The Ultimate Guide to Buying a Modular Home in 2025

As you consider buying a modular home, the first step is doing online research. Similar to the process of buying a car, doing initial research can help you understand the options and features available to you. That’ll help you get ready to tour homes when you visit an independent local retailer, who will help you with the actual process of buying the home. Here’s an overview of the most important things to research as you begin your modular home journey.

1. Home Type and Size

First thing’s first: when you do your initial online research for a modular home, you’ll want to read up on the type and size of home you want.

There are three main categories of modular homes:

• Ranch (single-story) modular homes  
• Cape Cod modular homes (single- or one-and-a-half-story homes with steep, side-gabled roofs that often have an unfinished bonus area upstairs)
• Two-story modular homes

Depending on your particular needs, one of these may appeal to you over the others. If you have young children or you’re looking to age-in-place, a ranch may be the best fit for you. If you want maximum space for a playroom, a craft room, or a workout room, a two-story may work best. If you favor Cape Cods’ unique exterior design and want a bonus area for storage, then this style is the one for you. 

You’ll also want to look into the size of home you want. As you research, consider the following items: 

• Number of bedrooms and bathrooms
• Laundry/utility room or home office
• Walk-in pantry or walk-in closets 
• Extra areas for storage 
• Overall desired square footage

Each type and size of home will have different implications for your budget range and the amount of land you’ll need, so be sure to keep that in mind.

2. Home Add-Ons 

Once you have an idea of the type and size of modular home you’re looking for, the next step is reading about different add-on options our retailers and builders can provide. The major types of add-ons for modular homes are:

• A second story
• A garage or carport
• A side addition, such as an in-law suite 

Keep in mind that the best time to do any add-ons is during the initial building process, rather than down the road after you’ve been in your home a few years. Completing add-ons up-front can streamline the overall process, which can save you both money and time. We recommend you look into these add-ons during the initial research phase and factor them into your budget.

During the homebuying process, you’ll also need to choose between either a crawlspace foundation or a basement foundation, so it can be helpful to research these, as well.

3. Home Features

There are so many different features and personalization options when you buy a modular home – that’s one of the things that makes them so great! But it can be a little overwhelming to sort through all your choices. Identify the features that are most important to you, such as:

• Interior finishes like flooring, cabinetry, kitchen backsplash, and shower tile
• Exterior finishes like windows, doors, trim, and roof color 
• Appliance packages, such as stainless steel Whirlpool® kitchen appliances
• Energy efficient capabilities, such as an ENERGY STAR® Certified home
• Other features like an electric fireplace, an entertainment center, a freestanding bathtub, a walk-in shower, or a porch

4. Budget Range

Now it’s time to estimate your budget range. When it comes to budgeting for a modular home purchase, there are a few different pieces to keep in mind: the modular home, the land (if you don’t already own property), delivery services, and setting and finishing services.

It’s okay if you don’t know exactly how much to budget for each of these pieces at this point. Your local retailer will be able to provide a breakdown of the different options and how they factor into your budget. At this stage, it’s helpful to have a general range for what your overall budget is. Use our estimated monthly payment calculator to break down how much you can budget per month. 

We also recommend looking at different homes on modular builder sites to get a sense of how much your ideal modular home costs. The following tools can help you find modular homes with the square footage, number of bedrooms/bathrooms, and specific features you’re looking for: 

• Find a Home Tool on ChampionHomes.com
• Find a Home Tool on SkylineHomes.com

Whether you’re looking for a starter home with a small floorplan or a large home with room for lots of guests, here’s how you can get the most out of your retailer visit and set you up for success.

1. Look Into Different Types of Modular Homes

Before you connect with a retailer, it’s a good idea to take a look at the different types of modular homes and which one would work best for you, including ranch, Cape Cod, and two-story. Narrowing down your options before you arrive at the sales center can help streamline your visit and will guide you on which model homes to tour.

2. Explore Land Options for Your Modular Home 

Some modular homebuyers already have land before they visit a retailer, while others like to connect with a retailer before they purchase property.

“There are people who come into our retail center who know exactly what they want, and they have a specific goal — they already have their land and know their budget,” said Broderick. “A lot of other people are new to the world of modular homes. They may not have land, and they want to understand modular homes a little more and walk through the model homes. Then, we would sit down to explain the homebuying process.”

If you don’t own land yet, we recommend taking an initial look into land options in your area before you go to a retailer. Doing a little bit of research on local land for sale will give you a sense of how it’ll fit into your budget.

