Mortgages & Home Loans Homeowner Guide The Cost of Manufactured Homes The Real Costs of Manufactured Homes By Aly J. Yale Updated on November 10, 2021 Reviewed by JeFreda R. Brown Reviewed by JeFreda R. Brown Facebook Instagram Twitter JeFreda R. Brown is a financial consultant, Certified Financial Education Instructor, and researcher who has assisted thousands of clients over a more than two-decade career. She is the CEO of Xaris Financial Enterprises and a course facilitator for Cornell University. learn about our financial review board In This Article View All In This Article What Influences the Cost? Financing Your Manufactured Home Frequently Asked Questions (FAQs) Photo: Ariel Skelley / Getty Images Manufactured homes are often more affordable than traditional single-family properties—even those of comparable size and location. This is due mainly to the efficiency of the construction process. Manufactured homes are built off-site in a factory setting, allowing for a fast, efficient, and low-cost assembly-line approach. Their construction isn't subject to local weather conditions, so they can be manufactured quickly and in higher volume than traditional homes. Finally, high-volume production allows manufacturers to purchase supplies and building materials in bulk, resulting in a lower cost to the consumer. Learn more about the cost of manufactured homes. Key Takeaways The average cost of a manufactured home in 2020 averaged $57,700, but the cost varies with size, location, and other factors.Opting for a permanent foundation secures your manufactured home, but it also increases the cost.Placing a manufactured home on undeveloped land will cost more due to the expense of extending utilities to your home.Taxes on manufactured homes vary by location and whether you own or rent the land the home is built on. What Influences the Cost of Manufactured Homes? Just how affordable are manufactured homes? Well, that depends on several factors. Size is one of the biggest influences. According to the U.S. Census Bureau, the average cost of a manufactured home in 2020 was $57,700 for a single manufactured home ranging from 784 square feet to 1,440 square feet. For a smaller manufactured home (around 1,000 square feet), it was $48,300, while for a larger, double-wide property (about 1,700 square feet), it was $109,300. The chosen manufacturer of the home also factors into the total cost. Here are other factors that influence the cost of manufactured homes. Land Expenses With manufactured homes, you have two options: you can purchase a plot of land to place your house on, or you can lease land in a mobile home park or other similar community. The price of both options varies greatly by location. Generally, rural areas have more affordable land prices than urban and suburban ones. Foundation If you own your land, you may opt to lay a permanent foundation under your home, which can help ensure its long-term viability and safety. Manufactured home foundations vary and can include basements and crawl spaces, so their costs are equally wide-ranging. Utility Hookups Once your home is placed on its site, you'll need to configure it for utilities like water, sewage, electricity, and cable and internet service. The costs of these services vary by location and the specific utility provider you're using and can be especially expensive on undeveloped land. You'll need to pay to have the utilities extended to your home, along with a fee for the actual hookup. Mobile home communities may offer utilities as part of their monthly rent price. Delivery and Set-up Manufacturers will often include delivery if you're located within a certain radius of their facility. Otherwise, you'll likely need to pay a fee based on the number of miles from the manufacturer. There may also be other delivery expenses if you require an escort vehicle or multiple trucks. Your home will need to be set up and assembled once it arrives. Assembly might also come with a fee, depending on your chosen manufacturer. Taxes Taxes on manufactured homes vary by state and on whether the home is built on land you own or are renting, like a mobile home park. In California and Oregon, for example, you'll pay state and local taxes near the same rate as you would for built-on-site properties—usually between 0.72% and 0.98%. Arizona, Washington, and New Mexico also treat manufactured homes as property, as long as they are on permanent foundations. Customizations to the Home Many manufacturers allow for the customization of their home designs. These include interior features like fireplaces, built-in desks and shelving, appliances, and more, while exterior customizations often include different siding options, decorative doors, and roof updates. These all come with added costs that depend on the level of customization and your unique manufacturer. Insurance Finally, as with any home purchase, you'll want an insurance policy to protect your investment. Manufactured and mobile home insurance can cover perils like weather damage, fire, and theft. Make sure you also consider travel coverage for when your home is being transported to its final location. Note Not every insurance company will cover manufactured homes, so allow extra time to shop for a policy. Financing Your Manufactured Home Though a manufactured home may cost less than a traditionally built property, that doesn't mean you have to pay for it any differently. Manufactured and mobile home loans can help you finance your purchase and pay it back over time. These loans are often available from manufactured home retailers or specialized mobile home lenders. As with a traditional mortgage, you can also refinance these loans at a later date. Frequently Asked Questions (FAQs) Does it cost more to build a house or buy a manufactured home? In 2020, the Manufactured Housing Institute claimed that the cost of a manufactured home was less than half of the cost of a site-built home: $55 per square foot compared to $114. However, this does not take into account the additional costs of customization, transportation, hook-ups, and land. You will need to run the numbers to find the full cost of a manufactured home to determine whether it is the best option for your financial situation. Are manufactured homes eligible for government-insured loans? The Federal Housing Administration (FHA), the Department of Veterans Affairs (VA), and the Department of Agriculture's Rural Housing Services (RHS) all offer loans for manufactured homes. Was this page helpful? Thanks for your feedback! Tell us why! Other Submit Sources The Balance uses only high-quality sources, including peer-reviewed studies, to support the facts within our articles. Read our editorial process to learn more about how we fact-check and keep our content accurate, reliable, and trustworthy. U.S. News. "How Much Does It Cost to Buy a Mobile Home?" Clayton Home Building Group. "The Journey Home: Building on Strong Manufactured Home Foundations." Homes Direct. "Additional Costs To Consider: Manufactured Homes Taxes and Utility Hookups." Manufactured Housing Institute. "2020 Manufactured Housing Facts Industry Overview," Page 2. U.S. Department of Housing an Urban Development. "Manufactured Housing and Standards - Frequently Asked Questions."