Made in China: California Licensed Manufactured Homes

San Diego , CA · Member since 2018 · 87 posts · 28 votes

I am looking into getting manufactured homes built in China. I'd like to get them licensed in California, but it is very difficult. I have had a design and import business for the last 3 years. I did over a million in sales last year, so I am very familiar with sourcing in China. Let's assume the issues in China are all worked out.

Can anyone give me advice on getting these licensed in California? I am trying to get an idea of how to get a license from the state, but it is hard to find good information. I have talked to many people, but they all have no idea how the manufactured homes get licensed and permitted.

Any advice on how feasible this is? Or where to start?

Thanks!

Andrew

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Jay HinrichsBusiness Member

Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes

@Jon Holdman my airplane partner has gone and done this in Oregon fully licensed and approved by the CCB

https://www.relevantbuildings.com/

check it out.. his market to start is rural cabins that can be locked and left.. and he has a multi going up in St. Helens

now to be fair he is quite brilliant at construction owns a HUGE underground construction company that he sold to his employees and loves these type of off the main stream projects and has put many hours into it.. and not made a dime LOL.. he donated one of the fully built homes to the local collage..

In other words a seriously capitalized entraprenour with an extensive background in construction.

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Tiffany Ralston
Rental Property Investor · Iowa City, IA · Member since 2016 · 34 posts · 16 votes
8y
Perhaps contact other manufactured home companies that are based or sell in California and ask them how they obtained their license?
1 Reply
Pavan Sandhu
Developer · Sacramento, CA · Member since 2016 · 464 posts · 143 votes
8y
even shipping costs from so cal to nor cal throw most scenarios for modular homes out the window. perhaps based on your experience you can minimize those drastically. 8k a truck load. 3 trips minimum.
1 Reply
Jon Holdman
Rental Property Investor · Mercer Island, WA · Member since 2008 · 22k+ posts · 14k+ votes
8y
Links to your three other posts on this same topic so readers can see what's already been discussed:
https://www.biggerpockets.com/forums/61/topics/551577-backyard-homes-produced-in-china
https://www.biggerpockets.com/forums/617/topics/551580-china-built-backyard-homes-socal
https://www.biggerpockets.com/forums/61/topics/537480-tiny-homes-produced-in-china
This sort of house is an interest of mine, though I'm more interested in building them on-site with a 3D printer and local materials. I think the biggest block to getting anything like this accepted is building codes. I don't mean building codes are a negative at all. I mean the challenge is in complying with them with an unusual structure. And getting inspectors to accept what you've done as compliant in their locale.
There are several companies that produce manufactured homes. Clayton, for one. My mom bought one of these a few years ago. They come in sections, like mobile homes, and are then attached together on site. There's an industry group for this type of construction: Manufactured Housing Institute. That might be a place to start.
What you're proposing, though, sounds more like prefabricated construction. Where small sections are built in a factory and then assembled on-site. I think that's actually somewhat simpler than modular. If the end product is similar to conventional construction, and is compliant with applicable building codes then I think you're good to go.
I think you should also consider where you might start. I would not try this in CA, where they are strict about building codes and have issues that other location don't (earthquakes, in particular.) There are lots of parts of the country where building codes are not applied at all. A house in rural MO, like my mom's, doesn't require any permitting or zoning approval at all.
2 Reply
Jo-Ann LapinPro Member
Loan Officer · Tustin, CA · Member since 2015 · 3k+ posts · 713 votes
8y
You are welcome to pm and and I can give some contacts.
[email protected]
1 Reply
Andrew Erickson
OP
San Diego , CA · Member since 2018 · 87 posts · 28 votes
8y
@Tiffany Ralston, Yes good idea. I have called a few suppliers and I'm getting some progress. Some hate the idea. Some are very interested in the idea. We'll see how it goes.
@Pavan Sandhu, I ship dozens of containers worth of products all around the world. From China/Thailand/Mexico to US and Europe. You'd be shocked at how cheap it is to get a container halfway around the world.
1 Reply
Andrew Erickson
OP
San Diego , CA · Member since 2018 · 87 posts · 28 votes
8y
@Jon Holdman, Yes 3D printed homes are so cool!! I have owned several 3D printer over the last 6 years now. I love the idea of 3D printing, but these printers are still pretty far from real production. Are there any real homes being 3D printed in the US?
Yes, I could start somewhere other than California. It becomes harder to do long distance sales though. Plus my value proposition is that these units could be rented out at $1500/month. Selling to people in rural areas is a harder sell.
These homes are actually built to fold up. They have all the plumbing and electrical built into a centerpiece. Then the walls for the living room and bedroom rooms fold out. You can pack two 400 sqft homes into one 40ft shipping container.
1 Reply
Jon Holdman
Rental Property Investor · Mercer Island, WA · Member since 2008 · 22k+ posts · 14k+ votes
8y
Shipping is an industry I follow, so I believe your statements about shipping costs. They may fall further as a consequence of all the trade war sabre rattling. There's a glut of capacity among the big shippers. I would not, however, bet on shipping rates staying this low over the long term.
This the sort of problem you'll face. Electric being in the center does not meet code. Codes specify that any point along a wall must be within six feet of a receptacle on the wall. There are also requirements for receptacles in kitchens and baths. NEC 210.52. You'll be fighting an uphill battle if you don't conform with these codes. If you make sure your design fully meets all building codes for your target area you'll eliminate a big objection. And, if you think about it, having electric in only one spot isn't very practical. Occupants would end up with cords stretched across walkways.
I've seen a couple of demonstration projects for 3D printed houses. I don't think this is actually being used for production anywhere. Yet. The technology i progressing but not to a commercial stage. Making it an opportunity, like your idea.
1 Reply
Jay HinrichsBusiness Member
Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
8y
@Jon Holdman my airplane partner has gone and done this in Oregon fully licensed and approved by the CCB
https://www.relevantbuildings.com/
check it out.. his market to start is rural cabins that can be locked and left.. and he has a multi going up in St. Helens
now to be fair he is quite brilliant at construction owns a HUGE underground construction company that he sold to his employees and loves these type of off the main stream projects and has put many hours into it.. and not made a dime LOL.. he donated one of the fully built homes to the local collage..
In other words a seriously capitalized entraprenour with an extensive background in construction.