It’s not required to own land before you visit a retailer, but purchasing property before you look at modular homes can help you get a sense of how it could affect the model you choose. A few ways land can factor into the process include:

• Size of your property and the home dimensions it can accommodate
• Utility hookup availability and placement
• Topography such as drainage, elevation, and soil conditions
• Road accessibility (Your land will need to have road access for the semi-truck and crane during delivery and installation.) 

3. Talk with a Lender to Figure Out Your Modular Home Budget

The last step we recommend is connecting with a lender to determine your budget. They’ll work with you to figure out your “all-in” budget including the home, land, delivery, and installation.

“I would recommend talking to a lender prior to the visit, so you have more context on what you can afford,” said Broderick. “When clients come to our retail center to look at modular homes, we discuss what their budget is and show them what fits within that range.”

A lender can also assist with estimating the interest rate you’ll pay based on your credit score. This will help you avoid any surprises when you’re ready to purchase your home! 

Independent retailers are important because you’ll ultimately purchase your home from a retailer, rather than purchasing directly from the manufacturer. They’re your individual guide throughout the process of buying a modular home.

It’s a great idea to visit a retailer early on in your decision-making process to streamline your experience. The advantages of visiting a modular home retailer also include the opportunity to:

• Walk through model homes and get an idea of what styles and features you’re looking for.
• Learn about modular homes from an expert source.
• Go over your budget and find out which homes are the right fit.
• Discuss which homes will work well with your property if you already own land. (Learn more about how to find land for a modular home.)
• Find out what customization options are available for your future home.
• Have peace of mind working with a single contact throughout the purchase and installation process rather than working separately with a general contractor, sub-contractors, and more.

Test Drive: Tour Modular Home Display Models

Seeing is believing, and touring modular homes in person gives you the chance to see the high-quality construction and beautiful designs that modular homes offer. From spacious living rooms and walk-in pantries to chef’s kitchens and spa-like bathrooms, modular homes have the modern, in-demand features that homebuyers are looking for.

Most retailers will have modular homes on display, and some even have up to a dozen available for you to tour! We recommend touring at least two model homes during your visit to get a sense of what you’re looking for. It can also be helpful to tour different types of homes like ranch, two-story, and Cape Cod to pick out the style you want.

When it comes to design, you’ll benefit from touring homes with different aesthetics like modern farmhouse, traditional, and more. Stay open throughout the process because you might walk in wanting one thing, and after you tour a few display models, realize you like another style even more.

If you like brochures, you’re in luck: it’s common for people to leave with several (or more!) home brochures after their tours. The pamphlets will have floor plans, pricing information, and details like optional features and add-ons.

Shop Talk: Learn About the Modular Homebuying Process

After you tour display models, the retailer will discuss the steps of the homebuying process. They’ll be able to answer your questions and walk you through the key aspects of purchasing a home.

"After touring our display homes, we will input the client's favorite features into their home design of choice. Our goal is to provide in-depth suggestions and transparency to ensure the client can make informed decisions through the home building process,” said Broderick.

Welcome Home: Purchase Your Modular Home from a Retailer

When you’re ready to purchase a home, the retailer will walk you through every step of the way. Some people like to return to the retailer to officially purchase their home in person, while others prefer to go for an initial visit to tour models, and then complete the purchase over email. From ordering the home to signing the contracts, you can expect a retailer to work closely with you to help ensure you’re getting a house you’ll love.

As you explore the process of buying a modular home, one of the most important steps is finding land for your future home. So how do you go about buying property for a modular home? Let’s dive into the key aspects of finding land!

1. Reflect on Your Modular Home Needs

Before you start looking for land, we recommend you take a little bit of time to think about what you need in a modular home. Clarifying the aspects that are most important to you as an individual or family will streamline the process. When you’re equipped with that knowledge, you can then find a piece of land that will fit the kind of home you’re looking for.

Some questions to consider are:

• How many bedrooms do you need?
• How many bathrooms do you need?
• Do you need additional spaces like a home office, playroom, or separate laundry/utility room?
• Do you want a garage added to the home?

It can be overwhelming to think about all the options. A local, independent modular home retailer can help you identify the home type and size that’s right for you. Contact a Champion retailer in your area. 

Once you have a general idea of the kind of modular home you’re looking for, you or your independent retailer can make an informed estimate of your eventual home’s dimensions (ex. 56’ x 28’). You’ll also get a better sense of your future home’s footprint, which is the shape and size of the space that the home takes up on the ground.

