Traditional Homes Versus Manufactured Homes
Blanchard Insurance serves Longwood, FL and specializes in homeowners insurance and for all categories of homes including manufactured homes. Unlike the traditional home, (AKA stick- built), which is built on site, the manufactured home is primarily built in a factory, with less building materials and does not have a foundation. However, the manufactured home costs more to insure.
Further, there are financing differences between the manufactured home and the traditional home. A mortgage loan finances conventional dwellings while a manufactured home, which depreciates like property, traditionally is financed as purchasing personal property over a period up to ten to fifteen years.
However, Fannie Mae and Freddie Mac do offer mortgage-backed loans (AKA conventional loans) for manufactured housing. There are different underwriting standards for a manufactured house as recognized by the FHA.
Florida Regulations of Manufactured Homes
1. The construction of manufactured homes must be built in according to the stringent U.S. Department of Housing and Urban Development (HUD) standards.
2. Manufactured home installed on the owner’s property will be taxed as real property and not personal.
3. The site of the manufactured home must be must .be certified by the Division of Motorist Services.
Unlike the traditional home, manufactured homes have specific risk factors:
1. Manufactured homes weigh less than stick-built homes which in itself is a risk factor because of the winds, such as hurricanes. The homes must be built to satisfy the applicable Wind Zone standards of the county where the home is installed. Therefore,
manufactured homes must be tied down or strapped down to the foundation.
2, Fire in a manufactured home spreads faster than a traditional home.
3. Greater risk of broken pipes and theft claims
4. Zoning land restrictions
5. Compared to traditional homes, the manufactured home is harder to sell.
The agents employed by Blanchard Insurance of Longwood, FL are experts in manufactured homes. Please call for an interview!