In today’s market, it is becoming harder and harder to find new homes under $200,000. If you have had clients that need an affordable new home and you have to turn away due to lack of availability, you now a have a new option. With Lone Star Modular Homes we can help you assist your clients and make money.
TOP 5 THINGS REALTORS NEED TO KNOW ABOUT MODULAR HOMES
1. Modular Homes Are Not Manufactured Homes
Let’s get this out of the way now: modular homes should not be confused with federally (HUD) controlled manufactured or mobile homes. A modular home is a factory built home built to more stringent state and local building codes than a manufactured home, and once placed upon the property is considered real property, and is equal to a site-built home by law, by appraisers, and by mortgage companies. And because modular homes are real property, you don’t need a special license to sell them unlike manufactured homes.
2. Modular Homes Are Stick Built Homes
The most important thing to understand about modular construction: it is not a product or a style of home, but it is a “construction technique”. Modular Homes are simply “stick-built” homes that are constructed off-site in a factory to local & state building codes and then transported to the home site. Both modular and site-built homes are “stick-built” homes. “Stick-Built” simply means building your home one stud at at time. We just choose to build the home in a factory environment to better control costs and quality. They are STRONGER, BETTER, & MORE AFFORDABLE than a comparable home built on site.
3. Modular Homes Appraise As Site-Built Homes
Since a single family modular home is built to a local building code just like a regular home, modular homes will appreciate over time just like any site-built home. When appraisers appraise a manufactured home attached to the land, they are required to use other manufactured homes as comparables and must use the Fannie Mae “Manufactured Home Appraisal Report” (Form 1004C). Modular homes on the other hand are appraised using the same form and comparables as any site built home would (Uniform Residential Appraisal Report – Form 1004). And because modular homes generally cost 10-15% less than a comparable site-built home, you maybe be helping many of your clients attain instant equity in their new home.
4. Modular Homes Qualify For Conventional Financing
Today’s modular home buyer has a wide array of financing options available. As a stick-built home, modular homes qualify for traditional mortgage loans just as any site-built home would. It qualifies for FHA, VA, USDA, and Conventional Mortgage loans. No need for special financing like a manufactured home. And since it is appraised as a “stick-built” home, your buyers will enjoy the same interest rates as site-built homes, you will have a full choice of lenders, and the same home insurance coverage options as site-built homes.
5. Modular Homes Fill a Growing Void in the Market
In many areas of Texas, inventory of existing homes continues to be low, especially in the under $200,000 price range. New home builders in many markets have completely abandoned the starter home market due to rising material costs, labor shortages, and increased land prices. With our modular homes, you can help your clients build an affordable home without sacrificing quality or amenities. No longer do your clients need to settle, and you no longer need to be frustrated by a lack of inventory. Keep in mind, as a modular home, we can build in any city in Texas as well in the country.
FEATURED FLOOR PLAN
From the Signature series, the Wimberly Modular Home introduces rustic style in 2,435 sq. ft. of comfortable living space. The open concept living/dining/kitchen area opens onto an optional covered porch that provides an additional 240 sq. ft. for outdoor living enjoyment. The master bedroom retreat is located at the rear of the home and provides a generous walk-in closet and a luxurious bath with dual sinks, a private toilet room, and separate soaking tub and shower. Two additional bedrooms, a second full bath, and a conveniently-located laundry room complete this spacious beauty. Creative design, high-end amenities, and attention to detail make this home a winner!
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