Owning a home is a dream for many, but skyrocketing housing prices and rising mortgage rates have made it increasingly difficult for first-time buyers to enter the market. Enter manufactured homes—a modern, affordable solution that’s gaining popularity among first-time homebuyers.
Did you know that manufactured homes cost up to 50% less per square foot than site-built homes, making them one of the most budget-friendly options available? Beyond affordability, these homes offer customization options, energy efficiency and fast construction times—all while meeting strict HUD safety standards.
In this guide, we’ll provide everything you need to know to make an informed decision as a first-time homebuyer of a manufactured home.
The Buying Process: A Guide for First-Time Homebuyers
If you’re considering purchasing a manufactured home, here’s a step-by-step guide to help you navigate the process:
1. Determine Your Budget and Financing Options
Before shopping for a home, review your financial situation and explore financing options. Manufactured home loans are available through various channels:
- FHA loans: These government-insured loans can be used to finance the purchase of a manufactured home, the lot, or both.
- Conventional loans: Some lenders offer traditional mortgages for manufactured homes.
- Chattel loans: These loans are specifically designed for manufactured homes and typically have shorter terms.
2. Choose the Right Location
Decide whether you want to place your home on land you own, purchase land or lease a lot in a manufactured home community. Research zoning laws and community regulations in your desired area.
3. Select Your Manufactured Home
Work with reputable manufacturers and retailers to find a home that meets your needs and preferences. Consider factors such as:
- Floor plans and size
- Customization options
- Energy-efficient features
- Warranty coverage
4. Secure Financing
Once you’ve chosen a home, apply for financing. Compare offers from multiple lenders to find the best terms and interest rates.
5. Prepare the Home Site
Coordinate with your retailer to prepare the site for installation. This includes obtaining necessary permits, preparing utility hookups, and addressing any site-specific issues.
6. Arrange Delivery and Installation
Work with your retailer to schedule the delivery and installation of your new home. Ensure all necessary inspections are completed.
Making an Informed First-Time Homebuyer Decision
While manufactured homes offer many advantages, it’s essential to consider potential drawbacks, such as potential community fees if living in a manufactured home park and possible financing challenges compared to traditional homes.
Despite these considerations, manufactured homes remain an attractive option for many first-time buyers. In fact, a recent survey found that 62% of people say they are likely to consider purchasing a manufactured home in the future, with millennials showing the highest interest at 68%.
As you embark on your homebuying journey, carefully weigh the pros and cons of manufactured homes. With their affordability, customization options and improving quality standards, manufactured homes offer a viable path to homeownership for many first-time buyers.
By understanding the unique aspects of buying and owning a manufactured home, you can make an informed decision that aligns with your financial goals and lifestyle preferences. As the manufactured housing industry continues to evolve and innovate, it’s clear that these homes will play an increasingly important role in addressing the need for affordable, quality housing in the years to come.
Achieve Your Dream of Home Ownership with Jacobsen
Jacobsen Homes has worked with first-time homebuyers to make their dreams of home ownership a reality. We’ve been building high-quality manufactured homes in Florida for over 65 years, and our passion and expertise for home manufacturing in this area is unmatched.
Contact us today to explore floor plans that match your ideal location and lifestyle.