Site-built homes: What you need to know

When looking for a home, you’ve probably come across the term site-built or stick-built. These mean the same thing – quite simply, that a house is built on the property it’s affixed to. It might be a house a home buyer had built to their specific tastes, or it might be one built by a developer with plans to sell. Either way, site-built homes tend to be very customizable, both when being built and when being renovated.

This doesn’t mean that a site-built home is the best option for everyone. We’ll go over what they are, how they differ from manufactured and modular homes, and other details such as the time frame to build one, the costs, and how to finance one.

What is a site-built home?

A site-built home, also known as a stick-built house, is a dwelling built on the land a homeowner will live in, unlike a prefab home which is built elsewhere and transported. Even if you haven’t heard the term before, you know what they are. According to the National Association of REALTORS^®, 97% of all new single-family homes are site-built as of 2023.

When a house is site-built, all building materials, supplies, and construction vehicles are brought to the location and the home is assembled. This usually takes several months, though time will vary based on the complexity of the home and other factors.

Some site-built homes are built with the individual home buyer’s needs and interests in mind, and the buyer can even be part of the process.

Manufactured homes vs. site-built homes

Manufactured homes are a kind of prefab, or prefabricated, home. Both manufactured and site-built homes follow Department of Housing and Urban Development (HUD) standards, but the similarities end there. The main difference might be where the two kinds of houses are assembled, but there are many other things to consider.

Cost

Manufactured homes tend to be more affordable, with the average nationwide cost being $120,400 in February, 2025. Compare this to the average cost to build a home on-site at $323,026. While not everyone who buys a site-built home has it built specifically for them, the basic cost of construction means that such homes will be more expensive on the market.

Customization

Because manufactured homes are composed of prebuilt parts, there are limited floorplans and customization options. On the other hand, site-built homes allow for more variety, especially if the home buyer is involved in the building process.

Home value appreciation

Site-built homes generally hold their value and appreciate over time at a higher rate than manufactured homes. However, if a manufactured home is affixed to a permanent foundation, research suggests that they might appreciate at about the same pace as site-built homes.

Modular homes vs. site-built homes

Modular homes are a bit like manufactured homes and a bit like site-built homes. They’re built in factories in pieces, which are then transported to a construction site. At the site of the permanent home, they’re put together and often indistinguishable from site-built homes.

Like site-built homes, they’re assembled on site, affixed to a permanent foundation, and built with local, state, and regional building codes in mind. On the other hand, they are partially built off-site. What’s more, they are usually cheaper than site-built homes but face less depreciation in value than manufactured homes.

How site-built homes are constructed

The construction of most site-built homes follows a predictable pattern, which can make it easier to decide what contractors you’ll need when.

• Land is cleared, graded, and waterproofed if necessary
• Building materials begin being brought to the site as the foundation is built
• The frame is constructed
• Exterior walls, the roof, and interior walls are built
• Siding, walls, and doors are added, as well as interior details such as countertops. Electricity, HVAC, and other necessities might be addressed before or after this.

Depending on state and local laws, permits and inspections might be necessary at different stages.

Design features of site-built homes

Though not all site-built homes are built with the intended owner being involved in the building process, there is a lot of flexibility in their design. Because there is not a set template, it’s easier for builders to adjust for recent trends in home buyer preferences. For example, a 2023 survey by Rocket Mortgage^® showed that there has been an increased desire for open floor plans, large closets, and upgraded kitchens and bathrooms. The same goes for smart security features and energy-efficient HVAC systems.

This is by no means a complete list, but the home buyer or designer has a say in the following features:

• Home floor plan
• Number of rooms
• Kitchen and bathroom features
• Flooring and siding
• Windows and doors
• Home security systems
• Lighting fixtures
• Attached garage features

Time frame for building a site-built home

If you plan to have a site-built home created for you from scratch instead of finding one already for sale, you’re probably wondering how long it will take. A U.S. Census Bureau study showed that in 2024, the average time for a single-family house to be built ranged from 6.3 months if built by a developer for sale to 13.7 months if built specifically for the homeowner.

This is only the average though, as there are many steps in building a home beyond the construction itself, and any of them can cause delays. You might find yourself stalling when:

• Getting state and local permits
• Clearing and grading the land
• Revising blueprints and plans
• Sourcing materials
• Scheduling and passing inspections

The location of the home will also play a big role. For example, a home takes an average of 11.5 months to be built in the Northeast, while it only takes an average of 6.7 months in the Southern part of the U.S.

Site-built home costs

The cost to build a home is usually determined by square foot. Bear in mind that while an 800-square-foot house might be cheaper to build than a 1,600-square-foot one, it probably won’t be half the price.

