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Manufactured Housing And Homes-In-A-Box are Viable Routes To Home Ownership

by Glenn Setzer on
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The traditional way to build a house has long been described as “stick built homes.” That is, assembling the building, on site, out of sticks – pieces of lumber that are cut and nailed together into walls and roof trusses, linked together and sheathed with plywood on the exterior and drywall on the interior then finished with shingles, clapboard, vinyl siding, adobe or some kind of brick or brick veneer.

There are disadvantages to this type of building; weather is always a factor, shutting down worksites, damaging materials, and making work uncomfortably cold, hot, or wet for construction workers. Measuring, cutting, fitting, and nailing each “stick” into a whole house is tedious and time consuming; mistakes waste material and drive up costs. While most homes today are still stick built, there are many technological advances that shortcut or even eliminate the cutting, hammering, and nailing process without impacting the quality of construction. Today the term of reference is no longer stick built, it is “site built homes” and there are a lot of ways to do it.

The polar opposite of stick built housing is manufactured housing or what is commonly known as mobile homes. These are totally factory built housing delivered to the site in one, two, or three pieces. The pieces, still on wheels, are joined together, and usually not placed on foundations, are provided with skirting to connect them visually to the ground.

Over the years the line between site built and manufactured housing has blurred, but manufactured housing is, in general, titled differently than site built homes; ownership of the former being treated in most states more as a vehicle than a home. There are also differences in the insurance available to the two types of property and they are financed under special “mobile home” programs.

But the lines are growing fuzzy. If you have not been in a mobile home lately, prepare for a revelation. We recently inspected two “double wide” manufactured homes in Los Cruces, New Mexico. The first was a three bedroom unit with two baths, living room with a dining area and a kitchen. It didn’t feel like a “trailer” but it did not feel like a quality home either. Our sales person was unapologetic, explaining that the model unit had few upgrades and could be delivered and set up for around $50,000 exclusive of land.

The second unit, however, was incredible. Aside from the molding covering the seams between the two or three pieces of the doublewide (or maybe it was technically a triple-wide), one would never guess that this was anything other than a quality home. Once the door was closed, the considerable noise from the busy highway in front of the dealership disappeared. An entry hall led to an open kitchen, living and dining room area and an oblique entry to a well appointed study and master bedroom with a fabulous master bath complete with walk-in closet, jetted tub, and oversized shower. The kitchen cabinets and island were an upgrade of very good quality as were the finishes throughout the unit. The thoughtful space planning was particularly impressive as were the yearly energy consumption figures provided by the dealer. The unit, with two additional bedrooms and a family bath could be on the ground and ready for occupancy in the configuration we saw for $98,000.

Manufactured housing is a major source of shelter in the Sun Belt. Our salesperson, James Gildon, from Palm Harbor Homes, one of the larger producers of manufactured homes, explained that 57 percent of new homes in his Southwest state are manufactured; an economical solution to housing even if manufactured homes tend to depreciate like cars (manufactured home dealers, like car dealers often even take trade-ins of older units.) rather than appreciate as site built housing has This may change as the quality of these homes increase and the stigma that has long haunted them disappears. They are not presently, however, practical in some parts of the country. Zoning and covenants prohibit manufactured housing in some locations and land prices in many places discourage them as a highest and best use of property. Also, while it is far easier to finance manufactured housing than it was even a few years ago, some stumbling blocks still exist.

There are also weather considerations. High quality manufacturers construct to code for temperature and snow load but recent events have shown that manufactured housing may not be the best choice for areas in hurricane or tornado-prone areas. On the other hand, stick built construction did not fare all that well in the face of the winds and storm surge along the Louisiana and Mississippi coast lines. A large display in the Palm Harbor office we visited showed a number of pictures of their homes, standing intact, after hurricanes Andrew and Charley while two by fours from stick –built neighboring houses were strewn everywhere.

Still, manufactured housing is an alternative to traditional construction in communities, particularly in the Southwest and Southeast and parts of the Midwest that are welcoming of them. They are also worth considering for vacation homes where they are permitted.

Moving back to site built housing; One shortcut we were surprised to learn about, again during a visit to the Southwest, is home building kits, i.e., buildings in a box. Sears Roebuck pioneered this concept at the beginning of the last century and many Sears houses are still around, commanding a premium price from lovers of the Craftsman style of architecture. Apparently the idea is still alive and well. Sutherlands Lumber, a big box home improvement store in the west, offers a dozen different home building kits ranging from 900 sq feet (they produce even smaller vacation homes) to 41,000 sq. ft. Among the smallest packages, a two bedroom, one bath bare bones model costs $14,000. A 2,100 kit is $42,000. The kits include pre-cut studs, kitchen and bathroom fittings, floor coverings, appliances, windows and pre-hung doors, and so forth. There are other costs involved, land, foundations, shipping, assembly, electric and plumbing installation – but the mass purchase discounts on lumber and other materials available to factory builders, the time savings on the ground from precut and pre-patterned construction, and savings from weather delays – probably save, and we are guessing here as we have been unable to get firm figures – ten to 20 percent over build from scratch construction. Sutherland is mainly a west-southwest vendor, web search on home building kits for more information and additional suppliers.

