Modular home sections being stacked on a foundation in a wooded lot

Modular home

A modular home, built to the same codes as a site-built house.

Modular homes are built in sections in a factory to state and local building codes, then set on a foundation on your land. We finance them like the real homes they are, with one loan and one closing.

Schedule a Free Consultation How modular home loans work
Built to codeThe same state and local codes as site-built homes
Real propertyFinanced with your land, in one loan
Every draw managedFrom closing to move-in
Six statesTN · VA · NC · SC · GA · KY

Why buyers choose modular

The look of a site-built home, on a factory schedule

Many buyers choose modular for a home that looks and lives like a site-built house, built indoors where weather doesn't slow the work down.

Modular homes are built to the same state and local codes as site-built homes. Manufactured homes are built to the federal HUD Code, and lenders treat them differently. Not sure which you have? Bring the spec sheet, or see manufactured and modular home loans.

What to expect

Crane day isn't move-in day

Watching your home's sections arrive and get set is exciting, but there's still work to do after that: finish work, utility connections, inspections, and the final draw. Upgrades added after the first price can also open a gap with the appraisal.

We stay with you through all of it, the same way we would on a site-built home.

How we help

What we look at together

Before you commit, we look at the whole project with you:

  • Your land. Whether you own it or are buying it, and whether it suits the home.
  • Your builder or dealer. Including who will set the home and complete the finish work.
  • One contract. A price that matches the home being set, including the finish work.
  • Site work. The foundation, driveway, utilities, well, and septic.
  • The finished value. Whether the completed home is likely to appraise for enough to support the project.
  • State certification. Some states require it for modular homes. In Virginia, for example, it's an Industrialized Building Certificate.
The NewBuild System

Your modular home, step by step

Every NewBuild loan follows the same six steps, from your first call to Move-In Day. It starts with a free consultation, and no house plans are needed.

  1. Build Plan Consultation

  2. Pre-Approval

  3. Plan and Contract Review

  4. Loan Closing

  5. Construction

  6. Move-In Day

Schedule a Free Consultation See the NewBuild System

Real builds

Modular homes we've financed

Two modular homes, one financed with VA and one with FHA.

Modular · Kingsport, TN

They bought roughly 17 acres and built their home with one VA loan.

One VA loan covered a $275,000 land purchase and a modular home, about $547,000 in total, with no separate land loan.

Read their story

Scott and Renee wanted to purchase $275,000 in land and build on it without navigating separate land and construction loans. Because the land represented such a large share of the project's value, they chose a modular home over a manufactured home to better support the property's overall appraised value. Their VA one-time-close loan funded the land purchase at the initial closing, then construction over the following months. The completed project appraised successfully, and they moved in with a total loan of roughly $547,000 after an optional down payment to keep the balance and payment where they wanted them.

Scott and Renee H. · VA one-time-close construction borrowers, Kingsport, TN · Builder: Clayton Homes of Kingsport

Modular · Tazewell, TN

They planned their move from California and built from 2,000 miles away.

Using the land they already owned as their down payment, Ken and Connie financed a roughly $327,000 modular home with one FHA loan.

Read their story

Ken and Connie were ready to leave California and build on land they already owned in Tazewell, Tennessee. Working with Clayton Homes of Kingsport, they chose a modular home and started the financing process with a bank in Kentucky, but communication was poor and their calls eventually went unreturned. That's when they reached out to us. Since Connie works remotely, the move didn't mean giving up her job, and the couple handled much of the process from across the country. Their land's value served as their down payment rather than cash savings. They completed their FHA one-time-close loan, made the move east, and are now settled into their new home.

Ken and Connie H. · FHA one-time-close construction borrowers, Tazewell, TN · Builder: Clayton Homes of Kingsport

Names have been changed to protect client privacy. Loan amounts and details are real but reflect each borrower's individual credit, income, and underwriting circumstances; results aren't typical or guaranteed for every applicant.

Your guide

One team, start to finish

  • Tim Arrowood
  • Cindy Faulkner
  • Kevin Cooper
  • Rhonda Hendrix
  • Amy Lay

Modular homes have their own timeline: factory build, delivery, the set, and finish work. Our five-person team handles your loan and works with your builder or dealer through the final draw.

260+ five-star reviews Since 2023 closing one-time close loans Our team stays with you through every draw

Your loan program

Any of our programs can work

VA, FHA, and conventional loans can all finance a modular home. Your program depends on your situation, not your home type.

Related situations: Manufactured home Site-built home You already own the land Land and home together

FAQ

Frequently asked questions

Is a modular home financed like a site-built house?

Very much like one. Because it's built to state and local codes and set on a permanent foundation, it's financed together with your land as real property. It's still a construction loan, with a factory build, a set, and finish work, and we manage the draws along the way.

Can I use VA, FHA, or conventional for a modular home?

Yes, as long as you and the property qualify. We'll help you choose the right program for your situation, then confirm your modular home and builder fit that program.

Why did another lender treat my modular home like a manufactured home?

Many people use the two words interchangeably, but they're different. Ask what code the home is built to and how it will be titled after it's set. Modular homes are built to state and local building codes, like site-built homes.

Does my modular home need a state certification?

In some states, yes. In Virginia, for example, a modular home needs a Virginia Industrialized Building Certificate. Your builder or dealer should confirm this early.

How do draws work on a modular home?

A common schedule is 10% at closing, 80% when the home is delivered, and 10% when it's complete. We'll confirm the schedule for your project and manage every draw through the final one.

Your land. Your build. Let's talk it through.

A free consultation is 20 minutes. We cover your land, your eligibility, and the right loan structure. No application required.

Tennessee · Virginia · North Carolina · South Carolina · Georgia · Kentucky

Schedule a Free Consultation

20 minutes · no application · no commitment

NewBuild is led by the Arrowood Team at Preferred Rate. 260+ five-star Google reviews.

Prefer to reach out directly?

(423) 406-1567 · newbuild@preferredrate.com