Many homebuyers are facing the challenge of housing affordability. Supply chain issues related to the COVID-19 pandemic have made home prices rise further. Many people are turning to manufactured homes as a way to achieve the dream of home ownership.
The Appeal of Manufactured Homes
Price is a key factor for many homeowners choosing manufactured homes as housing costs skyrocket.
The average price of a new manufactured home is $127,250 according to data from the Manufactured Housing Institute, and the cost per square foot is $85, compared to a site-built home at $167.87.
A recent report from LendingTree found mobile homes cost on average $220,000 less than site-built single-family homes. Manufactured housing presents an attractive option for maximizing your home buying budget due to its significant savings.
You don’t have to sacrifice style for affordability. Manufactured homes come in a variety of architectural styles and exterior finishes that allow the home to blend seamlessly into almost any neighborhood. With thoughtful design choices, manufactured homes can have aesthetic curb appeal comparable to traditional site-built homes.
Multiple Layout Styles
When searching for a manufactured home, you’ll find several common layouts and architectural styles to choose from. Select a design that suits your tastes and lifestyle needs.
Traditional Ranch Layout
The traditional ranch layout features a single-story with an open floor plan. Ranch designs often have long, low-pitch roof lines and large windows along the front of the house.
Ranch-style house shapes vary. Common ranch-style homes are rectangular but can also be built in a “U” or “L” shape. Features of ranch homes include sliding doors, wide roof eaves, and an attached garage.
The ranch layout prioritizes a seamless indoor and outdoor connection, making the most of outdoor living spaces. Large windows and doors bring in natural light and cross ventilation.
The sprawling footprint of a typical ranch home ranges from 1,500 to 2,500 square feet, which is ideal for entertaining.
Modern Manufactured Home Layout
Modern manufactured homes mix style with function. Modern homes have rectangular exteriors, flat or slanted rooflines, and angular points — expect to see metal, glass, and steel on the exterior of modern layouts along with a large expanse of glass windows or doors.
Modern homes feature open layouts that utilize smaller footprints, with sizes ranging from 1,000 to 1,500 square feet. High ceilings and minimal walls in modern manufactured layouts create an airy, open feel.
Contemporary manufactured homes emphasize clean lines and a sleek aesthetic. Select the contemporary style of the modern layout if you like large windows, high-end finishes, and a sophisticated edge.
The Farmhouse Layout
Like its site-built counterpart, the farmhouse-manufactured home exhibits rustic simplicity. In a farmhouse layout, expect a rectangular or square floor plan that is practical and timeless. The farmhouse layout features a formal front room and living area with a large kitchen as the centerpiece of the main floor.
The popular farmhouse layout usually features light-colored exteriors with expansive or wrap-around porches, overhead dormers, and fireplaces or exterior chimneys as staples.
Farmhouse styles evoke a cozy, old-fashioned charm with touches like shiplap walls, distressed wood finishes, and vintage-inspired lighting fixtures. Farmhouse layout homes are typically 1,200 to 1,800 square feet with a welcoming front porch.
The Cabin Home
Cabin floor plans emphasize casual indoor and outdoor living with spacious porches and open kitchens, customizable to suit any homeowner’s needs.
Smaller families, couples, or an individual can find cabin floor plans ideal as they usually feature more compact square footage between 800 and 1,200 square feet. The outdoors can be brought in through the extensive use of natural wood and stone that defines the cozy cabin feel.
By the Numbers
While manufactured homes offer significant savings over site-built houses, prices vary widely across the country. Here’s a look at the typical value of mobile homes in different states.
- Kansas Median mobile home value: $28,300
- Ohio Median mobile home value: $28,500
- Iowa Median mobile home value: $29,000
- Washington Median mobile home value: $146,500
- Nevada Median mobile home value: $114,000
- Oregon Median mobile home value: $113,500
Mobile homes tend to be more affordable in Midwestern and Southern states, while coastal regions with hot housing markets see higher prices. In all areas, manufactured homes are generally hundreds of thousands cheaper than site-built houses.
Financing Manufactured Homes
As a real estate agent, I’ve found that challenges in obtaining financing are one of the drawbacks of manufactured housing.
Fannie Mae and Freddie Mac have begun to ease lending restrictions, making it easier to finance manufactured housing and in some cases, buyers may be able to secure conventional financing for their manufactured home purchase. Conventional financing is typically a traditional 30-year mortgage.
The home must have been built after June 1976 and must be attached to a permanent foundation to qualify for conventional financing. Conventional financing does not work for land-lease communities where you rent the lot.
Buyers have another option in Federal Housing Administration loans. FHA requires a minimum down payment of 3.5% and has flexible credit standards, but the property must satisfy certain criteria. USDA rural development loans may be available for qualifying borrowers in designated rural areas. Consult with a mortgage lender to understand the financing options available to find the best loan for your situation.
So, Is a Manufactured Home Right for You?
Manufactured housing provides an affordable pathway to homeownership for budget-conscious buyers. You can find a design to match your tastes with the diverse layouts and architectural styles available with manufactured homes. Historically, financing for manufactured homes posed challenges, but the expanded options offered by Fannie Mae, Freddie Mac, FHA, and USDA make it more accessible to purchase a manufactured home.
I recommend the option of a manufactured home if you want to maximize your buying power.
FAQs About Buying Manufactured Homes
Are manufactured homes mobile?
Manufactured homes are factory-built but are not intended to be moved regularly once installed on a site. They require a permanent foundation and are difficult to relocate.
How do I get a mortgage for a manufactured home?
Conventional loans may be available through Fannie Mae and Freddie Mac. FHA and USDA may also be options.
What are closing costs on a manufactured home?
Closing costs are similar to site-built homes and may include origination fees, application fees, title fees, recording fees, and taxes.
Can I put a manufactured home on any piece of land?
You’ll need to check zoning laws and ensure proper utility connections are available at your desired site. Some areas prohibit manufactured homes.