NEXT; Modular homes, pre-fabs, panelized construction, and other house building shortcuts.


Comments

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Steve Vail
on
I really want to comment, but your restrictions won't let me do so properly. It is unfair to generalize the product any different than you would the auto industry. Depreciation is only true in certain circumstances, quality is regional and manufacturer specific, and in some cases I believe our product would stand up better than much site-built.
LES EASLEY
on
Would I have to hire a construction Crew to erect a kit home? Can the assembly be done by one old geezer and a son in law who both have framing experience. Can the kit be shipped to Stillwater, Oklahoma and assembled on a pier and beam or concrete slab base the same way a stick built home is done? Do you have a catalogue with pictures avialable that you could send to me?
Jean Farmer
on
I live in a beautiful manufactured home with foundation. I have seen many stick built homes built in the Pacific Northwest during all times of the year. Most times the sturcture gets totally wet. But they continue to build all along it gets wetter and wetter. I've always wondered, what happens to all the water, when they seal it up wet? Do you get mold, does the water tend to come out causing the structure to look odd? Anyway you look it, I believe it's a valid question.
Donna
on
Big savings here. Jobs that would normally take 3 weeks to build, now only take 1 week because most of the walls and trusses and framing are done, it just needs to be put up. Labor costs can make or break your vacation home dreams. You also don't have the weathering issue because everything is wrapped before it is brought to the site. After comparing for the last 5 years before we built, we consider this to be the most bang for the buck.
Jeff
on
I am having a difficult time sourcing Modular, Kit, Panel, and House-In-A-Box dealers for the Pend Oreille County Washington area. Could you point us to reputable dealers?
kay
on
Question, when is a manufactured home not considered a mobile home? I have been doing some research and I have discovered loop holes...first, mobile homes are not on foundations. What is considered a foundation and if it is placed on a foundation would it still be considered a mobile home?
kay
on
Also, mobile homes were built before 1976. Manufactured homes were built after 1976 due to state, local and HUD code requirements. I would say big difference between them. Doublewides weren't built until 1980. Would they be mobile homes? More land sellers are placing restrictions that no mobile homes allowed. Please reply.
Diane
on
I live in Washington State, and I have received conflicting information on what exactly I bought. Two appraisers have said I have a modular home, but when I look up from my daylight basement, I see two I-beams with connections for wheels. One realtor told me that when a manufactured home is put on a daylight basement, it becomes a modular home. When I checked the county records, I see that this home has always been coded as "01" meaning stick-built/modular. Can anyone clarify this for me?
anonymous
on
Hello,I am a land owner in New Mexico who would like to purchase a Modular home out of Texas. The Manufacturer of the home plans to surrender the title to the property to make it a site built home. However due to lisencing with CID in NM that would take over one year. I only have 10 months left to replace structure, the manufacturing company is wanting to make the interior walls 2/4's vs origilal purchase was 2/6' interior walls to meet HUD code so that the home may be setbynov Please explain Why?
Anonymous
on
I am a working Structural Engineer (not retired). I do not recommend the use of mobile or manufactured homes because they have no permanant foundations to resist catostrophic events (tornadoes, hurricanes, earthquakes, floods, etc.). All structures designed to comply with local building codes (i.e. International Codes, UBC, CBC, etc.) must be designed to resist these types of events, and are therefore safer. The HUD codes have no stipulations for disaster design and can be equated to a car.
Anonymous
on
A true foundation is a bearing system designed to transfer gravity and lateral loads from the structure into the soil. Foundations must be designed for most structures using local wind and seismic load requirements set by the city's building safety department. Modular homes will be designed to sit upon these foundations. Mobile and manufactured homes are not required to rest on permanant foundations, therefore are not considered permanant structures. Hence, they are considered mobile.
Anonymous
on
A mobile or manufactured home is not designed to rest on permanant foundations. It can be done, but if not done correctly is a farse at best. They are designed to be moved and rest on a steel frame system similar to the traditional mobile home. These homes have no lateral support system, so without a lateral load path, a foundation would do little for a manufactured home. Some type of system would have to be added to transfer the lateral forces into the foundations. Modular homes have this.
larry
on
i live in a 2yr old manufactured home. it is currently on the "magnum" system which isnt a foundation. im thinking about putting a dylight basement into the hill directly behind my house, and setting the house on it. by doing that does it become a modular home?, or what?. also,can you tellme if these things can be added onto very easily as far as codes go? thanks
Anonymous
on
I see comments from obvious stick built contractors on here hoping everyone believes paying $150 per sq ft for stick built vs paying $55 per sq ft for manufactured mean a stick build is better than a manufactured home. Not true. My old stick built home had a steel i-beam running down the center to hold up the structure above my basement.. how is that different than the steel i-beams holding up my manufactured? there is none! They talk about lateral forces... how about driving your stick built down the road at 75mph after building it and see if it can stand the loads. It think the NEW manufactured are getting a bad rap these days.. they are quality homes and should be mortgaged the same.. same rates... same coverages, etc. They say they mortgage at higher rates because people walked out on their mortgages... isn't that what is happening now with stick builts?