Manufactured Homes In Alberta: What Buyers Need To Know

If you’ve been looking to purchase a mobile home in Alberta you’ve likely come across terms like manufactured home, mobile home, modular home and RTM. These terms can sound like they are interchangeable but they’re not! The differences can have an impact when you’re looking at financing, property taxes, insurance, land ownership, any renovations, the resale value and most importantly where the home can be placed.

In Alberta, a manufactured home is a residential unit that is built off-site in a controlled factory then transported onto a permanent steel frame or undercarriage and then placed onto a permanent foundation or surface. These homes are mandated to carry certification labels that verify compliance with the Canadian Standards Association (CSA) codes. Manufactured homes are built to a different standard. Alberta’s building-code Technically speaking they are (CSA Z24 MH) and new homes that are built to the Z240 MH standard are generally not permitted unless a municipality specifically allows them.

Factory construction will offer many potential advantages. Building the home indoors means the construction process is less exposed to Alberta’s very unpredictable weather and while standardized manufacturing can help to reduce material waste and improve the efficiency of construction.

Manufactured vs. Mobile vs. Modular Homes vs RTM

The differences between these four terms can sometimes be blurred but these terms can have specific meanings and have distinctions that can make a huge difference when it comes to financing, insurance, building requirements and what you can put onto your property.

The term ‘mobile home’ suitably refers to older homes that were built before today’s modern standards, and often people use it quite loosely when talking about older homes in manufactured-home communities. These are homes located in mobile-home communities.

A ‘modular home’ is built into sections, otherwise known as ‘modules’ inside a factory, then it is transported to the site location and assembled on your property. Modular describes how the home is built, not what it looks like. Many modular homes built today are bungalows, sometimes two-story designs and traditional single-family homes. Once a modular home is completed on its foundation, it can be virtually impossible to tell that it was built in a factory.

RTM stands for Ready to Move. Simply put, it is a delivery method and unlike modular or manufactured it is an industry term that describes how a completed home gets from the factory to your property. They are popular for rural properties due to the fact that they can be placed on basements and are the biggest factory-built homes. An RTM is a modular home; it just that it arrives to the site location completed.

Why Does The CSA Certification Matter?

Most buyers don’t just rely on the name used in the listing but the CSA certification will provide important information about how the home was constructed and inspected. A standard that you will encounter is CSA Z240 MH – which is associated with manufactured homes. And another important certification is a CSA A277, which is a certification procedure for factory-built dwellings, modules and panels. Alberta’s building-code framework recognizes both A277 and Z240MH in connection with factory-built housing, depending on the home and applicable requirements. The reason these certifications matter is that the certification process is designed to verify that the construction complies with the applicable code requirements. And Alberta has recognized CSA A277 certification for factory-constructed homes as an indication that is conforms with applicable building-code requirements.

If you are considering purchasing a factory-build home, ask the builder or the seller if it is re-sale for the home’s certification information and construction documents. In addition, you want to always verify the specific municipality’s requirements before purchasing any land with the intention of placing a manufactured home or factory-built home on it.

Considerations need to be made if you are purchasing an older manufactured home. There will be different construction standards, maintenance histories and resale considerations to discuss with your realtor.

Where Can Manufactured Homes Be Located In Alberta?

Several different settings are available for manufactured homes in Alberta. A common location is a manufactured home community. These types of locations you may own the home but rent the land that is underneath it. Instead of purchasing a conventional lot, you pay a monthly site or pad rent to the community owner or developer. While these communities are quite attractive for most buyers looking for a lower-cost entry into homeownership these costs need to be considered alongside the purchase price. Manufactured-home communities can offer an alternative to traditional detached-home ownership, some even offer shared amenities and community infrastructure.

Private land is another possibility, where you own both the home and the land and you install a factory-built home on it. Provided that the project meets relevant municipal zoning, development, building and installation requirements.

Lastly, rural properties are the last option but these have several additional considerations such as: wells, septic systems, insurance, propane, private access roads, utility connections, site access, zoning and foundation requirements. Alberta has unpredictable weather and as such these considerations will carry more weight. Risk such as hail, high winds, extreme cold, water damage, snow, and sewer backup.

The Simplest Way To Remember The Differences Are:

Manufactured describes a type of factory-built housing that can involve specific construction standards.

Modular describes a home constructed in sections that is assembled at the property.

RTM (ready to move) describes a factory-built home delivery to the property basically complete.

Mobile home is commonly used for older factory-built housing and homes that are located in mobile-home communities.

For anyone in Alberta looking to buy, the utmost important thing isn’t the label on the listing, it that you need to understand exactly what it is that you’re buying! Doing your due diligence upfront can help you to avoid expensive surprises later and make it much easier to determine whether a factory-built home is the correct lifestyle choice for you and/or your family.

This publication is provided as an information service and may include items reported from other sources. We do not warrant its accuracy. This information is not meant as legal opinion or advice. This information may have changed from the date of publication, please contact Kahane Law Office for further information.