There is some confusion amongst home buyers with regards to the terms; mobile home, manufactured homes, class-C manufactured homes (or class-C homes,) and modular homes. So, let’s take a brief moment to look at each of these homes and hopefully bring you some clarity.
A mobile home, manufactured home, and a Class-C home all start out the same way. They are built in a factory on a metal structured frame. The distinction between a mobile home and a manufactured home is only in the year in which it was built. Any built prior to June 15, 1976 is referred to as a mobile home, and those built after that date are referred to as manufactured homes. The exact same model home could be built on the same assembly line, but the one built on June 15, 1976 would be called a mobile home, and the one built on June 16, 1976 would be referred to as a manufactured home. Mobile homes and manufactured homes are both regulated by the Housing and Urban Development (HUD) division of the federal government. With a mobile home or a manufactured home, each is delivered with an identifying tag, not unlike your automobile. If the home happens to be a double-wide home, then there are two tags; one for each half. A mobile home and a manufactured home are considered personal property, just as your automobile is and a DMV title is provided showing ownership.
Now, there is a special classification, referred to as a class-C home. A class-C manufactured home is one in which the DMV title has been surrendered, the wheels and tongue have been removed, and the home has been permanently fixed to a foundation, just as if it had been built on the spot. Once a manufactured home has the designation of being a class-C home, it is then considered real property and not personal property. If you are considering a class-C home, always be sure the owner has followed through with surrendering the DMV title. It may be on a permanent foundation, but if they did not surrender the title, the county will still considered it to be a manufactured home.
The real confusion lies with a modular home. Many people confuse a manufactured home (and class-C homes) with a modular home. They equate the two as being the same, and they are not. A modular home is a stick built home, but built in a factory in modules, or sections. Modular homes must conform to International Residential Codes (IRC) standards the same as if a bundle of wood was delivered to a building site and erected. A modular home is delivered by truck, the modules put together, and set on its permanent foundation. The roof trusts are then installed. Modular homes are considered real property as soon as it is affixed to the foundation. In many ways, a quality built modular home can be better than an on-site stick built home since the construction process is all under roof with temperature controlled environments. Costs can be held down since all materials are available at the factory, and labor cost are held down as well.
So, hopefully you have a little clarity between mobile homes, manufactured homes, class-C homes, and modular homes.
Thomas Schoenbeck, Keller Williams Realty, Lewes DE (302)360-0300
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