Cheap small homes

Looking to shed the colossal burden of a mortgage and embrace a simpler, more affordable lifestyle? Forget the myth that homeownership means decades of debt. The truth is, cheap small homes offer a powerful antidote to soaring housing costs, providing a pathway to financial freedom and a minimalist existence that prioritizes experience over excessive possessions. These aren’t just tiny houses. they encompass a spectrum of innovative and budget-friendly dwelling solutions, from manufactured homes and modular units to shipping container conversions and even thoughtfully renovated older properties. They prove that you don’t need sprawling square footage to live comfortably and securely. The beauty of these compact abodes lies in their lower material and labor costs, reduced utility bills, and often, more flexible placement options, making them an increasingly attractive option for individuals, couples, and small families seeking to unburden themselves from the traditional housing paradigm.

Here’s a breakdown of some leading options that make the dream of affordable homeownership a reality:

• Champion Home Builders: A major player in manufactured and modular homes, offering a wide range of customizable floor plans.

  

  • Key Features: Extensive customization options, various sizes from small to larger family homes, strong reputation for quality.
  • Average Price: Starting from approximately $50,000 for smaller models excluding land and setup costs, varying significantly based on size and features.
  • Pros: Factory-built efficiency often means faster construction and lower costs, good insulation and energy efficiency, strong dealer network.
  • Cons: Perceived stigma of “mobile homes,” often requires land purchase, setup and foundation costs can add up.

• Skyline Champion Corporation: One of the largest producers of manufactured and modular homes in North America.

  • Key Features: Broad range of small, affordable designs, focus on energy efficiency and modern amenities.
  • Average Price: Small models can start around $45,000 to $60,000, with variations based on region and specifications.
  • Pros: High volume production leads to cost efficiencies, reputable brand, good for those seeking quick occupancy.
  • Cons: Limited customization in the most budget-friendly options, transportation logistics can be complex.

• Clayton Homes: Offers a vast array of manufactured, modular, and tiny homes, with a focus on affordability and sustainability.

  • Key Features: Wide selection of floor plans, some models designed specifically for small living, emphasis on energy-efficient features.
  • Average Price: Entry-level small homes might begin around $40,000 to $55,000.
  • Pros: Extensive network of dealers, diverse product line, many options for personalization within budget.
  • Cons: Additional costs for land, utilities, and foundation can significantly increase the total investment.

• Tumbleweed Tiny House Company: A pioneer in the tiny house movement, specializing in compact, portable dwellings.

  • Key Features: Iconic tiny house designs, often on wheels for mobility, emphasis on craftsmanship and space optimization.
  • Average Price: Shells might start from $25,000, while fully finished models typically range from $60,000 to $100,000+.
  • Pros: Mobility, unique aesthetic, encourages minimalist lifestyle, potential for off-grid living.
  • Cons: Extremely small living space, zoning and parking regulations can be a major hurdle, high cost per square foot.

• Container Homes: Shipping containers repurposed into habitable structures, offering a unique and often eco-friendly solution.

  • Key Features: Extremely durable steel construction, modular nature allows for expansion, high design potential.
  • Average Price: A basic 20ft container shell can be $3,000-$5,000, with finished homes ranging from $30,000 to $150,000+ depending on complexity.
  • Pros: Sustainable, fast construction once planned, robust and secure, can be stacked for multi-story designs.
  • Cons: Requires significant modification insulation, windows, plumbing, can be challenging to permit, internal dimensions are narrow.

• Accessory Dwelling Units ADUs: Small secondary homes on the same property as a primary residence, often used for rental income or multi-generational living.

  • Key Features: Can be detached, attached, or converted from existing structures e.g., garages, flexible use cases.
  • Average Price: Varies widely from $50,000 garage conversion to $200,000+ new build depending on size, location, and finishes.
  • Pros: Adds property value, potential for rental income, allows family to live close, bypasses need to buy new land.
  • Cons: Local zoning ordinances can be restrictive, construction can be disruptive, requires existing primary residence.

• Prefabricated Home Kits: Homes delivered in pre-cut or pre-assembled components for on-site assembly, often by the homeowner or a contractor.

