Think you know a thing or two about “mobile homes?” Think again! Manufactured homes (“mobile homes” is a actually a misnomer) are the most misunderstood form of housing in the United States. As a result, many people overlook the value, quality, safety — and ease of financing — that make manufactured homes the perfect option for many homeowners.
1. Manufactured Homes Are Not Mobile Homes
The truth is, no builder of manufactured homes has built a “mobile home” in more than 40 years. Back in 1976, Congress passed a law that subjected manufactured homes to a rigid national construction code. As a result, today’s manufactured homes have hardly anything in common with the “mobile homes” in the decades before then. The HUD Code has been upgrades often over the years to ensure improved resistance to storms. And since 1994, manufactured homes have been built according to the same strict standards for fire and wind resistance that apply to site-built homes.
2. Manufactured Homes May Increase in Value
While many people have the misconception that manufactured homes are depreciating assets, like most automobiles, the truth is that manufactured homes may appreciate just as site-built homes do. They’re subject to the same law of supply and demand, location, and local market conditions. As with any other form of property, location matters most. (Which is why Sweetwater Oaks is such an attractive place to live!)
3. Manufactured Homes Perform As Well (or Better) in Wind and Storms
When the 1994 HUD Code mandated storm resistance standards, it ensured that manufactured homes were to withstand storm events with the same performance as site-built homes. When you see images of destruction after hurricanes and storms, most of what you see are from true “mobile homes” not manufactured homes.
4. Manufactured Homes are Built to Safety Standards that Often Surpass Site-Built Homes
Did you know that the HUD Code imposes stricter fire and and safety standards on manufactured housing than the IRC Code sets for traditional, site-built housing? Most people don’t! A study by Foremost Insurance Company demonstrated that manufactured homes were in fact less likely to catch fire than site built homes!
5. Manufactured Homes Can Be Financed More Easily Than Most Realize
Many lenders specialize in providing mortgages just for manufactured housing, including a new purchase, construction or home and land package. Manufactured homes on private property may be financed as chattel or personal property loans, which may be more expensive than mortgage loans but easier to obtain.
Manufactured homes on land owned by the buyer and installed on a foundation are considered real estate and qualify for mortgages with FHA, VA, and USDA just like site-built homes.
Have more questions about value of owning a modular home? Contact Sweetwater Oaks today!
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