality. Possible developments in equivalence between modular and site-built housing types for the purposes of real estate appraisals, financing and zoning may increase the sales of modular homes over time.
Construction surfaces
Modular buildings can be assembled on top of multiple foundation surfaces, such as a crawl space, stilts (for areas that are prone to flooding), full basements or std. slab on grade. They can also be built to multi-story heights. Motels and other multi-family structures have been built using modular construction techniques. The international communities and acceptance of modular buildings up to (24) floors/stories in Asia.
Exterior wall surfaces can be finalized in the plant production process or in the case of brick/stone veneers field applications may be the builders choice. Roof systems also can be apart of - separate from - applied in the field after the basic installation is completed.
Resistance to Marketplace Acceptance
Some home buyers and some lending institutions resist consideration of modular homes as equivalent in value to site-built homes. While the homes themselves may be of equivalent quality, entrenched zoning regulations and psychological marketplace factors may create hurdles for buyers or builders of modular homes and should be considered as part of the decision-making process when exploring this type of home as a living and/or investment option.
See also
References
- ^ These new homes can be constructed in a fraction of the time. Retrieved on 2006-10-03.
- ^ Modular and Green. Retrieved on 2006-09-15.
- ^ How Modular Homes and Manufactured Homes Differ. Retrieved on 2006-09-15.
External links
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Manufactured homes, like site-built homes, are now available in a variety of designs, floor plans, and amenities. Today’s manufactured homes are indistinguishable from site-built homes and are fully compatible with any neighborhood architectural style. |
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