What is the difference between prefab, modular and manufactured homes?
Last updated November 2, 2026 · Prices from 1,645 Structofy listings
"Prefab" is the umbrella term for any home built mostly in a factory, while modular homes are built to the same state and local codes as site-built houses and manufactured homes are built to the federal HUD code on a permanent steel chassis. On Structofy, modular listings have a median asking price of $289,000, compared with $230,000 for listings that mention the HUD code.
The short version
All three types are built indoors in a factory, which is why the terms get mixed up. The real differences come down to which building code the home is built to, how it sits on the land, and how lenders, insurers and local zoning treat it.
| Prefab (umbrella) | Modular | Manufactured | |
|---|---|---|---|
| What it means | Any factory-built home or kit | Sections built in a factory, assembled on site | Whole home built on a steel chassis |
| Building code | Depends on type | State and local codes, like a site-built home | Federal HUD code |
| Foundation | Varies | Permanent foundation, often basement or crawlspace | Often piers or blocks; can be permanent |
| Typically titled as | Varies | Real property | Often personal property unless converted |
| Financing | Varies | Usually conventional or construction mortgages | Chattel loans or FHA/VA/USDA programs |
Prefab: the umbrella term
Prefab, short for prefabricated, describes any home where a large share of the building happens off site. That includes modular homes, manufactured homes, panelized homes whose wall panels are built in a factory, kit homes and many tiny houses.
When a builder calls a home "prefab" it tells you how it is made, not which rules it follows, so always ask which code the home is built to. Structofy currently lists 1,590 home listings from 84 builders across these categories.
Modular homes
Modular homes are built in sections, called modules, which are trucked to the site and set on a permanent foundation with a crane. Because they meet the same state and local codes as site-built homes, they are generally appraised, financed and taxed like any other house.
Modular is also the most flexible category for size and design: multi-story homes, basements and custom floor plans are common. Structofy has 232 modular listings, with a median asking price of $289,000 and roughly $300 per square foot where size is published.
Manufactured homes
Manufactured homes are built to the federal HUD code, which took effect in 1976 and replaced the older term "mobile home". They are built on a permanent steel chassis and are usually delivered in one or two sections.
They are often the lowest-cost route to a full-size home, but some zoning districts restrict where they can be placed, and financing can depend on whether the home is permanently attached to land you own. Listings on Structofy that reference the HUD code have a median asking price of $230,000 across 21 priced listings.
Real prices side by side
The table below compares listing categories using asking prices currently published on Structofy. Remember that these prices are for the home itself; site work, delivery and foundations are extra for every type.
| Group | Listings | With a price | Lowest | Median | Highest | Median $/sq ft | Median size |
|---|---|---|---|---|---|---|---|
| Modular | 232 | 46 | $59,905 | $289,000 | $990,000 | $300 | 1,577 sq ft |
| Manufactured (HUD-code) | 897 | 21 | $149,500 | $230,000 | $288,500 | $105 | 1,475 sq ft |
| Pre-fab house | 304 | 96 | $17,702 | $216,000 | $1,033,995 | $141 | 1,900 sq ft |
| Tiny house | 59 | 40 | $15,555 | $97,000 | $274,800 | $258 | 400 sq ft |
Source: 1,645 home listings on Structofy, as published by each builder, read when this page loads. Prices are the builder’s listed base price; listings without a price are counted but not used for price figures. Median means half the listings cost less and half cost more. These are listing prices, not finished project costs.
Which one is right for you?
If you want a home that is financed and appraised like a site-built house, can include a basement, or must pass strict local zoning, modular is usually the safer choice. If the lowest upfront cost matters most and your land allows it, a manufactured home may stretch your budget further.
Before choosing, call your local planning or zoning office and ask which home types are allowed on your lot, then talk with a lender about how they treat each type. Our prefab mortgage guide covers the financing side in more detail.
Frequently asked questions
Is a modular home the same as a manufactured home?
No. Modular homes are built to state and local building codes and set on permanent foundations, while manufactured homes are built to the federal HUD code on a steel chassis.
Are modular homes better quality than manufactured homes?
Not automatically. Quality depends on the builder and the model, but modular homes must meet the same local codes as site-built houses, which often means heavier framing and more design options.
Is a tiny house a prefab home?
Many are. Tiny houses built in a factory are a type of prefab, though some are built on trailers and are regulated more like RVs.
Do manufactured homes lose value?
Manufactured homes placed on leased land or titled as personal property have historically appreciated less than site-built homes, while those on owned land with a permanent foundation tend to track the local market more closely.
Keep exploring
Structofy is a directory of factory-built homes and does not build, sell or finance homes. General information on this page is not financial, legal or building advice; confirm details with builders, lenders and your local building department.