Prefab vs stick built

[Christian Roberts]

Can someone explain why a prefab house won't appreciate the same as a stick built.

Here is a link to what I think a modular prefab or manufactured home is.
http://www.apexhomesinc.com/apex/plan/cottonwood.htm

I don't understand why if their on a foundation their just like a regular house.

chris

[Valerie Pedigo]

I agree with Matt - there is often confusion about modular vs. manufactured.

Quick overview IMHO:

Manufactured (doublewide/singlewide) - 1 piece or 2 pieces brought on site

Modular - a "kit" where the pieces are built in the factory and then erected on site. (The apex home is a modular.)

Panelized - panels for the superstructure of the home are built in the factory, erected on site.

Any of them can be on a full basement (just not as common on manufactured homes.)

About appreciation - modulars and panelized appreciate with the market and in lending are underwritten as stick built. Manufactured are considered depreciating assets because they are basically a vehicle rather than a house. The framing is metal, the materials aren't always the best, and it wears rapidly. In lending, they are pretty much shut off right now.

See my site in the signature below for more info on panelized homes.

Are you looking at building?

-Valerie