You don’t need an exact figure, but having an outline of your future home’s dimensions and footprint will be helpful when you’re evaluating land options. Some specific things you might encounter are:

• Are there setback, easement, or minimum property size requirements in the local building code you’ll need to meet?
• If you find a parcel of land with an existing well or sand mound, can your home footprint accommodate that?  

2. Consider Your Specific Land Needs

In addition to thinking about your future modular home, consider what you need in a piece of land. Some questions to think about are:

• How much space do you want on your property in addition to the land that your home will take up?
• Do you need room for additional structures like a shed?
• If you have pets or farm animals, how much space do they need?
• How much mowing are you comfortable taking care of?

3. Make Sure the Land Has Road Access for a Semi-Truck and Crane

Something that’s unique to modular homes is they’re delivered to your property with a semi-truck and set on the foundation with a crane. We recommend keeping in mind that your land will need to have road access for the semi-truck and crane during the delivery and setting process.

4. Seek Out a Real Estate Agent or Independent Retailer

Working with a real estate agent or a local, independent modular home retailer can speed up the process of finding land. To find a real estate agent who’s a good fit for you, research agents in your area with positive reviews or ask your community for referrals. Look for agents who have experience representing buyers and who are familiar with the area where you’re looking to purchase land.

In addition to helping you evaluate modular home options, some local, independent retailers can help you find land. Make sure to work with a retailer who has a real estate license in the state where you’ll be purchasing property. These retailers keep track of the land that’s available in the area they service, and they can help you with the purchase process. 

5. Search for Land Online

You can also look for land for your future modular home on real estate websites. Use the filters to narrow down the type of land you’re looking for by location, size, and price. Some sites even have filter options to show vacant lots compared to land that currently has a house on the property.

As you’re researching the process of buying a modular home, one of the most important pieces is obtaining financing for your future home. Modular homes are generally eligible for most financing types that are available for site-built homes.

1. Connect with a Lender to Figure out Your Budget

Talking with a lender before your retailer visit can help you determine your all-in budget including the home, land, delivery, and installation. It will give you more context on what you can afford when you go to tour homes at the retail center.

Your monthly payment may include:

• Loan Principal
• Interest
• Property Taxes
• Homeowner's insurance
• Mortgage insurance depending on the loan type and down payment

The lender you initially contact doesn’t have to be the final lender you go with for your loan, offering flexibility to get the budget information you need before you drive onto the sales lot.

Another tool you can use is our estimated monthly payment calculator to break down how much you can budget per month.

2. Review Your Modular Home Financing Options

Because modular homes are generally eligible for most financing types that are available for site-built homes, there are many options available to you, expanding your choices and making the process easier. 

Conventional Loans 

Eligibility: Best for buyers with strong credit scores, stable income, and the ability to make a larger down payment.

Details: Provides competitive rates and terms, making these loans an appealing option for those with high credit scores.  

Federal Housing Administration (FHA) Loans 

Eligibility: Ideal for buyers needing more forgiving credit flexibility and lower down payments.

Details: Requires a down payment as low as 3.5% depending on credit. 

Veterans Affairs (VA) Loans 

Eligibility: For veterans, active military members, and qualifying surviving spouses.

Details: May allow for 100% financing (0% down payment) and offers competitive rates and terms.

U.S. Department of Agriculture (USDA) Loans 

Eligibility: Available in rural areas for low- to moderate-income buyers  

Details: Like VA, USDA may allow for 100% financing (0% down payment), making homeownership more accessible in rural communities. Income limits apply based on household size and area.

Fannie Mae and Freddie Mac Loans 

Eligibility: Available for buyers with fair to good credit. 

Details: Provides competitive rates and down payments, making modular home ownership accessible.  

Construction Loans 

Eligibility: An ideal option for homebuyers needing to finance the modular homebuilding process. 

Details: A short-term loan that allows for the construction of the modular home with funds drawn as the project progresses and converts to a permanent mortgage once the home is completed.

Keep in mind that if you go with government-insured or government-sponsored loans like FHA, VA, Fannie Mae, or Freddie Mac, you may have foundation and other requirements that are more stringent than your local building requirements to make your home eligible for the loan. While this may lead to more up-front costs, it may also make it easier for a future buyer to obtain financing and may possibly increase the resale value.

For example, building your home to meet FHA loan requirements will allow any FHA qualified buyer down the road to purchase your home, making your home available to a larger number of buyers.

