Modular and manufactured homes?

Hmm..

here is a BIG no-no-

Manufactured Homes

* Formerly referred to as mobile homes or trailers.
* Manufactured homes are built in a factory.
* Conform to a Federal building code, called the HUD code, rather than to building codes at their destinations.
* Homes are built on a non-removable steel chassis.
* Sections are transported to the home site on their own wheels.
* Multi-part units are joined at their destination.
* Segments are not always placed on a permanent foundation (more difficult to re-finance).
* Building inspectors check the work done locally (electric hook up, etc.) but are not required to approve the structure.
* Manufactured housing is generally less expensive than site built and modular homes.
* Manufactured homes often decrease in value over time.

I think that they are ok to live in and they can be quite nice starter homes...the problem is they have no resale value. So you will be hard pressed to sell the thing when you want to move on.

Know the Differences Before You Buy a Home
When you are buying a home, you will hear the terms site built, modular home, and manufactured home. It's important to understand how these structures differ, no matter whether you are purchasing an existing home or plan to build on a vacant lot that is subject to restrictions.

Site Built Homes

* Built from the ground up; built entirely at the home site.
* Conforms to all state, local or regional codes where the home is located.
* Often called a 'stick-built' home.
* A well-built, cared for site-built home generally increases in value over time (location plays a key role).

Couldn't be less than a double wide. Anyway, the thing is manufactured off site and delivered, ready to have the sections married up.

Sounds like a good price. Financing will depend on the thing being set up on a permanent foundation. Be sure you know what it will cost. Check all the new housing costs too. Septic tank? Delivery and setup costs. Does it really fit into the local zoning?

Is this a new modular? Find out how it is optioned and exactly what is going to be there when it is delivered. Are you getting the very home you are looking, or is it going to be substantially the same thing.

Don't front the dealer anymore cash than necessary, and don't get in a hurry. And remember, an oral agreement isn't worth the paper it's written on.

Modular Homes

* Modular homes are built in modules at a factory.
* Modulars are built to conform to all state, local or regional building codes at their destinations.
* Modules are transported to the home site on truck beds, then joined together by local contractors.
* Local building inspectors check to make sure the structure meets requirements and that finish work is done properly.
* Modular homes are sometimes less expensive per square foot than site built homes.
* A well-built modular home should have the same longevity as its site-built counterpart, increasing in value over time.

Read More Facts About Modular homes


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http://homebuying.about.com/cs/modulareducation/a/modularhomes.htm

Interesting roger...
I never knew I had to think about those things?!
I have not talked to a dealer at all. I have been simply searching the interent looking at land home packages, financing options etc....
I dont dare set foot on a sales lot .. I wouldnt make it out of there alive!

Modulars can be a good buy depending on the company. Quality can really vary from excellent to "nightmare". Price does matter, the cheaper end of this field is not much better than the manufactured home category. You will be given many options, go for the best quality you can afford. Never skimp on things like floors, windows and roofing.

Go and look at all the sample models that are available. Walking around a layout and seeing it on paper are such different things. You can also ask to see homes that the company has built that are currently being lived in. A good company will have a referral list of happy customers. Check with your state better business bureau for complaints. If you are a sucker for a sales pitch, leave the check book and charge cards at home and bring a good friend who can grab your arm and steer you to the exit. Don't shop with your husband, it's a good excuse to say you can't commit to anything. A reputable company should not use any hard pressure sales tactics or make you feel rushed. Good companies do not want to deal with buyer's remorse.

Also, if you are a first time home buyer talk to your bank first, often you can get special mortgage deals sponsored by the state and federal gov't. And of course - sign nothing until your lawyer approves.

Ok, here's my very biased opinion. If you can afford something better, buy it. You and Mr. Wolf are still pretty young and unless you plan to stay where you are for the rest of your days, you will want to keep resale value in mind.

I'm a house hunter by hobby and by necessity. Both houses that we bought were chosen for neighborhood first, resale value and potential for appreciation second (ties in with neighborhood pretty often), and construction strength third. If these homes are that cheap, there is probably a reason. My father once gave me the advice to buy as much house as you can possibly afford and so far that has been good advice for us. Mortgage interest is tax deductible and profits made on the sale of a primary residence after two years are tax-free. That can be quite a chunk of change with a house that is expected to appreciate and if you plan to move again in the next 5 years or so it's something to be considered.

FreeDuck's advice looks really good. And happy to see her dad's advice because that's what we've done. So far feel like it was really the right thing to do though money's been tight. (That's also because E.G. made a mistake in figuring out his monthly take-home pay -- we bought the house thinking we'd have almost a thousand more per month, and if we did, we'd be fine.)