  • Key Features: Components are manufactured off-site, reducing waste and build time, can include various styles from modern to rustic.
  • Average Price: Kits can range from $20,000 for a basic cabin to $100,000+ for a more complex home excluding foundation, labor, finishes.
  • Pros: Cost-effective for DIYers, reduced construction time, precise manufacturing, less material waste.
  • Cons: Requires significant on-site labor and project management, foundation and utility hookups are separate, not a “turnkey” solution.

Decoding the Appeal of Cheap Small Homes

The concept of “cheap small homes” isn’t merely a niche trend.

It’s a rapidly expanding movement driven by economic necessity, environmental consciousness, and a desire for simplified living.

In an era where traditional homeownership often feels out of reach for many, these compact dwellings offer a tangible path to escaping the rent trap or the burden of a massive mortgage.

It’s about leveraging smart design and efficient construction methods to provide shelter that’s both affordable and functional.

Think of it as a strategic move to optimize your living situation, freeing up resources for other life goals, be it travel, education, or simply more leisure time.

Why Small is the New Smart

The financial benefits of small homes are substantial and multifaceted.

Beyond the lower upfront purchase price, you’re looking at significantly reduced ongoing expenses.

Property taxes are often lower because the assessed value is less.

Utility bills shrink dramatically due to less space to heat and cool, and less energy required for lighting. Maintenance costs are also minimized.

There’s less roof to repair, fewer walls to paint, and simpler systems to maintain. High quality modular homes

• Lower Initial Investment: This is the big one. Whether it’s a manufactured home, a tiny house on wheels, or a well-designed modular unit, the cost per square foot tends to be significantly less than traditional stick-built homes. For instance, a small modular home might cost $70-$120 per square foot compared to $150-$250+ per square foot for a custom build.
• Reduced Utility Bills: A smaller footprint means less energy consumption. According to the U.S. Energy Information Administration EIA, homes under 1,000 square feet use substantially less energy for heating and cooling compared to larger homes. This translates to hundreds of dollars in savings annually.
• Minimal Maintenance: Less space equals less to clean, less to repair, and less to maintain. This frees up both time and money. Consider the difference in painting a 500 sq ft exterior versus a 2,500 sq ft one.
• Lower Property Taxes and Insurance: Generally, a lower home value means lower property taxes and often, more affordable insurance premiums. This can add up to thousands saved over the life of the home.

The Rise of Manufactured and Modular Homes

Forget the outdated stereotype of the “mobile home.” Today’s manufactured and modular homes are a far cry from their predecessors, offering quality, durability, and customization that rival traditional stick-built houses.

They represent a significant segment of the affordable housing market, providing well-built, energy-efficient options.

• Manufactured Homes: These are homes built in a factory on a permanent chassis and then transported to the home site. They adhere to the HUD Code Housing and Urban Development, a federal standard for safety and quality.
  • Key Benefit: Cost-effectiveness due to assembly line efficiency and bulk purchasing of materials. They can be placed on rented land in communities or on privately owned land.
  • Example: Many reputable companies like Champion Home Builders and Clayton Homes offer a wide range of manufactured homes, from basic to highly customized luxury models.
  • Data Point: According to the Manufactured Housing Institute MHI, the average sales price of a new manufactured home including setup in 2022 was around $128,000, significantly less than the median price of a new single-family stick-built home.
• Modular Homes: Unlike manufactured homes, modular homes are built in sections modules in a factory and then transported to the site and assembled on a permanent foundation. They must conform to all state and local building codes, identical to site-built homes.
  • Key Benefit: Faster construction time, consistent quality due to factory environment no weather delays, and often higher appraisal value than manufactured homes.
  • Example: Skyline Champion Corporation is a prime example of a company producing high-quality modular homes that can be indistinguishable from traditional homes once completed.
  • Process: Modules are transported on flatbed trucks, lifted by cranes, and set onto the foundation. The interior and exterior finishing work is then completed on-site.

Unconventional Pathways to Affordable Living

Beyond the mainstream manufactured and modular options, a vibrant ecosystem of alternative small housing solutions has emerged, each with its unique charm, challenges, and cost profile.

These options often appeal to those seeking greater autonomy, sustainability, or a truly unique living experience.

The Allure of Tiny Homes

The tiny home movement has captured imaginations, promoting extreme minimalism and mobility.

While the upfront cost per square foot can sometimes be higher than other small homes, the overall price tag is often significantly lower than traditional housing.

