When deciding on the type of home you want to buy, it’s important to weigh the pros and cons of different housing types. The housing you opt for can have many bearings on your future from financial concerns to reselling.

Two main types of residential housing include both modular and stick-built homes. These home types are often debated by buyers who want to be sure they’re making the best decision. Since there are many benefits and drawbacks of each type of home, you should carefully consider each before making a commitment.

What are the Differences Between Modular Construction and Site-Built Homes?

One of the most common questions that has been asked is the difference between modular and “stick-built” construction. Or sometimes, our buyers want to understand the differences between modular vs HUD manufactured homes. The term “modular” is often associated with HUD manufactured homes, especially doublewide mobile homes. This can be the case, but it’s important to understand that there are different types of manufactured homes, and they are not all the same.

Off-Frame Modular Construction Homes vs. On-Frame HUD Modular Homes

Off-frame modular homes are essentially the same as stick-built homes, in that they are built to your states Building Codes. Most off-frame modular homes in the Michigan area are built with 2 x 6 walls, offering superior insulation compared to 2 x 4 walls. These homes are built in a factory, so the materials are not susceptible to damage from weather. And since weather is not a factor, off-frame modular homes can be built in 4 months or less.

Keep in mind that the home’s foundation will be built on-site, while the modular parts of the home are under construction in the factory. Many modular homes in Michigan are built on basements, and poured concrete walls are a popular choice.

On-frame modular homes are essentially manufactured homes, and they are delivered to the site on a “frame.” These homes are built to HUD code (U.S. Department of Housing and Urban Development). The frame is a metal chassis that allows for transportation of the home to the site. In most cases, these homes are placed on a permanent foundation, and there is no intent to move them again. A permanent foundation is required.

Building Process

We’ve already touched on a few differences manufactured homes and how off frame modular homes are built. Let’s look more closely at the difference between modular and stick built homes. Stick built has some advantages and some disadvantages. A possible advantage is that you can visit the site whenever you want to see how things are coming along. In many cases, you’ll join your contractor for a frame walk, where you can let them know if you’d like to make any changes before the builders begin adding drywall.

A disadvantage of your house being built from the ground up outside is that it is subject to weather conditions. This means construction can be delayed, as we’ll talk more about in the next section. It also means the framing lumber can become moist and warp, which could cause problems if it’s not thoroughly dried out before the drywall goes on.

Time Frame

Time is a significant concern for many people buying a home. Whether you need to be out of your current home by a specific date or want to move into your new home before the arrival of a baby or the start of a new school year, a construction process that drags on can create a great deal of stress.

A timeline can be especially important if you’re rebuilding your home after a disaster because some insurance companies require you to rebuild within a strict time frame. Whatever your time constraints are or your reason for wanting a project done within a certain amount of time, unfortunately, traditional home construction can often end up taking longer than planned.

According to the U.S. Census Bureau, the average time it takes to build a home is six and a half months. Larger or more customized homes take even longer. Some houses may take closer to a year from start to finish. Though your builders will give you an expected timeline, it is not uncommonfor weather delays or other problems to extend the timeline. If you’re not in any hurry, this may not be a problem, but the unpredictability of a stick-built home timeline is a disadvantage to most people.

Modular homes are typically finished within three to 4 months — much sooner than a stick-built home. The building process is more controlled and streamlined with a modular home, so you aren’t likely to run into delays. One major time-saver is that your property can be prepped, and the foundation built while the modules of the home are already being constructed in a factory.

Cost and Financing

The cost of a modular home vs. a stick-built is one reason some people consider a modular home to begin with. Cost is always an important consideration for homebuyers who have often saved for many years to afford to build a house. According to a Research Center analysis of recent Census Bureau housing data, renting has become more common today than it has been at any other time in the last 50 years. One survey revealed that 72 percent of renters would like to buy a house, but most said financial reasons held them back.

The good news for budget-conscious home buyers is that modular homes tend to be a bit more affordable than stick-built homes. As with any building project, more premium materials will always drive up the cost, so choosing a modular home is not a guarantee that you’ll stay within your budget. The highest-end modular homes tend to cost the same per square foot as an equivalent stick-built home. On average, though, modular homes typically cost anywhere from 10 to 20 percent less than a stick-built home.

So, why is the price of a modular home vs. a stick-built home different? One major reason is that modular homes are constructed in controlled conditions, whereas stick-built home building projects can run into unexpected issues like weather events or materials shortages that draw out the process and raise the final cost. Another cost-saver for modular home builders is that they often have in-house inspectors who ensure the quality of your home as it’s being built.

Whatever your home costs, you can finance it in any of the same ways you could finance a stick-built home. Some mortgage lenders are willing to finance a modular home at a lower interest rate since there are fewer risks involved.

Modular vs. Stick-Built Cost

Generally, the cost of a modular home will be lower than that of a stick-built home from $99.00 up to $149.00 per square foot. Although, this is not always the case — a more ultra customized modular home could cost up to $180 per square foot. However, the finished home will still have all the benefits that come with modular construction, including minimal delays and exposure thanks to the assembly process taking place in a controlled environment.

At M&H Home Sales we offer a turn-key service . We help you design your perfect modular home, either based on a standard floor plan or completely customized to your budget. Whatever your vision is for your home, we can bring it to life. We can help you choose materials that fit within your budget and will complete the look you desire for your home, both inside and out.