Double wide or trailer - these are often the term that are associated with homes that are prebuilt or built off-site. Although both modular and manufactured homes are built off-site, there is a big difference in the two and also a big difference when it comes to finding a lender. A modular home homes is held to the same local, state and regional building codes required for on-site homes. They are framed in the exact same way that you would have a general contractor build on a home site only they are built in a factory and shipped out normally in 2 pieces that are "stitched" together on site. A modular home is like a traditional home, placed on a permanent foundation. Modular homes come in all shapes and sizes. In many cases, it’s hard to tell the difference between a modular home and a traditional stick-built home. Most banks and mortgage lenders offer financing on modular homes the same as they would a traditional on-site built home?
Manufactured homes are held to a federal code set by the Department of Housing and Urban Development (HUD) and have the ability to move. The homes are transported to the home site, either in sections or as a whole, and installed on either a temporary or permanent foundation. In most cases, they will be permanently affixed. The big difference between manufactured and modular homes is that manufactured homes can be moved and some do not follow specific codes within states or counties. Manufactured homes are available in three sizes: single section, double section, and triple section. Getting a loan for a manufactured home can be more challenging as not all lenders offer financing or mortgages. Generally, the value of a manufactured home will depreciate more quickly, while the value of a modular home follows the housing market. Any manufactured homes built before 1976 will not qualify for financing as they do not meet the standards of current building codes.
If you have purchased land and are looking into what type of home to choose, make sure you check with your local building codes and also talk to an experienced lender to see what your best options are. My recommendation?
Also, make sure you have an experienced realtor to guide you through these choices as well.