Is a Manufactured Home a Good Investment?

While they may offer an affordable pathway to homeownership, is a manufactured home really worth the investment?  

According to the Federal Housing Finance Agency (FHFA), the average home price increased by 5.7% between 2023 and 2024 alone.¹ With values continuing to rise, more people are looking for alternative housing options like manufactured homes that offer financial flexibility without sacrificing comfort or quality.

In this blog, we explore whether manufactured homes are a good investment and share tips for boosting their value.

Are Manufactured Homes a Good Investment?

Unlike traditional houses that are built on-site, manufactured homes are built in a controlled factory setting before being transported to their final location. This unique construction process is what makes them so affordable—all while being incredibly durable, quick to build, and upholding rigorous quality standards.

Let’s take a closer look at some of the key reasons why manufactured homes make smart investments.

Manufactured Homes Are More Affordable

One of the main reasons why manufactured homes make such a good investment is their affordability, especially compared to traditional stick-built homes. For instance, in 2024 the average sale price of a Manufactured Home in the United States was $123,045.² Conversely, in 2024 the average price of a new stick-built home sold in the United States was $512,200.³

The main reasons why manufactured homes are comparatively affordable include:

• Efficient production process: Manufactured homes are built in controlled factory settings using assembly line techniques, speeding up the process and reducing labor costs.
• Reduced on-site setbacks: Because manufactured homes are built in a factory, it eliminates common hold-ups seen with on-site construction—like weather delays.
• Economies of scale: Standardized construction processes and bulk material purchasing cut costs, making manufactured homes more affordable to purchase.

When you buy a manufactured home, you’ll get all the amenities you could want in a traditional home, but at a much lower upfront price point.

Manufactured Homes Are Built to HUD Code Standards

While manufactured homes are much more affordable, they are also held to even stricter construction standards than some traditional houses. The U.S. Department of Housing and Urban Development (HUD) has a strict set of regulations that every manufactured home must meet before leaving the factory.  

These government-mandated codes are incredibly rigorous to ensure the safety, durability, and quality of each home.⁴ 

Manufactured Homes Are Energy-Efficient 

Thanks to the strict HUD codes mentioned above, today’s manufactured homes are highly energy efficient. Many models are even Energy Star certified, which means they use 35% less energy.⁵ 

So, when you choose an Energy Star package for your manufactured home, you can enjoy long-term savings on energy costs. It’s a practical investment that makes financial and environmental sense.

Do Manufactured Homes Appreciate?

Research shows that manufactured homes do in fact appreciate in value.⁶ A recent study using data from the Federal Housing Finance Agency (FHFA) found that manufactured homes appreciate at nearly identical rates as site-built homes.⁶ 

No home is guaranteed to appreciate, whether it’s traditionally built or manufactured. However, several factors can contribute to manufactured home appreciation, including:

Do Manufactured Homes Depreciate?

Like any property, manufactured homes are subject to market conditions, location, and upkeep. While they are affordable and high-quality investments that can appreciate under the right circumstances, some factors can cause them to lose value, including:

With proper upkeep and strategic upgrades, you can preserve the value of your manufactured home and even grow it over time. 

Ways to Increase the Value of Your Manufactured Home

Manufactured homes already make great investments because they are so affordable and high-quality. However, there are plenty of ways to increase the value of your manufactured home even further. We take a closer look at these options below. 

Energy Efficiency Upgrades

Manufactured homes are already energy-efficient, especially if you choose an Energy Star package. However, there are lots of ways you can make them even more efficient, including: 

Insulation

Energy Star insulation upgrades can significantly improve the energy efficiency of your home overall and reduce utility costs year-round. These upgrades may also qualify you for an additional rebate from your local power company. 

Windows

On average, windows are responsible for about 25-30% of heat gain and heat loss in homes.⁷ Replacing your windows can make a big difference by reducing energy loss, saving you money in the long run while also boosting home value.