I know they look really tempting shewolf, but I wouldn't do it.

Financing is done like a car loan - not a home loan.

If you set it up in an established modular home neighborhood you have to pay rent on the space - you never own the land it's on.

If you buy land to put it on you have to put in a foundation and bring in utilities, sewers, etc.

There was a big boom in manufactured housing here in Oregon a few years ago because property is so expensive. Now, most of the homes have been abandoned. People can't sell them so they end up just walking away.

I'm going to see if I can find the articles our paper ran about the dangers of buying manufactured homes......

I'd like to add to Boomer's comment:



Also, your neighbors will very close. Your rented property (and your windows) will be just a hoot & a holler from the rented property and windows next door.

The good communities have a lot of nit-picking regulations: cutting grass, parking, number of guests, limits on guests staying overnight, children's noise, toys in the front yard....

The bad communities have few regulations and residents who take advantage of Freedom Hall.

All the articles from my paper have been archived so I can't get to them anymore.

I did come across a recent article about how rezoning had left people in one neighborhood forced to move -- not just move themselves, but having to pay to move their houses too..... http://www.oregonlive.com/search/index.ssf?/base/metro_southwest_news/111218029912940.xml?oregonian?swn

Don't confuse kit homes with trailers. You can buy "factory made" houses (not trailers) for big bucks. You are basically buying a manufactured kit. A builder puts it together and you pick the style the details. We have some of these homes in my area and they can easy go for $500,000 and are built on large acreage. We call them "Starter Castles" aka "McMansions". Some are tasteful, some are not. Log homes of all sizes also fall into this category. Go for quality, no matter what you do. I agree it's best to avoid anything like a trailer home, they decrease in value like a car or truck, even if you own the land they sit on.

As someone who has renovated a 200 year old farmhouse, I can tell you it is also important to get a good engineer to check out everything if you are buying an existing home.

Are you sure about the financing, boomerang? I looked into it a couple of years ago, and if it were on a permanent foundation, it seems they were financed as housing.

It may vary state to state but my understanding is that unless you're buying the land that it sits on that it cannot be treated as a mortage because it is not real estate.

On design, architects worldwide are playing with new designs for manufactured homes. There have been a lot of articles about them on ArchNewsNow.com, a site I look at for general land use news. I have probably saved some of the articles, might have given a link here on a2k once or twice.
I can't remember if the site has a search function, and don't have time to look now.

This is neither here nor there on the wisdom of any one deal, though.

Interesting point about the financing Boom..... I never knew how they would finance those things considering they can TECHNICALLY not be considered a home right?
Scarier thought.. people actually walk away from these homes because they can not sell them. In my hunting for information, the one thing I keep reading ( example is in my earlier posts) is that they GAIN in value..
Frustrating to know what happens in real life with these vs what the web and sales sites tell ya.




These rules sound like they belong to an apt community? Arent these supposed to be homes? Strange rules.....
I have yet to look into any communities , or property but knowing that these types of rules may/can/should be in place.. I dont know that I will.
I guess I had a diffrent image in my mind of a modular home. ( giving that i have only seen a handful actually OCCUPIED) I was under the impression that these things were allowed anywhere you owned land? I didnt realize they had to go into specific zoning areas? This must be because they bring down adjoining property value to the point of almost no return for surrounding property?
Very interesting......


So, if I own land.. WAY out in the middle of BFE, no neighbors, no nothing, would that effect my ability to build? Aside from paying an arm and a leg for connecting to city water and other utilities.. ?




The more I read and learn about these homes.. the more I am thinking the same thing.
though, they DO sound like a great starter home..
my concern is sinking into them financially to thepoint that they are no longer a starter, but a financial prison...

Another point that swayed me into looking at modulars..
If Mr and I buy a real home, we will only be able to get into something about 100-130,000.
That is to keep the monthy payment low enough that I can continue to stay home with bean.
For that amount of money... going the modular route, We can have 4 br, 2 bth, possibly 2 acre lot... blah blah blah... and the amount of money we have to put down is much LESS then what is required on a real home.
( the amount of downpayment on a real home is what is keeping us in this place we are in right now )

I'm sure there are modular homes that are built on owned land and with the proper foundation and look just like any other house. One like that might be a good investment, just make sure you're getting what you pay for.

If this is your first house, I say buy what you can afford. A smallish house in a good neighborhood will appreciate more than a big one in a poor location. A starter home is just that, a start. As Mr. Wolf earns more money and as bean grows and you do or don't decide to go back to work full or part time, you will be able to afford more house. You don't have to get your dream house right away. Think long term.