Modular vs Manufactured Homes
One common confusion is the difference between modular and manufactured homes. While both modular and manufactured homes are assembled in factories, they are built to two different codes.
Manufactured homes, or sometimes referred to as “mobile homes,” are built on permanent metal chassis and brought to the homesite with the metal chassis in place. They are built in compliance with the federal Manufactured Housing Construction and Safety Standards, also called the HUD code, which preempts state and local codes. In most cases, manufactured homes require more money down and financing options are more limited with 15-20 year mortgage options vs. the traditional 30 year loan.
In contrast, modular homes are built to the same International Residential Code, or IRC, as site-built homes and must conform to state and local regulations. Modular homes put on permanent foundations qualify for most all 30-year mortgage products. In our local region, they are being built by some familiar brand names such as Beracah and Clayton Homes.
Working in a factory has its advantages. Builders can control variables that could compromise and delay site-built construction, as well as modular houses are built from the inside out and all of the components are kept dry. And, proponents of modular construction say precision building on an assembly line also reduces waste during construction.
As our nation’s housing shortage continues to grow, it is expected that modular construction will grow in popularity.
Lauren Bunting is a Broker with Keller Williams Realty of Delmarva in Ocean City, Maryland.
