Prefabricated Homes

Prefabricated homes or panel modular homes are pre manufactured and assembled at the home site. Pre-fab homes have come along way and now are available for high end homes as well. Thinking about building a home? Have you ever considered a pre-fab home or a manufactured home? How to these homes of homes compare with a home built on site? Will the appraisal be different and are mortgagerates.monitorbankrates.com mortgage rates higher for these types of loans?

If you’ve have looked at pre-fab or manufactured homes, you’ve probably seen how far the quality has come in recent years. Lenders are very willing to give a mortgage loan on these types of homes. The build time is also a lot quicker than building a home on site.

Traditional homes are built by tradesmen on a building site. Prefab homes are built at a factory. These sections are built in a factory and brought to the building site and assembled on a foundation that has already been created.

Construction times on a prefab home is a lot faster than a custom built home. A custom home built on site can take a year or longer but with a prefab home you have can a fully assembled home in less than two or three months.

Choosing a prefab also gives you tremendous flexibility with the home’s layout. Since the home is built in a factory the home is never exposed to the elements like water, snow and bugs.

Prefab homes and modulare homes are more environmently friendly since most are made from recycled materials. As a result more and more people who are building homes are interested in these types of homes.

Another benefit to the quicker building of these homes is the construction loan you get from a lender carries a higher mortgage rate. Just think, having a $300,000 construction loan with a mortgage rate of 7.50% for three months instead of a year or more will save you money since regular mortgage rates are about two thirds the rate. Current conforming mortgage rates are 4.50 percent.