Replacement Cost-New on a factory modular home

[Cascada]

Do you do modular homes on the regular 1004 for HUD/FHA or do you use the manufacture home form? I am not specialist on this type of properties. I know you have to check underneath the house for axels and the plate, manufacture dates, manufacturing numbers, etc. Let me know.

 

[Mike Boyd]

David-
One might wonder why modular homes are not built on a larger-scale; such in a tract development? I don't know for sure, but my guess is in a tract development, the economy of scale savings for stick & brick is greater than the production-cost savings of building the home in a factory setting.

Denis.....K&B homes went through a period of setting up small factories in many of their subdivisions in the early 1990s. They may still be doing it if they are still building homes. However, I think they did not build the complete homes but simply main components such as kitchen and bath modules, maybe even some wall sections as well as roof sections.

 

[Terrel L. Shields]

If it is new and it is sold, then the RCN is the price the package sells for erected.

 

[Jo Ann Meyer Stratton]

An assignment for modular homes whethere they are "off frame" or "on frame" is reported on the 1004 / 70. If an "on frame" be sure and have comments in the report that the mortgage will not be eligible for Fannie Mae. Fannie Mae considers all residential property constructed on a steel frame or chassis or undercarrige to be manufactured homes. However, the only factory built home with a steel frame/chassis loan they will purchase is one where the home was constructed to the HUD building code. On frame modulars are constructed to whatever local site building code is acceptable for that specfic site.

 

[nachocheesefries]

I had thought that FHA allows you to include the invoice on a new manufactured home and add set up costs, site, and utilites to arrive at replacement cost. Not sure if it works the same with a modular but I would bet so. I don't know that I have ever appraised a brand new manf. or modular.