• Mobility vs. Permanence: Tiny homes can be built on wheels RVIA certified for mobility or on a permanent foundation. On-wheel tiny homes offer the flexibility to move, but they are subject to RV and zoning regulations which can be complex.
  • Example: Tumbleweed Tiny House Company pioneered many of the aesthetics and functional designs associated with tiny homes on wheels.
• Space Optimization: Every inch counts. Tiny homes feature clever storage solutions, multi-functional furniture e.g., beds that fold into desks, stairs with built-in drawers, and vertical living concepts to maximize utility.
  • Statistic: The average tiny home is between 100 and 400 square feet, a drastic reduction from the U.S. average new home size of over 2,200 square feet.
• Zoning and Regulations: This is often the biggest hurdle. Many municipalities don’t have clear zoning for tiny homes, leading to challenges in finding legal places to park or build. Researching local ordinances before purchasing is crucial.

Shipping Container Homes: Repurposing for Residence

Converting shipping containers into homes is an innovative and often sustainable approach to affordable housing.

These robust steel boxes offer a unique aesthetic and incredible durability.

• Structural Integrity: Shipping containers are designed to withstand extreme loads and harsh conditions, making them inherently strong. They are built to be stacked high and endure ocean voyages.
• Design Flexibility: While a single container can be a compact studio, multiple containers can be combined, cut, and modified to create larger, multi-story residences. This modularity allows for creative architectural designs.
  • Considerations: Insulation is paramount, as steel conducts heat and cold efficiently. Proper ventilation is also critical to prevent condensation.
• Cost Breakdown: The cost of a used 20ft container can be as low as $2,000-$4,000, but modifications are where costs add up. Fully finished, professional container homes can range from $30,000 to $150,000+ depending on the complexity of the design, interior finishes, and utility hookups. DIY can significantly reduce costs if you have the skills.

The DIY & Pre-Built Landscape

For those with a bit of DIY spirit or a desire for customizability on a budget, the world of kits and pre-built components offers compelling options.

These bridge the gap between full-on construction and completely finished factory homes. Prefabricated homes usa manufacturers

Prefabricated Home Kits: Build Your Own Dream

Prefabricated home kits provide a middle ground, offering the advantage of factory-precision components with the flexibility of on-site assembly.

This can be a highly cost-effective method for those willing to get their hands dirty or manage local contractors.

• Types of Kits:
  • Panelized Systems: Walls, floors, and roof sections are built in a factory and shipped as large panels for quick assembly.
  • Pre-cut Systems: Lumber and other materials are cut to size and numbered, much like a giant IKEA furniture kit, for assembly on site. Log cabin kits often fall into this category.
  • Structural Insulated Panels SIPs: High-performance building panels made of an insulating foam core sandwiched between two structural facings. They offer superior insulation and rapid construction.
• Cost Savings: By pre-cutting or pre-assembling components in a factory, waste is minimized, and labor costs on site are reduced. Many DIY enthusiasts choose kits to save on contractor fees, though professional assembly is also an option. A basic cabin kit might start from $15,000-$30,000, excluding foundation, utilities, and interior finishes.
• Project Management: Even with a kit, you’ll need to manage site preparation, foundation work, utility hookups, and all interior finishing plumbing, electrical, flooring, painting, etc.. This requires significant time, effort, or additional contractor costs.

Accessory Dwelling Units ADUs: Unlocking Backyard Potential

ADUs are growing in popularity as a flexible and financially savvy way to add living space, often on existing property.

These are secondary housing units on a single-family residential lot.

• Versatile Uses:
  • Rental Income: A popular choice for homeowners looking to generate passive income.
  • Multi-Generational Living: Provides independent living space for aging parents or adult children while keeping family close.
  • Home Office/Studio: An ideal detached space for work or creative pursuits.
• Types of ADUs:
  • Detached ADU: A separate structure from the main house e.g., a backyard cottage.
  • Attached ADU: An addition to the main house.
  • Garage Conversion: Transforming an existing garage into living space.
  • Basement/Attic Conversion: Converting existing interior space.
• Permitting and Zoning: ADU regulations vary significantly by municipality. Many cities are loosening restrictions to address housing shortages, but it’s crucial to check local zoning laws, setback requirements, and utility hookup rules before planning.
• Cost Factors: The cost of an ADU can range widely depending on its type, size, and finishes. A simple garage conversion might cost $50,000-$100,000, while a new, fully detached ADU could run $150,000-$300,000, reflecting the cost of new construction.

