The Difference Between Manufactured and Modular Homes

July 01, 2026

The Difference Between Manufactured and Modular Homes

If you’re interested in factory-built housing, but you don’t know where to start, we’re here to help. The world of factory-built homes is full of options, so you’ll want to know which of those ones work best for you and your lifestyle. When it comes to manufactured homes and modular homes, knowing the difference can take you a long way. So, let’s get into it!

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Key Takeaways: The Difference Between Manufactured and Modular Homes

  • Manufactured and modular homes are both prefabricated homes built in an indoor factory setting.

  • Both types of homes are built in modules in the factory, delivered to the final home site, and then installed on the property.

  • The main difference between manufactured and modular homes is the codes they’re built to. Manufactured homes are built to the U.S. Department of Housing and Urban Development (HUD) Code, and modular homes are built to state codes, such as the International Residential Code, or IRC.

READ MORE: Figuring Out Where to Put a Manufactured Home 

Manufactured Homes 

Manufactured homes are built in an indoor factory setting protected from the elements, reducing the impact of weather-related delays so you can move in faster.

You may have heard manufactured homes referred to as “prefabricated homes.” They’re built in sections and then delivered to the home site, where they’re installed and ready for move-in.

READ MORE: How Do I Buy Land for a Manufactured Home?

The Difference Between Manufactured Homes and Mobile Homes

You’ve likely heard manufactured homes referred to as mobile homes in your day-to-day conversations. Before 1976 when the United States Department of Housing and Urban Development (HUD) code was developed, they were referred to as mobile homes.

After the HUD code was developed, they were and still are referred to as manufactured homes.

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Modular Homes 

Just like manufactured homes, modular homes are built in sections in an indoor factory setting, then delivered to the final property for installation.

Modular homes are another type of prefabricated home. The difference is that modular homes are built to state codes, such as the International Residential Code, or IRC.

In some ways, modular homes are more comparable to site-built homes because of the code they’re built to, and modular homes are typically available for traditional mortgage financing.

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Similarities & Differences Between Manufactured and Modular Homes

The main similarity you’ll find between manufactured and modular homes is that they’re both built in an indoor factory environment by skilled craftspeople.

The key difference you’ll find between manufactured and modular homes is the codes they’re built to. The HUD code can differ from the code of a specific state, town, or county, and this all helps to determine what kind of house can be built and where.

Bottom line: we’re building homes to the right code for the right regions.  

Whether you’re looking to go the manufactured route or the modular route, factory-built provides the advantages you’ll want and need as a new homeowner. Browse our floorplans today and find the home of your dreams. 

READ MORE: How Do I Buy a Modular Home?

Find Your Next Home with Champion

Want more information about buying a manufactured or modular home? Our team would love to be a resource for you. Find the best Champion home for you, or contact a Champion retailer in your area. 

Contact our Homebuyer & Homeowner Assistance line Monday–Saturday 8am–8pm EST at 877-201-3870, or fill out our contact form and a member of our team will reach out to you.


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