Whats the difference between Modular and Manufactured When your talking homes?
Manufactured Homes June 17th, 2009In applying for a home loan Iam told that manufactured homes are often not common loan options but Modular is, how do you know the diffrence? and what is this metal plate suppose to on these homes ,, what am I looking for when looking for this plate
June 17th, 2009 at 11:00 pm
I laugh everytime someone asks a questions about mobile homes, manufactured homes or modular homes and all the "mortgage" experts come out in force. Fact is you have 1 answer so far that is somewhat right and abunch of opinions, not facts. Here is the difference between manufactured homes and modular homes. A manufactured home falls under HUD building codes and guildlines. The tag on the end of the home is the HUD tag. It is 2" x 3" and the number on it is the registered HUD approval number for that unit. HUD records these numbers, and that certifies to the buyer that this home meets or exceeds HUD's requirements. HUD's requirements are more strict than most local building codes!!! The modular home falls under UBC ( united building code) building code. The modular home also has a 2" x 3" tag on it certifing that home meets UBC codes and guildlines. Most modulars are manufactured by a manufactured home company and most times in the same plant. Modulars come delivered to your site the same as a manufactured home. If you where to pass one going down the highway you could not tell the difference. The modulars come 2 ways. What is called "frame off" meaning that it will be set on a basement and the undercarriage will be removed before instalation, and "frame on" which means it will be set on a pier and beam, and the undercarriage stays with the home. When it comes to financing a manufactured home is typically done as a "chattel" loan which means it is treated as a personal property loan. Most of these loans require a minimum down payment of 5% with terms up to 240 months, but they can also be done as a true real estate mortgage. There are both conventional, FHA and VA loans avalaible. These loans are usually done with 10% down (conv) and 0 down through FHA, with terms to 360 months and rates that fall right inline with stick built mortgage rates. Modular homes are concidered SFR (single family residence) and qualify the same as stick built homes with the same terms and rates.
June 17th, 2009 at 11:00 pm
I think its 1978 but its been awhile. There will be a metal plate on the property that says when it was built. Usually those built before a certain date cant get financing. Once again I want to say Im not sure of the exact date but I think its 1978.
A mobile home is that, mobile. It can be moved. A modular home was a mobile home that was placed on a basement or a slab and had its axel removed. Thus no longer mobile.
The difference from a mobile home and modular home is title. Is it a trust deed? (real estate property). Or personal property (car loan). That plate will probably tell you or you can call your locally county recorders office and ask them to look up the property. They will tell you.
June 17th, 2009 at 11:00 pm
Mobile Home Construction refers to a building method where the home is built according to a national HUD code instead of the local building code. This code allows mobile homes to be built with different and often lesser quality standards than regular houses. The goal is to provide housing that is more affordable than regular housing. The main disadvantages of mobile homes are that they depreciate in value, they do not qualify for conventional mortgages and insurance costs are higher. The characteristic that is most unique to mobile homes is that the floor is a metal chassis with removable wheels that is used to transport the home to the job site. The only similarities between the two methods of construction are that the homes are built as modules and they are both built in factories.
Many mobile home companies also produce modular homes in the same factory. These modular homes built by mobile home companies are built according to local building codes but often contain the same lesser quality materials and are built with the same lesser quality standards as mobile homes. Wausau Homes does not build mobile homes and only uses high quality materials and standards in our modular homes.
Technically a manufactured home is a mobile home. In 1976 the US Government adopted a national HUD building code for mobile homes. In that program they defined mobile homes as manufactured homes and the mobile home industry has since adopted that name. A better name to use for these types of homes is manufactured mobile homes.
June 17th, 2009 at 11:00 pm
Manufactured homes are still considered by most to be a glorified Mobile Home. Modular homes are considered a kit like back in the old days when Sears and Roebuck sold home kits (think puzzle pieces) to individuals who built their own homes.
Manufactured homes depreciate rapidly as well.
I'm guessing the plate is used to attach the Modular home to the foundation where as the Manufactured home just sits on top.
June 17th, 2009 at 11:00 pm
Manufactured is a trailer house, it's built completely in a factory on a movable steel frame (perhaps that is the metal plate your referring to) and that is pulled onto the land and skirting is put around the bottom. Modular is a pre-fab, that is built piece by piece in a factory and then all the pieces are brought to the land sight by a truck and put together. I know Manufactured homes usually need special financing…ie. a loan company that specializes in mobile homes.