3. Choose the Lender You Want to Finance Your Modular Home

The options for modular home financing have expanded a lot in recent years, so finding the right lender is easier than ever. There are many large companies who specialize in modular financing, which simplifies the process of identifying a reputable lender. Modular home lenders tend to operate regionally, and a lot of your options will likely be specific to your area of the country. 

Your modular home retailer will likely have a list of preferred lenders they recommend, allowing you to choose from companies they’ve already vetted. 

When you’re comparison shopping among lenders, look at these items to make your final decision: 

• Annual percentage rate (APR):  The interest rate and fees you’ll pay each year.
• Total loan cost: The overall amount you’ll be paying for the loan, including principal, interest, and fees across your loan period. 
• Lender reputation: Sometimes total loan cost isn’t everything – it might make sense to have a slightly higher interest rate if it’s a known, reputable lender instead of a lower rate with an unknown lender. 
• Builder collaboration: If you’re choosing between two good options, look at how well the lender works with your home builder, which can help streamline the construction process. Your retailer will be able to tell you which lenders your builder, like Champion, already has a relationship with.  

4. Submit Your Application for Modular Home Financing

The loan application for modular homes is simple, and it’s comparable to the process for obtaining site-built financing. You can apply online or in person if the lender has a location near you. 

Make sure these three key factors are in order before you apply, which the lender will be evaluating as part of your application:  

• Low debt to income ratio
• Good credit score 
• Consistent work history  

Before you apply for a loan, you may decide to obtain a pre-qualification online. This can be a good starting point, but it’s important to be aware that many companies may be pulling your credit scores if you use this service. Credit scores can change a lot in 30 days, so your pre-qualification results may be out of date by the time you apply for the loan. 

Your loan application can be strengthened by putting down as large of a down payment as possible. The larger your down payment, the better financing options you may get. Also, putting down 20 percent or more of the total value may help you avoid having to pay private mortgage insurance.

Another way to strengthen your application is by using your land’s equity as collateral. Since land is valuable, lenders view it as solid collateral for your loan, bolstering your ability to qualify.

If you don't already have land and are looking to finance the land and home all at once, that can also be done through many loan types. 

One of the biggest advantages of modular homes is they’re highly customizable. Not only can you personalize the colors and materials on the inside and outside of the home, but you can also make structural changes to fulfill your needs through predesigned floor plan options. This could include selecting from a few different bathroom or kitchen layouts.

The world of modular homes is highly flexible, and you get to choose from many personalization options to create your ideal home.

Working with a Retailer to Personalize Your Modular Home

When exactly does picking out customizations happen in the modular homebuying process? You’ll make these choices after you’ve selected the specific floor plan you want to buy. The independent modular home retailer that you purchase your home from will help you sort through your customization choices and assist you with picking the best ones for you. In fact, homeowners find it’s often the most fun part of the homebuying process!

Top Customization Options for Modular Homes

Buyers most frequently like to personalize bathrooms and kitchens in their homes. Some of the most common floor plan layout choices include:

• Making the shower larger in the primary bathroom
• Upgrading to a dual vanity in the primary bathroom (if not already standard) 
• Making the kitchen larger and adding cabinets

Popular exterior customization options for modular homes also include:

• Upgrading exterior doors 
• Selecting premium window and/or siding 
• Changing the color of roof shingles 
• Adding wood- or stone-style accent features

Exploring Modular Home Structural Add-Ons

Since modular homes are highly customizable, the opportunities for personalization range from material upgrades to more complex structural add-ons. These add-ons are taken care of by your modular home contractor, and they can enhance curb appeal and add functionality to your home.

As you consider your choices, the primary options for modular home structural add-ons are:

• A garage or carport 
• A porch
• Dormers (small, roofed structures that stick out above windows)

Although it’s not an add-on, keep in mind you’ll also need to choose between a basement foundation or a crawlspace foundation for your home.

Choosing an ENERGY STAR® Certified Modular Home

Upgrading to an ENERGY STAR® Certified home is another way you can customize your home. Living in an energy efficient home can reduce your impact on the planet and lower your energy bills. Most Champion modular homes have the option to be built to the rigorous energy efficiency standards of the ENERGY STAR® Certification program.

