5 Things You Didn’t Know About Mobile Home Investing (Including How The Last One Built Is Over 35 Years Old…)
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In today’s article we’ll explore a small list of some surprising facts about mobile homes and manufactured homes that are not well publicized in the media.
Mobile homes and manufactured homes are often times laughed at by a majority of investors. This seemingly negative stigma gives many mobile home investors a low competitive arena compared to other markets.
1. Did You Know That Properly Installed Manufactured Homes Can Withstand Short Wind Gusts Over 120 Miles Per Hour?
Mobile homes are located in every state in America. Manufactures of factory built housing have increased construction standards and quality material used over the past 4 decades.
Newer manufacture home buyers that reside in hurricane-prone and tornado-prone states can live in relative safely and affordability compared to the flimsy and unregulated construction practices of the past.
2. Did You Know that Manufactured Homes are Produced In One-Fifth The Time And At Half The Cost Of Site-Built Homes?
Manufactured homes assembled in a controlled, factory environment use fewer materials and generate 35%-40% less waste comparable site-built units. In 2009, the average cost per square foot for a new manufactured home was $41 compared to a cost of $84 for a new site-built home.
Investor reminder: Paying retail to invest in brand new manufactured homes is typically not a profitable strategy and is not in this investor’s business plan. With that said this affordable new model mobile home may become an even more affordable used model I would be happy to purchase in 7+ years.
3. Did You Know The Last Mobile Home Was Made In 1976?
Technically, a mobile home and manufactured home are different homes.
A mobile home is always constructed before June, 1976. Homes constructed after June 1976 are known as manufactured homes. Manufactured homes must meet FHA certification requirements and come with attached metal certification tags on the home’s exterior.
Investor reminder: While talking to most buyer, sellers, Realtors, investors, etc while in your area’s real estate investing trenches the terms “mobile home” and “manufactured homes” will be used interchangeably.
4. Did You Know The Life Expectancy Of A Modern Manufactured House Is Equivalent To Comparable Site-Built Homes?
Properly installed manufactured housing under HUD’s new construction code is said to be as safe and storm resistant as any other new home.
Manufactured homes sold after 1994 are built to the same HUD standards for construction, strength, fire resistance and wind resistance that are applied to site-built homes. A report published by the state of Florida indicates that no manufactured home built to these standards received any major damage during the severe 2004-2005 hurricane season.
Additionally, a study published by the Foremost Insurance Company found that manufactured homes are less likely to catch fire than site-built homes.
5. Did You Know You Can Tell A Great Deal By A Mobile Home’s or Manufactured Home’s Roof?
A not-so-commonly known trick is that a mobile home with a pitched roof will be built during the year 1982 or newer.
Flat or curved roofs (or very very slightly pitched roofs) are typically built before 1982. This rule is only for single-wide mobile homes and manufactured homes, almost all double-wide mobile homes have pitched roofs.
Investor reminder: Do not be fooled by a roof-over roof. These are entire metal roofs typically purchased after-market to fix major roof repair issues. A roof-over typically lays “over” or on top of a home’s existing roof to protect it.
In conclusion I hope mobile homes and manufactured homes are starting to surprise you. Mobile homes of the past are not the same manufactured homes built today. Newer and older manufactured homes start to deserve more respect as safe, affordable, and attractive homes.
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