Are you planning to build a new home? Modular, manufactured, panelized, and stick-built houses are all constructed differently, offering a range of pros and cons that can be challenging to navigate. The way your structure is built will impact how it looks, how much it costs, and how it’s viewed legally. In this guide, we’ll take you through the benefits of each type so you can make the best decision for your new home goals.
What Are the Main Types of Home Construction?
Homes are built either primarily at the factory or on-site. The way that they’re built impacts their cost, how they’re inspected, and how many customization options are available for homeowners. The four types of home construction we’ll cover in this article include:
- Manufactured homes: This type of home is built on a steel chassis in the factory. It’s inspected while at the factory and regulated by the federal U.S. Department of Housing and Urban Development (HUD) code. Once complete, the entire building is transported to your location. Manufactured homes used to be called mobile homes.
- Modular homes: These homes are built in sections, also known as modules. They’re sent to your location, then assembled on a permanent foundation. Modular homes are affordable and customizable. They’re inspected according to local rather than federal codes.
- Panelized homes: Panelized houses are also built in a factory and then transported to your location. Once the panels arrive, the structure is built onto a permanent foundation, similar to the process for modular homes. Panelized homes also adhere to local rather than federal building codes.
- Stick-built homes: Unlike the other options, stick-built homes are built on-site from raw materials. They’re constructed in individual pieces rather than large sections. This kind of home is the most customizable because of how it’s built. It follows local rather than federal building codes.
Each building method has pros and cons for homeowners, so choosing the right home depends on your preferences. Considering how important factors like customization, durability, and energy efficiency are to your lifestyle will help you navigate these options to build a home you really love.
A Detailed Look at Each Building Method
Understanding the pros and cons of each homebuilding method can help you determine which option is right for you. In this section, we’ll explain how different construction methods can impact the financial and legal sides of building a home.
Manufactured Homes
Manufactured homes are constructed in a factory on a permanent steel chassis instead of being built on a typical foundation or basement. While inside the factory, they are inspected according to the HUD guidelines. Because federal law supersedes state law, a manufactured home that passes HUD inspection can be legally placed in any state without breaking local building codes. However, all local codes for utilities, site preparation, and placement guidelines must still be followed.
The steel chassis underneath a manufactured home means that these homes are sometimes treated more like vehicles than traditional homes. Classification as “personal property” rather than “real property” will impact a manufactured home’s financing and resale value.
Modular Homes
Like manufactured homes, modular homes are built inside a factory. Once different pieces are complete, they’re transported to your building site, where a crane is used to lift the structure onto a permanent foundation. Because they’re built in a controlled environment, modular homes can be completed quickly. They are easy to customize and often include energy-efficient options for long-term energy savings.
Unlike manufactured houses, modular homes are inspected according to local, state, and regional building codes. These requirements align with the International Residential Code (IRC), which was developed by the International Code Council (ICC) to regulate health and safety for family homes. The IRC regulates structural building components and utilities like plumbing and electrical systems.
Modular homes offer great value and custom options at an affordable cost, and because the structure is built on a foundation, these homes are considered real property and aren’t taxed like vehicles.
Panelized Homes
This kind of home construction is similar to modular homes, only the house isn’t transported in large, complete pieces. Instead, smaller wall, floor, and roof components are constructed inside a factory. Once these panels are complete, they’re moved to your location and put together on a permanent foundation.
Like modular homes, panelized homes are inspected according to local building codes like the IRC. This means they must adhere to the local codes that govern home construction where you live. These codes may vary by state and county, so you’ll need to let the company know your location before they begin construction at the factory.
Panelized homes require a balance of precision both at the factory and once the panels are on-site. Benefits of panelized homes include a fast build time, some customization options, and affordability. Like modular homes, panelized homes are considered real property by the law.
Stick-Built Homes
As the name implies, stick-built homes are built on-site, one piece at a time. These homes have no preexisting modules and offer the highest level of customization. When you choose a stick-built house, you can fully design a floor plan based on your lot size and personal preferences.
Benefits of stick-built homes include higher energy efficiency and plenty of financing options. When you custom-design a home, you can include eco-friendly features like thicker walls, plenty of insulation, and energy-efficient appliances. Financing options for stick-built homes include construction loans and mortgages.
These types of structures must adhere to all state and local building codes for where you live. This includes construction, utility, and placement codes, which may vary depending on your state and county. This kind of home is typically built on a foundation or basement and considered real property for tax purposes.
Build a Home You Love With Homes by Keystone
At Homes by Keystone, we’ve been building modular homes for five decades. Our houses are known for their energy efficiency and many customization options. Because we build each structure in a controlled environment, our modular homes can be completed quickly, helping you move into your dream home as soon as possible. We serve clients in the following states:
Some of our home styles include A-frames, Colonial, Cape Cod, and contemporary structures. We offer a full-service approach to homebuyers through our partnership with a full Builder/Dealer network. Contact us today through our online form or call us at 717-748-4378 to learn more about our homebuilding process and if a modular home could be the perfect fit for your needs and lifestyle.
