“Buy land and pick out a manufactured home,” they say. Nowadays, manufactured homes are quite nice, and with all the modern fixtures available, purchasing one can be surprisingly easy. Plus, the timeline is often much shorter than building a home from scratch.

After more than two years of elevated real estate prices, mortgage rates and rents, the housing affordability crisis in the U.S. is more apparent than ever. Policymakers, economic experts, and regular households have been searching for tools to alleviate the pressure of housing costs.

Expanding manufactured housing is one possible solution. But is it the right option for you?

Manufactured housing can be defined as homes prefabricated in a factory and then transported to their final destination. Because these homes often have simple designs and materials that are efficient to produce, they tend to be significantly less expensive than site-built homes. According to a 2023 report from the Manufactured Housing Institute, the average cost per square foot of a manufactured home was $87—roughly half the $160–200 per square foot cost of a site-built home.

Here are some costs to consider when comparing mobile home prices in New Mexico. This data was gathered from recent United States Census Bureau reports to provide the most up-to-date information:
Manufactured Homes Prices in the U.S.
Average: $124,700
Single-Wide: $85,200
Double-Wide: $155,400

While the initial costs of manufactured homes are lower, the design and features you choose can affect the final price. Do you want a basic design with limited features, or are you looking for something more customized? Modern advancements in construction and technology, as well as the popularity of contemporary farmhouse styles, have gradually driven up prices. Today, customization, energy efficiency, and luxury amenities influence the cost of a manufactured home.

For lower- and middle-income families, manufactured homes remain an appealing option. Currently, 21.2 million Americans live in manufactured homes, which make up about one in every 10 new homes constructed in the U.S. annually. However, while the quality of manufactured homes has improved, one question remains: Do they hold their value?

The common perception is that manufactured homes don’t appreciate as well as traditional site-built homes. While they generally appreciate at a slower rate, they can hold or even increase in value under the right circumstances—especially in areas like Taos County. Factors such as location, condition, and market demand play a role in resale value. Buyers should carefully inspect any home for necessary repairs before purchasing.

Another important consideration is financing. Finding lenders who specialize in manufactured home loans can be challenging. Many banks and lenders won’t finance these homes unless they are titled as real property. To qualify as real property, the home must be affixed to a permanent foundation, with the tongue and axles removed, and the owner must hold title to both the home and the land it’s on. Keep in mind that once a manufactured home is considered real property, it will be taxed accordingly.

While financing may be more complex, it’s not impossible. A knowledgeable real estate professional can help guide you to the right lender and navigate the process of purchasing land and setting up your manufactured home.

I’d be happy to help you find your next property and guide you through the steps to place your manufactured home. Let’s talk about your next move!