Are you considering buying a manufactured home but feel overwhelmed by the amount of information out there? Look no further! In this blog, we'll provide you with an essential guide to understanding manufactured homes. Whether you're a first-time buyer or looking to upgrade, these ten key points will equip you with the knowledge you need to make an informed decision. So, let's dive in!
- The Distinction Between Manufactured Homes and Mobile Homes:
To start off, it's important to note that the term "mobile home" is outdated. Since the Department of Housing and Urban Development issued codes in 1976 to regulate factory-built homes, they have been officially known as manufactured homes. Unlike their mobile home predecessors, manufactured homes are built in factories and then transported to the site for installation.
- Researching Your Options:
When exploring the world of manufactured homes, the internet is your best friend. Begin your search by finding distributors and manufacturers near you, and explore their websites to gather more information about the homes they offer. Additionally, investing in resources such as the Grissom Readings Guide to Manufactured Homes or the NADA Home Value and Home Price Reports can provide valuable insights.
- Understanding the Variety of Manufactured Homes:
Manufactured homes come in various forms, including singles, double wides, and even triple wides. They differ in terms of square footage, layout, the number of bedrooms and bathrooms, and the quality of finishes. While affordably priced homes tend to have a simple appearance, luxury models can closely resemble site-built homes.
- Where to Buy a Manufactured Home:
Manufactured homes are typically sold through dealerships, either independent or associated with specific brands. Moreover, you can explore real estate listings to find existing homes within Manufactured Home communities.
- Price Considerations:
According to the Manufactured Housing Survey, the average cost of a single-section manufactured home is around $55,000, while a double-wide home averages around $108,000. Generally, homes in the $20,000 to $50,000 range are considered low-end, while those in the $60,000 to $90,000 range fall into the mid-range category. Factors such as square footage, brand, material quality, regional variations, and customizations contribute to the overall price.
- Unexpected Costs to Consider:
While the cost of your manufactured home includes the structure, labor, and materials, there are additional expenses that should be factored into your budget. These may include purchasing or leasing land, site preparation (including foundation and hookups), delivery and setup, air conditioning, exterior additions, taxes, insurance, closing costs, and community fees.
- Pros and Cons of Buying Used:
Buying a pre-owned manufactured home can present an opportunity for a great deal, but there are potential drawbacks. It may be more challenging to secure financing for used homes, and they may not meet current building standards or could have incurred wear and tear. To ensure you get the best value, have the home inspected before making a purchase.
- Financing Your Manufactured Home:
Financing options for manufactured homes include chattel loans, which cover personal property, and mortgages. While mortgages generally offer lower interest rates, they can be more difficult to obtain and often require you to own the land. Explore government-backed financing programs such as those offered through the FHA, USDA, or VA. Additionally, it's advisable to shop around with different banks and lenders, as you are not obligated to use the financing offered through the dealership.
- The Construction Process of Manufactured Homes:
Manufactured homes are built section by section in a factory on a steel chassis. Starting with the installation of floor joists, pipes, ductwork, and cables, the floors and walls are then secured, and the roof is added. Final touches and interior finishes are completed once the home is transported to the site.
- The Delivery and Setup Process:
Once the sections are built, the manufactured home is placed on wheels for transportation. A setup crew follows a planned route to your home site, where they assemble and anchor the home. Utilities are connected, the interior is finished, and thorough testing is conducted. After a final walkthrough, you can move into your new home.
Embarking on a manufactured home journey can be exciting yet challenging. By utilizing the information provided in this article, you'll be well-prepared to research and shop for your dream home. Remember to consider factors such as the distinction between manufactured and mobile homes, financing options, the construction process, unexpected costs, and the variety of available homes. Armed with this knowledge, you can confidently make informed decisions throughout your manufactured home buying process. Happy house hunting!