That house on a trailer is no trailer-home
I used to think of modular homes as something that looks like a double-wide trailer. About ten years back, I saw a manufactured home that was not properly on its foundation (in the opinion of my client’s home inspector.) It also had electrical problems and safety issues. That didn’t help my opinion any. Like most people, I had not seen modern modular homes and I confused them with manufactured homes.
Modern modular homes are attractive. I am pleasantly surprised. Modular homes are not “manufactured homes” which offer little flexibility. A modular home can be in almost any design. I started seeing very attractive ones landing in Lexington and Needham over the past few years. After a little snooping around, I found they are all over the area.
There are several reasons why modular homes are becoming more popular and taking over a larger segment of the new housing market. Here’s why, according to Michael Zenga:
1. Better quality: Because modular homes need to be strong enough to be transported from the factory to your building site, they are built with 30% more material than a traditionally built home. Exterior walls use 2 x 6s instead of 2 x 4s; first floor ceiling joists don’t double as 2nd story floor joists, which creates less noise and better insulation between floors.
2. Less expensive: Modular homes are built in a factory setting away from the weather. Working indoors saves labor time. There is also less waste and better use of materials which makes modular homes less costly than standard homes.
3. Saving time also means that a buyer can move in faster. In one study, identically designed homes were built on-site and in the modular factory. The entire process took 4 months from start to finish for the modular home, but 14 months for the site-built home.
4. With less waste and the ease of recycling in the factory, the modular home industry focuses on the environment. In addition, greener materials are easier to employ into the factory-style assembly as they become commercially available.
Many towns allow modular homes, does yours? Have you seen them? Do you like them?
On that list, I'd agree with all but number one. I find most modular houses to be of average quality - not as good as really well built house, but tract standard.
They also have certain architectural limitations, obviously.
But certainly, well done, only an expert would be able to tell a house was modular
Don't know enough to opine. Except that the mainstream modular homes certainly look no worse than your average McMansion tract house. And some of the upscale "green" versions look genuinely cool.
One thing I will say: It is high time that the bloated, overpriced, sloppy U.S. residential construction industry got some competition. For years, they've been building cookie-cutter homes that look like they rolled off a factory floor, so they shouldn't be surprised to lose market share to the real thing.
Oh, and Rona, I think the PC term for these homes is supposed to be "modular." The word "manufactured," apparently, is now the upscaled name for trailers. Hard to keep up with the PR spin, but there it is.
Hi Rona, I deal with a developer who specializes in buying lots and placing modular homes on those lots. I gotta' say that with the marked improvements in the quality of modular homes that I am leaning more toward them than traditional stick-built homes. And the finished per square foot price for modular homes are much less than the price for traditional stick-built homes.
"And the finished per square foot price for modular homes are much less than the price for traditional stick-built homes."
Does anybody have proof of this statement? Any facts and figures regarding the cost of modular vs. traditional? I hear people say stuff like that, but I don't believe it until I see some figures.
Let's cost out building a 2100 sq. foot, 4 bedroo,, 2.5 bath basic colonial.
For financing purposes, are these homes considered "mobile" by the bank, and interest rates adjusted accordingly?
The factory built housing industry is like many others. There is a low, middle and high end for this product just like conventional site built housing. Its important to do your research and find a good local builder that can deliver to your expectations. I think we're old enough to know there is no Santa Claus! Thanks Rona for a good perspective.
Clarification for LL:
Modular homes are only mobile when they ride from the factory to your lot. Lenders do not handle like mobile homes. One would not move them elsewhere once they are on their foundation. Your loan structure would be like that of a construction loan. The modular industry is a new twist on home construction.
The question on the table is whether it is uniformly more cost effective than building the house on site.
As a modular home builder that's done it both ways, it's a no-brainer. Example: I just took arch drawings of a waterfront home of 4500SF and converted them to modular. It's not only $250K LESS, but it is heavier and more solidly built (40lbs/SF vs. 30lbs/SF, 2x6 ext walls, double band boards, etc) in a computer controlled environment. Plus, it will leave the factory with an EPA Energy Star rating and be "greener".
Most of my customers down here in the WashDC/Balt corridor are savvy customers seeking an alternative to the ancient practice of building a house one stick at a time, in drastic hot/cold & wet/dry conditions, by subs that show up only every other day! For more info (and shameless self-promotion) visit www.finishwerks.com.
uniformly more cost effective? No.
Sometimes more cost effective? Yes. The more "plain vanilla" a house is, the more cost effective modular is.
WHo doesn't build 2x6 walls these days? I don't think you can even pass the insulation requirements with less than 2x6 new build. (renos are different)
I want to answer LL's question.
Modular homes are financed through construction loans just like any conventionally built home. We have built homes financed by big banks such as Bank of America and little banks like Salem Five.
Michael Zenga
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