Yes, a prefabricated home can maintain or even increase its value, just like a house built on site. The report also answers another question: do mobile homes last as long as traditional ones built with sticks? It seems like a resounding yes: Whether your home is manufactured or built on site, it will retain and gain value over time with proper maintenance and maintenance. Restrictive or unavailable funding, restrictive zoning, and the view that prefabricated houses are not valued as much as those built in situ have limited this type of housing. However, a recent government report reveals that prefabricated houses could be revalued at levels similar to those of site-built houses.
Another potential downside to buying a manufactured home is the relatively low resale value. However, according to the Federal Housing Finance Agency, there are trends that suggest that prefabricated homes may be starting to appreciate almost as quickly as traditional homes. As a result, the idea that buying a manufactured home is not a sound investment is being questioned. In today's market, the book value of a mobile home does not provide a reliable and accurate figure on the real value of a prefabricated home.
Some financial institutions may be reluctant to offer a mortgage loan for a manufactured home, unless you have a permanent base or you already own the land on which it will be installed (or you are also applying for a loan to buy the land). Although there are limits to what the data can tell us, the index suggests the need to reevaluate the presumption that prefabricated houses do not appreciate at the same rate as houses built on a site. Buying a prefab or modular home can be confusing, but understanding the types, differences, and what to look for help. A prefab home also gives you the option of one day moving it relatively easily to a new location, although most prefab homes today are meant to stay there.
To learn more about insurance options for manufactured and modular homes, contact a State Farm agent today. You qualify for an FHA loan as a result of the manufacture and foundation of the house (as would any other house built with rods). As with any home purchase, you need to thoroughly review the manufactured home before making a down payment. While this also applies to a new home, it's especially important if you're buying a used prefab home.