The national average to build a house in 2025 is $323,026, though the range of reported costs is $138,937 to $531,294. Why such a wide range? Just like when you buy a house that’s already built, a variety of factors come into play. Some of these are:

• Location, both in region and neighborhood
• Size and floor plan of house
• Types of materials used
• Length of time needed to build the home
• Local demand for contractors and materials
• Personal touches and requirements
• How much, if any, of the work you can do yourself

You should always plan for situations like a tough winter or an unexpected shortage of materials or labor, so be sure to have a cushion in your budget.

Financing options for site-built homes

Whether you’re buying or building a site-built home, you probably don’t have the cash to pay for it up front. But don’t worry. You have plenty of options when it comes to financing.

Financing a completed site-built home

If you’re considering purchasing a home that’s already fully built, you’ll have the standard mortgage options. Here are some of the most common financing options:

• Conventional loan: This kind of loan is the probably what most people think of when they consider mortgages. These are loans from banks, credit unions, or other entities. They are not backed by the government, but they do follow government guidelines in terms of how big they can be. Because of this, the requirements can be a bit stricter than other loans, so they are a good idea for those with good credit and finances. The loan limit for a conventional conforming loan in 2025 is $806,500 in most of the country.
• FHA loan: Backed by the Federal Housing Administration, an FHA loan has more lenient requirements. These can be a good option for first-time home buyers who might not have excellent credit or have lower income. Loan requirements vary by lender.
• VA loan: The Department of Veterans Affairs (VA) offers VA loans for qualifying veterans, active-duty service members, National Guard and U.S. Army Reserve members, and qualifying surviving spouses to purchase and refinance a home. To better assist veterans become homeowners, these loans allow for no down payment among other benefits.
• USDA loan: The United States Department of Agriculture offers USDA loans for those looking to buy properties in rural areas. Rocket Mortgage does not offer USDA loans at this time.

When it comes to mortgages, all lenders have different requirements even if they offer the same types of loans. You should always shop around to find the best one for you.

Financing the construction of a site-built home

Financing a new construction is a bit more complicated, as you’ll need to fund not only the building, but the land purchase as well. This requires two different types of financing.

Here are some of your options for building your own home:

• Land loan: If you need to finance a plot of land, you’ll probably get a land loan. There are different kinds of these loans available depending on how ready for a home the property already is. These loans generally require credit scores of 670 or more, which is higher than the usual requirement for an already-completed home.
• Construction-only loan: These short-term construction loans are usually only a year in length and meant for only the construction phase of a home. Like land loans, these are higher risk for lenders and can be more difficult to qualify for.
• Construction-to-permanent loan: These are one-time loans that fund the building of a home and convert to a permanent, regular mortgage upon completion. As a result, they can be easier to get.

Site-built home appreciation and resale value

Home appreciation is how much the value of a home increases over time. The more your home appreciates, the more money you might get not only in a home sale, but in a cash-out refinance.

Site-built homes have strong appreciation values compared to other kinds of homes due to their quality and customization options. This isn't to mean appreciation is guaranteed, though. The appreciation of a home depends on many things on national, local, and personal levels. Some things to consider are:

• Market trends: The housing market is always changing. In April of 2025, there was a reported annual increase of 2.7% in home values, a decrease from 3.4% only a month before.
• Local appeal: Different neighborhoods, cities, and regions go in and out of fashion. A house in an up-and-coming neighborhood might appreciate at a higher rate than one in a small town experiencing a decreasing population.
• Home features: This one is in your control. Installing an updated HVAC system or energy-efficient measures can increase the value of your home. The better shape you keep your house in, the more resale value it will have.

FAQ

Here are some additional questions about site-built homes you might have.

Is buying or building a site-built home cheaper?

Not all site-built houses are built with a specific homeowner in mind. Most are built by developers for sale, while others are built by contractors for someone who purchased land and wants to help with the home design. If you’re buying a site-built home that is already made, it’s probably going to be less expensive than having a house built specifically for you. Building versus buying a home means different costs. While when building a house, you have to consider materials and contractor services, you won’t have to worry about paying for a real estate agent or title insurance.

Are tiny homes site-built?

Tiny homes can be either prefab, built elsewhere and brought to the site, or site-built.

Are site-built homes anchored?

Site-built homes are always anchored to permanent foundations. Pouring the foundation is one of the earliest steps to building a stick home.

The bottom line: A site-built home could be your dream home

If a site-built home sounds appealing to you, you're already in good shape for the home buying process. Most homes being built and available today are stick-built. Whether you purchase one that's already completed or decide to have one built for you, you have a number of options for financing.

Start an application with Rocket Mortgage today to see what you qualify for.