Modular vs. Manufactured…..what is the difference

I always used to get confused on these two but this is a nice short explanation……….enjoy

Modular vs Manufactured…..what is the difference

Modular homes are residences constructed entirely in factories and transported to their sites on flatbed trucks. They are built under controlled conditions, and must meet strict quality-control requirements before they are delivered.

Manufactured is the most recent label for what were once called “mobile homes” or “trailers.

Manufactured Homes are now allowed on Conventional loans.


General Requirements:

    • Designed and constructed to meet the Federal Manufactured Construction and Safety Standards


  • Designed as a single family dwelling and classified as real estate


  • Constructed after June 15, 1976
  • Must have a permanent foundation system in accordance with manufacture’s requirements for anchoring, support, stability, and maintenance. Must meet local and state codes
  • Towing hitch or running gear must be removed (including tongues, axles, brakes, wheels and lights)
  • Must be permanently connected to a septic tank or other sewer system and other utilities according to local and state requirements
  • Manufactured home installed on site for less than one year is not allowed unless borrower is:
  • the 2nd purchaser of the property  OR
    • Refinancing their current manufactured home
    • Seller cannot be the builder/contractor or manufactured housing dealer who installed the unit on site