Strategic Planning for Your Cheap Small Home

Embarking on the journey to own a cheap small home requires meticulous planning, especially concerning land, financing, and legal compliance.

Overlooking these critical steps can lead to significant headaches and unexpected expenses.

Land Acquisition & Preparation

The cost of land can often outweigh the cost of the small home itself.

Finding suitable, affordable land is paramount, along with preparing it for your chosen dwelling.

• Location, Location, Location: Research land prices in various areas. Rural land is typically cheaper than suburban or urban plots. Consider factors like proximity to work, schools, and amenities.
• Zoning and Building Codes: Before you buy, verify that the land is zoned for your intended use e.g., residential, tiny home, manufactured home. Understand local building codes, setback requirements, and maximum dwelling sizes. This step cannot be skipped.
• Site Preparation: This includes clearing the land, grading for proper drainage, and excavating for the foundation. These costs can range from a few thousand to tens of thousands of dollars depending on the terrain and necessary work.
• Utility Hookups: Access to water, sewer/septic, electricity, and potentially natural gas is essential. If utilities aren’t already on the property, the cost of bringing them in can be substantial. For example, extending a sewer line could cost $10,000 to $20,000+, while drilling a well might be $15,000-$30,000. Consider off-grid options solar, rainwater harvesting, composting toilets if traditional utilities are too costly or unavailable.

Financing Your Small Home

Financing a small home can differ significantly from a traditional mortgage, depending on the type of home. It’s crucial to understand your options.

• Manufactured Homes: Often financed with chattel loans personal property loans or FHA Title I loans, especially if they are not permanently affixed to land. If permanently affixed to owned land, they may qualify for conventional mortgages. Interest rates on chattel loans can be higher than traditional mortgages.
• Modular Homes: Since modular homes are built to local building codes and placed on permanent foundations, they typically qualify for conventional mortgages, FHA, VA, and USDA loans, just like site-built homes.
• Tiny Homes on Wheels: These are often financed as RVs with RV loans, which have different terms and interest rates than residential mortgages. Personal loans or cash are also common for very small units.
• Container Homes/Kit Homes: These often require a construction loan a short-term loan that converts to a permanent mortgage once construction is complete or personal loans. Many DIYers fund these projects incrementally using savings.
• Cash is King: For many cheap small homes, especially tiny homes or container conversions, paying in cash or taking out a personal loan can simplify the process and avoid interest payments. This aligns with seeking financial independence.

Maximizing Value and Sustainability

Beyond just being cheap, many small homes inherently offer opportunities for increased value through smart design and sustainable practices. This isn’t just about saving money. Flatpack home

It’s about building a future-proof, environmentally responsible dwelling.

Smart Design & Space Efficiency

Good design in a small home isn’t about compromise. it’s about cleverness.

Every square foot is optimized for multiple functions, storage, and comfort.

• Multi-Functional Spaces: A living room that transforms into a dining area, a bedroom with a pull-down bed that becomes an office during the day. This reduces the need for dedicated rooms, saving space and construction costs.
• Vertical Storage: Utilizing vertical space is key. Built-in shelving, lofted beds, wall-mounted organizers, and storage under stairs or floors can significantly increase usable storage capacity.
• Natural Light & Ventilation: Large windows, skylights, and thoughtful placement of openings can make a small space feel larger, brighter, and more airy, reducing reliance on artificial lighting and air conditioning.
• Sliding Doors & Pocket Doors: These save valuable swing space compared to traditional hinged doors, maximizing usable floor area.

Embracing Sustainability & Energy Efficiency

Small homes are naturally more sustainable due to their reduced material footprint, but there are further steps you can take to enhance their environmental performance and long-term savings.

• High-Performance Insulation: Crucial for reducing heating and cooling loads. Options like spray foam, rigid foam, and SIPs offer excellent R-values in compact wall and roof cavities.
• Energy-Efficient Appliances: Investing in ENERGY STAR® certified appliances for refrigeration, laundry, and cooking can significantly cut electricity consumption.
• Solar Power: For many small homes, especially those in sunny climates, installing a small solar array can dramatically reduce or even eliminate electricity bills. The smaller energy demand of a compact home makes off-grid or grid-tied solar systems more feasible and cost-effective.
  • Example: A 2-3 kW solar system might be sufficient for a highly efficient tiny home, costing $5,000-$10,000 before incentives.
• Water Conservation: Low-flow fixtures toilets, showerheads, greywater recycling systems for irrigation, and rainwater harvesting can drastically reduce water consumption, especially important for homes relying on wells or cisterns.
• Durable, Local Materials: Choosing durable materials reduces the need for frequent replacement. Sourcing materials locally reduces transportation costs and carbon footprint.

