Profile picture for Sean0

Resale value of modular homes

I am contemplating buying a high-end modular homes designed by labhaus.com. I like their designs and quality of construction. Typically, modular homes have a negative connotation. The houses I am looking at cost over $350k excluding land cost. My question is, if I go with modular homes will they hold up their value? If I want sell the house in 5 years or 10 years will I get my investment back assuming normal market conditions (i.e. no crisis)  
  • February 28 2011 - Chatham Township
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Answers (8)

Profile picture for jafarox
Perception is reality.  If most ppl see modular homes as mobile homes, then most ppl will react to modular homes like mobile homes.  As stated above, if your gut feeling is negative, then so will others'.  Here's a link from Kiplinger's.  Note #5.

The advice from realtors who promote modular homes is self-serving and should not be trusted.  As well, to suggest that "stick homes" may be less durable b/c they sit out in the weather while being built is utter nonsense.  Tell that to all the owners of 200 yr old homes in New England and all the owners of million dollar "stick estates".  There's a reason they don't have modular or pre-fab homes in expensive zip codes.

http://www.kiplinger.com/article/real-estate/T010-C000-S001-what-you-should-know-about-buying-a-prefab-home.html
  • May 14
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Profile picture for dale91952
If the quality and beauty of design are there then of course it will sell.  You're looking at a modern design and those buyers tend to be more accepting and appreciative of technology.  
  • November 17 2014
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Profile picture for j3350489
Lets just say As a realtor and PAST HOME BUILDER if I were to build a new home I would go with a MODULAR .. Remember stick built homes are built out doors in the rain snow sleet hail and sun they get beat up on ..
  • January 03 2014
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Profile picture for GeorgetteBurns

  If you think for one minute that a modular home will bring the same value as a stick built home then try selling it and find out. Modular homes are delivered on the back of a truck the same as a manufactured homes. This industry played games with the name of these house. They were first call trailers, then mobile homes, then manufactured homes, and now they are called modular. To prove that they are not the same as a stick built home, go to the websites that have wood inserts and the first thing you will see is wood inserts are NOT approved for mobile or modular homes. Modular homes are 21th century TRAILERS. Don't be fooled.

  • January 03 2014
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Modular homes have had a bad connotation over the years - especially when people confuse them with manufactured homes (mobile homes)

In most states that I am familiar, manufactured homes are all built to current code and are many times better construction than "stick built."
In North Carolina it is not a "material fact" that the home is modular, so future buyers should have no reason or way to know the origin of the home.

There are poor construction firms and there are poor modular builders.  Which ever way you go, pick a good one and you should be OK.
  • April 01 2012
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Profile picture for user765861
I think modular homes is a real good  choice.  Going green can increase your home's value and give you an edge when you're ready to sell.  The majority of modular home companies in the United States are energy star eady. Going green may increase your the value of your home and can also give you an edge when you're ready to sell.  And another big advantage is energy savings, which can save a homeowner thousands in only a few short years in heating or cooling cost.
  • April 01 2012
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The same doubt you have will be shared by potential future buyers.

They will price it in to the equation.  

  • March 01 2011
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Your first step should be call lenders to se if there is anyone doing modular home loans that is the first step I would take. Modular homes used to be treated as standard construction on the lending side. I would call several lenders to see who all does loan for this property type. Then contact a local realtor in your area to look at history of this property type and its past performance in your area.
  • February 28 2011
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