All Champion ENERGY STAR homes have:

• High-performance insulation in the walls, floors, and ceilings 
• Energy efficient windows and doors
• Programmable thermostats
• Sealed high-quality duct systems
• Specialized assemblies to minimize air infiltration 

These homes can also include:

• High-efficiency heating, cooling, and water heater equipment
• High-efficiency lighting, water fixtures, and appliances

Homeowners save an average of $250 a year in energy bills with an ENERGY STAR home. These homes are 20% more energy efficient on average than typical new homes. The fully integrated approach to design and construction can give you: 

• Reduced leaks and drafts
• More consistent interior temperatures
• Improved indoor air quality
• Greater peace of mind   

Picking Interior and Exterior Finishes

When it comes to customizing homes, picking the interior and exterior finishes is usually what buyers think of. It’s one of the highlights of the process!

The independent modular home retailer you’re purchasing your home from will be well-versed in the personalization options for the floor plan you’ve selected. They’ll sit down with you to go over the options and help you select the best ones for your style and budget. Most retailers will have color and material guides in both printed and digital forms for you to look at as you make your decisions.

Your floor plan will come with standard colors and materials for exterior and interior finishes. The standards can be a good starting point as you’re exploring the many options that will be presented to you. 

Each customizable element will usually come with “good,” “better,” and “best” options you can pick from. Typically, the highest quality, most premium finish will be the “best” option. 

Nearly every aspect on the outside of the home is customizable in terms of color and material. Some of the top exterior customizations include upgraded exterior doors, premium window sidings, and upgraded doorknobs and exterior lights.

Most of the finishes on the interior of the home are customizable, too. The most common upgrades inside the home are floor coverings, cabinets, countertops, and the kitchen backsplash.

Installation is an incredibly exciting part of the modular home buying process because it’s the final step before you move in! After your modular home is delivered to your property, it will be installed onsite. There are two stages of installing a modular home: setting and finishing.

Modular Home Installation Part 1: Setting

Setting is when your home is set on the foundation. All modular homes are placed on a permanent foundation comparable to the foundation of a site-built home. You can choose to have a basement or crawlspace foundation.

Your home site will have the foundation prepared in advance so that it’s ready for setting. On set day, an installation crew will typically use a crane to place your home on top of the foundation. Setting usually takes less than a day to complete.

To begin the setting process, the crew will use the crane to lift your home off the carriers, which are the metal frames that homes are shipped on. They’ll use the crane to move and position your home on top of the foundation. If you have a double-section modular home, this will be done for both modules. 

Once the modules are on the foundation, there’s typically another crew in the basement or crawlspace that will fasten the units together. While that’s happening, a separate roofing crew will put the final touches on your roof, like top flips, which finish off the peak of the roof, and gable end panels, which are triangle wood frames that close off the roof. The crew will also make sure the roof is weather-tight by finishing off any additional shingle work that’s needed the same day.

Modular Home Installation Part 2: Finishing

The second part of the installation process is finishing. This typically starts the day after set is complete.

During the finishing process, your home is prepared to be “turn-key ready” so you can move in and receive a Certificate of Occupancy from your local municipality. Sometimes it’s referred to as “trim out and finishing” – it’s when the finishing touches are put on your home!

The length of time for finishing can range from six to eight weeks for a ranch home to three months or more for a larger, more complex home. The exact steps and timeframe will depend on the installation crew you work with, but a typical finishing process can include: 

• Connecting utilities to your home (water, sewer, electric)
• Installing steps and railings for exterior doors
• Putting in a driveway and sidewalks
• Setting up the HVAC system (heating and air conditioning) 
• Installing doors, light fixtures, light bulbs, and gutters
• Setting up appliances (refrigerator, oven/range, microwave, dishwasher, washer/dryer)
• Completing final drywall, flooring, siding, or painting work
• Doing landscape work like seeding new topsoil areas 
• Removing any debris onsite and trimming trees and brush
• Final cleanup including wiping down the countertops, sweeping the floors, and vacuuming the carpets
• Obtaining the required local inspections and permits

If you’ve chosen to do any onsite add-ons, those will also be done during the finishing process.

Setting and Finishing for Your Modular Home

The independent modular home retailer you purchased your home from most likely will have a few installation businesses they typically work with. The retailer will arrange the set and finish for you, so you don’t have to worry about handling this step!

In some cases, independent modular home retailers will have a part of their business where they install homes with their own set crew, although this is less common. Either way, your retailer will set up installation for you, so you don’t have to schedule it yourself.

We recommend setting aside a portion of your budget for installation. A basic installation can start at approximately $18,000 for a single-section home and $25,000 for a double-section home. 

Time to Move In!

Once setting and finishing are complete, your home is ready for move-in. It's officially “turn-key ready” with the utilities hooked up, driveway installed, HVAC system in place, and more. Now your vision has become a reality, and it’s time to relax and enjoy your space.