Overcoming Challenges and Making the Leap

While the benefits of cheap small homes are clear, navigating the process requires diligence.

Being prepared for potential hurdles will make the journey smoother and more successful.

Common Hurdles & How to Address Them

No path to homeownership is without its challenges, and small homes present their own unique set of considerations.

• Zoning and Permitting Headaches: This is often the biggest obstacle. Many municipalities have strict minimum square footage requirements for residential dwellings or prohibit manufactured/tiny homes outside designated parks.
  • Solution: Start with research. Contact your local planning and zoning department before you commit to a specific home type or piece of land. Look for areas with progressive ADU laws or established manufactured home communities. Consider rural areas with fewer restrictions, but verify utility access.
• Financing Difficulties: As discussed, not all small homes qualify for traditional mortgages.
  • Solution: Explore alternative financing. For manufactured homes, look into specialized chattel loans or FHA Title I loans. For tiny homes on wheels, RV loans or personal loans are common. Building equity in an existing home or saving diligently for a cash purchase can significantly simplify the process.
• Utilities and Infrastructure: Connecting to existing utilities can be surprisingly expensive, especially in rural areas.
  • Solution: Factor utility hookup costs into your budget from day one. Get quotes for septic systems, well drilling, and electrical/water line extensions. Alternatively, research off-grid living solutions like composting toilets, rainwater harvesting, and solar power, which can offer long-term savings and self-sufficiency, but require a higher upfront investment.
• Community Acceptance: Neighbors and Homeowners Associations HOAs can sometimes be resistant to non-traditional homes.
  • Solution: If buying land in an established neighborhood, understand any HOA covenants or local perceptions. If considering a manufactured home community, visit several to find one that fits your lifestyle. For tiny homes, look for dedicated tiny home communities or co-housing initiatives.

The Long-Term Vision

Choosing a cheap small home is often more than just a financial decision. it’s a lifestyle choice.

It can profoundly impact your financial health, mental well-being, and environmental footprint.

• Financial Freedom: With lower housing costs, you have more disposable income. This can be channeled into savings, investments, education, or simply reducing work hours to pursue passions. Imagine not having a mortgage payment looming over you!
• Reduced Consumption & Minimalism: Living in a small space inherently encourages you to declutter and only keep what truly serves you. This shift away from consumerism can lead to a more mindful and less stressful existence.
• Environmental Impact: Smaller homes use fewer resources to build, heat, cool, and maintain. They represent a tangible step towards a more sustainable way of living, reducing your carbon footprint.
• Focus on Experiences, Not Things: When your home doesn’t demand all your financial resources, you’re free to invest in experiences – travel, learning new skills, spending time with family, or pursuing hobbies. This paradigm shift can lead to a richer, more fulfilling life.

Frequently Asked Questions

What is considered a “cheap small home”?

A cheap small home typically refers to any dwelling that is significantly smaller and more affordable than the average traditional stick-built house, often costing under $150,000 for the structure itself. California modular adu

This includes manufactured homes, modular homes, tiny houses on wheels, container homes, and small prefabricated kit homes.

Are manufactured homes safe and durable?

Yes, modern manufactured homes are built to strict federal standards HUD Code for safety, durability, and energy efficiency.

They are designed to withstand various weather conditions and can be as durable as traditional homes when properly maintained.

Can I put a tiny home on any piece of land?

No, not typically.

Zoning regulations are often the biggest hurdle for tiny homes.

Many municipalities have minimum square footage requirements for residential dwellings or specific restrictions on recreational vehicles which tiny homes on wheels are often classified as. Always check local zoning and building codes before purchasing land or a tiny home.

How much does it cost to set up a manufactured home?

Setup costs for a manufactured home can vary widely but generally include foundation work skirting, crawl space, or full basement, utility hookups water, sewer/septic, electricity, permits, and transportation. These costs can range from $5,000 to $50,000+ depending on the complexity of the site and the type of foundation.

What are the main benefits of owning a small home?