Appliance Upgrades

Upgrading to Energy Star certified appliances is a great way to reduce energy consumption and add value to your home. For example, Energy Star refrigerators use 15% less energy on average than standard options, making them much more efficient.⁸ 

HVAC System

Did you know almost half of every homeowner’s annual energy bill goes to heating and cooling costs?⁹ Smart thermostats help make your HVAC system more efficient by automatically maintaining your ideal temperature. This significantly reduces energy waste, which can also help increase the overall value of your home.

LED Lighting

Upgrading to LED light fixtures is a great way to save energy and boost home value. LED light bulbs use 90% less energy while also lasting 25 times longer than traditional incandescent bulbs, making them a smart choice for your home lighting needs.⁹ 

Plumbing

On average, water heating is the second largest energy cost in your home, taking up about 18% of utility bills.¹⁰ Installing low-flow plumbing fixtures like faucets, showerheads, and toilets can help conserve water usage and save you money over time.

Interior Home Renovations and Upgrades

Simple interior renovations can go a long way in upgrading your home’s appearance, and they can also help boost its value as well. Some interior manufactured home renovations with high ROI include:

Flooring

Upgrading the flooring in your manufactured home can greatly elevate its value. Installing new faux hardwood or laminate floors is a cost-effective option that balances affordability with durability, making them great options for increasing long-term value. 

Painting

A fresh coat of paint can make all the difference in how a room looks and feels. Depending on the size of your home, interior painting has an average ROI of 107% and can potentially increase resale value by anywhere from $2,140 to $16,050.¹¹ 

Minor Repairs 

Addressing minor repairs helps increase the value of a manufactured home by maintaining its structural integrity and aesthetic appeal. Fixing issues like leaky faucets, caulking cracks, weather stripping, and other minor repairs helps ensure small issues don’t escalate into costly problems.  

Additionally, ensuring that all systems, such as plumbing and electrical, are in good working order boosts the overall marketability of any home. 

Add More Rooms to Your Home

One of the biggest advantages of manufactured homes is their flexibility. Unlike site-built homes, manufactured homes are built in sections and are highly adaptable. Adding extra rooms can be a practical way to boost value while also improving functionality. 

Some popular additions for manufactured homes include: 

• Extra bedrooms 
• Home offices 
• Expanded living areas 
• Sunrooms and enclosed porches 

Whether you need a new home office, an additional bedroom for a growing family, or just more living space in general, manufactured homes offer many opportunities for expansion.

Boost Curb Appeal

Curb appeal is one of the most important aspects of home value. First impressions matter, and by keeping your home’s exterior well-maintained and attractive, you can boost its appeal and value. 

Below are some ideas for increasing the curb appeal of your manufactured home: 

Landscaping 

Landscaping can boost curb appeal by helping your home’s exterior look visually attractive and well-maintained. Some ideas with high ROI include: 

• Planting shrubs, trees, flowers, or ground cover 
• Building hardscaping features like stone walls, rock gardens, and pathways 
• Adding fresh mulch to flower beds or around trees 

Cleanliness and Maintenance 

Keeping exterior areas clean not only prevents wear but also gives your home a fresh, updated appearance. Simple tasks like keeping the roof and carport free of debris and caring for wooden surfaces like decks and porches help save you money in the long run and protect your investment. 

Exterior Upgrades

A well-maintained yard, a nice porch, and small exterior improvements can go a long way in terms of increasing home value. Even painting your front door with a fresh coat of black paint can potentially help your home sell for $6,449 more on average, according to Zillow research.¹² 

At Len’s Home Center, we offer a comprehensive range of general construction services to improve the curb appeal of your manufactured home, including: 

• Driveways 
• Walkways 
• Porches 
• Garages 
• Decks 
• And much more 

By making thoughtful improvements to your manufactured home’s exterior, you can boost curb appeal and overall value.

Disclaimer: This article is for informational purposes only and should not be considered financial advice. Always consult a financial professional before making investment decisions.