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3 Reply
Jon Holdman
Rental Property Investor · Mercer Island, WA · Member since 2008 · 22k+ posts · 14k+ votes
8y
@Jay Hinrichs how is your buddy doing with those? I do think this sort of construction is very interesting.
2 Reply
Jay HinrichsBusiness Member
Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
8y
Originally posted by @Jon Holdman:

@Jay Hinrichs how is your buddy doing with those? I do think this sort of construction is very interesting.
I don't frankly know I have a dinner with him in a week or so will get more detail
I know he bought a facility .. he owns dirt all over Oregon so that's not an issue.. and I know he has the financial ability to execute.. what I don't know is if he has just done these so far for his own account or has sold to the public.
Standby I will find out and report back..
My point in this though is I think it takes more than hey I want to build container homes.. :)
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Thomas S.
Member since 2016 · 13k+ posts · 12k+ votes
8y
At 400 sq ft you are not talking about a simplt manyfactured home. What you are talking about is a tiny home which addes even more levels of difficulty in getting approved. Most building codes by nature will not approve a home that small, most have minimum square foot requirements. Building code approval is only th efirst step. Finding a location that will actually allow them is just as difficult in many cases.
There are areas that do allow tiny homes and I believe CA may be one based on changing codes. Seek out ares that allow tiny homes and you should be able to locate th enecessary info on passing code.
1 Reply
Andrew Erickson
OP
San Diego , CA · Member since 2018 · 87 posts · 28 votes
8y
@Thomas S., yes, good point. The thing that got this whole idea rolling is that California just passed sweeping statewide regulations. The new legislation makes it illegal for cities to make 400 sqft granny flats illegal. Assuming you meet California code and a few other rules, granny flats can always be placed in a backyard in California. It is part of a plan to provide more affordable housing.
0 Reply
Andrew Erickson
OP
San Diego , CA · Member since 2018 · 87 posts · 28 votes
8y
@Jon Holdman, good point. I'll have to read the regs closely to see how to modify the design to fit within the codes. Do you think I can read through every rule this weekend? I'd like to understand them enough to at least be able to hire someone to help me.
I'm not really that scared of Trump's "trade war" with China. I already deal with import stuff and tariffs all the time. It's not a big deal. I'll wait until something actually happens before I react ;-)
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Andrew Erickson
OP
San Diego , CA · Member since 2018 · 87 posts · 28 votes
8y
@Jay Hinrichs, those container homes are very cool! I was looking at container homes too. Looks like these use the containers brought here from China and then construct the home in the US, right? I love that idea. I was hoping to do most of the handy work in China though.
I see you were a guest on the podcast. I'll listen to that episode this evening!
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Jay HinrichsBusiness Member
Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
8y
Originally posted by @Andrew Erickson:

@Jay Hinrichs, those container homes are very cool! I was looking at container homes too. Looks like these use the containers brought here from China and then construct the home in the US, right? I love that idea. I was hoping to do most of the handy work in China though.
I see you were a guest on the podcast. I'll listen to that episode this evening!
there are used container brokers at most ports I think he pays about 2 to 4k per container ships them to his plant in Oregon then configures them I have not seen him place them yet though..
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Jon Holdman
Rental Property Investor · Mercer Island, WA · Member since 2008 · 22k+ posts · 14k+ votes
8y
Originally posted by @Andrew Erickson:

@Jon Holdman, good point. I'll have to read the regs closely to see how to modify the design to fit within the codes. Do you think I can read through every rule this weekend? I'd like to understand them enough to at least be able to hire someone to help me.
No. You need to figure out what code applies in the locale you're targeting. Around here, for 1-2 unit residences most cities use International Residential Code. The 2012 version, which is what my city is on, is 904 pages. $110 on amazon. I don't have this one, but do have the 2006 version. It states that it is not intended to instruct but rather to dictate the rules to a knowledgeable person. When working on a project, like the basement finish project I'm just completing, I do refer to this book frequently. And I talk to building inspectors when needed. Many locales will add there own twists on this code to deal with specific, local issues. This is only one of several different codes in common use. They are not 100% consistent, so meeting one code does not guarantee you're compliant with a different one. Fun, eh?
The other code is NEC (National Electric Code). The 2017 version is 888 pages. This one is available online for free at nfpa.org.
Much of what's in these docs doesn't apply, because they cover a LOT of ground. IRC covers many of the basic of NEC. If you were to read through the Chapter 3 Building Planning in IRC you would get a pretty good idea of many of the basic requirements.
The best way to learn this quickly would be to take a general contractor test prep course. Short of that, hiring an experienced general contractor or (probably better) and architect would be the way to go. If you're really going to try to make this idea fly I think you should get an architect on your team.
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Andrew Erickson
OP
San Diego , CA · Member since 2018 · 87 posts · 28 votes
8y
I talked to a manufactured homes license guy who works for the state. He was very helpful. He gave me lots of material about this stuff and a few people to call who can help. I have lots of homework now!
He was optimistic about the idea so that makes me very happy. Still a long road ahead, but making progress :-D
1 Reply
Alvin Sun
Member since 2024 · 2 posts · 1 vote
2y
@Andrew Erickson Andrew, have you finally done the business of manufactured home?
1 Reply
Carlos Villalta
Wholesaler · San Bernardino, CA · Member since 2015 · 84 posts · 15 votes
2y
Any updates? I'm interested in purchasing a folding container home as well comes with full bath, kitchen, 2 beds going through the same deal. I think I'll just pay some sort of consultation fee and have a engineer or architect review them and make any necessary corrections. In San Bernardino county where I live I believe three sets of plans have to be signed stamped and approved by engineer. So might as well start there.
1 Reply
Andrew Erickson
OP
San Diego , CA · Member since 2018 · 87 posts · 28 votes
2y
I ended up scraping this project. The California regulations were too difficult. I'd have to have a home inspector live full-time in China to make this viable. And then with the 25% Trump tariff, it became even harder.
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Lynda Li
Member since 2024 · 1 post · 0 votes
1y
Did you ask can you ship everything over in the US and assemble them together? I think many manufacturer Home in the US doing something like this. Once you got building permit, then you can just put manufacturer home on the land. Do they check the manufacturer home permit? As long as the manufacturer home meets the state code then should be fine. Please contract me if I am wrong
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