The main benefits include significantly lower upfront costs, reduced utility bills less space to heat and cool, lower property taxes and insurance premiums, less maintenance, and the potential for greater financial freedom and a minimalist lifestyle.

Do small homes appreciate in value like traditional homes?

Appreciation varies by type.

Modular homes, built to local codes on permanent foundations, generally appreciate similarly to traditional site-built homes. New modular home

Manufactured homes on owned land can appreciate, though sometimes at a slower rate than traditional homes, and those in rented communities may not appreciate significantly.

Tiny homes and container homes have a more niche market and their appreciation can be less predictable.

What are Accessory Dwelling Units ADUs?

ADUs are secondary housing units built on the same property as a primary residence.

They can be detached e.g., backyard cottage, attached, or converted from existing structures like garages.

They are often used for rental income, multi-generational living, or as a home office.

Is it cheaper to build a container home or a tiny home?

It depends on the level of finish and whether you DIY.

A basic, DIY container shell might be cheaper than a fully finished tiny home.

However, professional, highly customized container homes can be more expensive than some tiny homes.

The overall cost hinges on design complexity, finishes, and labor.

What is the biggest challenge when building a kit home?

The biggest challenge with kit homes is often the need for significant on-site labor and project management. Prefab room with bathroom

While the components are pre-cut or pre-assembled, you’ll still need to handle the foundation, utility hookups, interior finishing plumbing, electrical, flooring, painting, and potentially exterior siding and roofing.

This requires either strong DIY skills or hiring various contractors.

Can I get a mortgage for a tiny home on wheels?

Typically, no.

Tiny homes on wheels are often classified as recreational vehicles RVs and are financed with RV loans, which have different terms and interest rates than traditional mortgages.

Personal loans or cash are also common financing methods.

How do utility costs compare for small homes vs. large homes?

Utility costs for small homes are significantly lower.

A smaller square footage means less energy is needed for heating and cooling, and less electricity for lighting.

Many small homes also incorporate energy-efficient appliances and passive design strategies, further reducing utility bills.

What is the average lifespan of a manufactured home?

With proper maintenance, a modern manufactured home can last 30-50 years or more, comparable to many site-built homes.

The durability largely depends on the quality of construction and ongoing care. Prefab adu reviews

Are there any communities specifically for small homes?

Yes, there are growing numbers of manufactured home communities, RV parks that allow tiny homes on wheels, and dedicated tiny home communities emerging across the U.S.

These offer infrastructure and a sense of community.

What are the requirements for an ADU?

ADU requirements vary by locality but commonly include maximum size limits, setback distances from property lines, parking requirements, and design standards to ensure compatibility with the main home.

Most require proper permitting and adherence to local building codes.

Do I need a building permit for a tiny home?

If your tiny home is on a permanent foundation and considered a permanent dwelling, you will almost certainly need building permits and inspections, just like a traditional home.

If it’s on wheels and considered an RV, permits might be different, but you’ll still need to comply with zoning for parking/occupancy.

What are the pros and cons of living off-grid in a small home?

Pros: Reduced utility bills, greater self-sufficiency, lower environmental impact, potential for remote living.
Cons: Higher upfront cost for systems solar panels, battery storage, well, septic, requires more maintenance and understanding of systems, can be challenging to implement in some areas due to regulations.

Can I use a small home as a rental property?

Yes, many types of small homes, especially ADUs and manufactured homes, are used as rental properties.

This can provide a significant source of passive income and help offset the cost of the home and land.

How do I find reputable builders or dealers for small homes?

Look for companies with established reputations, positive customer reviews, and proper licensing. 2 bed 2 bath modular home cost

Check with industry associations like MHI for manufactured housing and visit model homes or existing developments if possible.

Ask for references and scrutinize contracts carefully.

What kind of foundation is typically used for small homes?

For permanent small homes modular, traditional tiny homes, container homes, common foundations include concrete slabs, crawl spaces, or full basements.

Manufactured homes often use pier and beam foundations with a skirting, or they can be placed on permanent foundations if desired for financing purposes.

What’s the difference between a manufactured home and a modular home?

The key difference lies in the building codes and the permanent chassis.

Manufactured homes are built to federal HUD Code and are transported on a permanent chassis.

Modular homes are built to the same state and local building codes as site-built homes, are transported in sections without a permanent chassis, and are assembled on a traditional foundation.