Covenants Prohibiting ‘Prefabricated’ Housing Can Unintentionally Exclude Systems-Built Homes  As more builders and consumers are looking to factory-crafted homes and components for better efficiency and performance, the NAHB Building Systems Councils is working to clear up public confusion about the term “prefabricated.” When used too broadly or erroneously, the term can result in the exclusion of systems-built homes from residential communities. Generically, “prefabricated” can be used to define any type of housing or component that is, in any way, constructed in a factory before it is shipped to the home site. This applies to roof trusses and floor panels, as well as to certain types of housing, including modular, panelized, log and concrete homes. Confusion arises, however, when the term is also applied to manufactured housing, including trailer or “mobile” homes. “Prefabricated” is too general a term to accurately describe the advantages of code-compliant, factory-crafted housing. While the construction of “systems-built” homes does begin in a factory, there is more involved in their production than prefabrication. While they are built with prefabricated components, they are also assembled in a precise system to meet local and state building codes. Structurally, they are at least as strong as homes built entirely on site and they show comparable appreciation in value. | 
