Manufactured homes, once seen as lower-quality “mobile homes”, have come a long way in design and construction. Two of the top manufacturers of manufactured homes today are Palm Harbor Homes and Clayton Homes, producing high-quality modular and mobile homes.
When choosing between these two industry leaders, there are some key factors to consider.
After the introductory section, we will look at a detailed comparison table of Palm Harbor and Clayton Homes. We will then dive into the pros and cons of each manufacturer, including quality of materials and construction, customization options, customer service reputation, and value.
To wrap up, we’ve included a Frequently Asked Questions section to answer some common questions about these two brands.
A Brief Comparison Table
| Category | Palm Harbor Homes | Clayton Homes |
| Ownership | Privately owned | Owned by Berkshire Hathaway |
| Headquarters | Dallas, TX | Maryville, TN |
| Year Founded | 1970 | 1956 |
| # of Homes Built Annually | 5,000+ | 50,000+ |
| # of Floor Plans | 130+ | 100+ |
| Customization | Highly customizable | Limited customization |
| Typical Sq. Ft. | 1,000 – 3,500 | 600 – 2,500 |
| Entry Price Range | $90k – $500k | $50k – $200k |
| Materials | Hardie siding, vinyl windows | Vinyl siding, vinyl windows |
| Warranty | 1 year builder warranty | 1 year builder warranty |
Manufacturing and Building Process of Palm Harbor And Clayton Homes
Both Clayton Homes and Palm Harbor utilize assembly-line manufacturing techniques in their factories to construct homes efficiently. This allows them to produce a high volume of homes at lower costs.
The main structural components like the chassis, walls, and roof are pre-built and assembled on the factory line. Components are brought together in different stations until the home is fully constructed.
The homes are then transported to the customer’s site for installation and completion.
Palm Harbor operates factories in Athens, Texas and Dublin, Georgia. Clayton has numerous manufacturing plants located across the Southern U.S. where the majority of their dealers are based.
While the assembly process is similar, the product specifications and materials differ greatly between brands. Palm Harbor uses higher-end materials like HardiePlank fiber cement siding and Pella vinyl windows as standard features.
Clayton Homes uses more affordable vinyl siding and windows to reach lower price points.
Range of Models and Floor Plans
One area where Palm Harbor and Clayton Homes differ significantly is in the range of available models and floor plans.
Palm Harbor offers over 130 different floor plans to choose from. Their homes range in size from 1,000 square feet all the way up to expansive 3,500 square feet. With all of these options, Palm Harbor products appeal to a wider demographic from first-time buyers to large families looking for a spacious home.
Clayton Homes offers around 100 floor plans, focused more on the affordable end of the spectrum. Their home sizes tend to range from 600 square feet for single-section models up to 2,500 square feet for multi-section designs.
There is less variety for large or luxury models from Clayton.
In terms of architectural styles, Palm Harbor provides floor plans in a wider variety from traditional ranches to modern farmhouses and everything in between. Clayton’s selection feels a bit more repetitive and “cookie-cutter” in comparison.
Customization Options of Palm Harbor And Clayton Homes
One of the biggest advantages of going with Palm Harbor over the competition is their customization offerings. Since they manufacture each home from the ground up based on buyer specifications, you can truly customize almost every aspect of your Palm Harbor home.
Some of the customization options include:
- Floor plan modifications like adding, removing, or adjusting rooms
- Structural changes like dormers, bay windows, and ceiling treatments
- Hundreds of interior and exterior color schemes
- Luxury kitchens and baths with custom cabinetry and fixtures
- Smart home technology and media packages
- Landscaping and permanent foundations
- Attached garages, covered porches, decks and more
Palm Harbor has an online visualizer tool to see 3D renderings of changes as you design. With one of the largest selections of options and upgrades, they stand out as the most customizable manufactured home brand.
Clayton Homes has far fewer possibilities for buyer customization by comparison. Their homes are pre-designed and manufactured in standard configurations before being sent to dealer lots. Buyers must select one of Clayton’s floor plans as-is.
While you may be able to swap out fixtures or make minor cosmetic changes to the home upon purchase, there is no ability to fundamentally customize or alter the structural design.
Clayton’s lack of flexibility is one of its major downsides for buyers wanting to personalize their home.
Quality of Materials and Durability
Quality of construction and durability of materials is another differentiator between Palm Harbor and Clayton Homes.
As a premium-tier manufacturer, Palm Harbor uses higher standards of fit, finish, and durability to justify their pricing. Their exterior siding is HardiePlank fiber cement lap siding, regarded as a long-lasting and attractive fiber concrete material.
Windows are Pella vinyl, one of the top vinyl window brands on the market.
For flooring, Palm Harbor installs real hardwood floors and porcelain or ceramic tile as standard. Their cabinetry is made of solid wood. Stainless steel appliances and granite countertops are typical in kitchens and baths. Each material choice is focused on quality and durability.
With Clayton Homes, you’ll notice more cost-cutting material selections. Their standard exterior siding is basic vinyl lap siding, which has questionable long-term durability compared to fiber cement. Windows are an unbranded vinyl contractor grade.
Flooring tends to be low-grade laminate wood or vinyl planks rather than real hardwood. Cabinetry is made with cheaper particle board. Fixtures and finishes trend toward the affordable end.
These material downgrades allow Clayton to hit lower price points but impact home longevity.
Warranties Comparison of Palm Harbor And Clayton Homes
The warranty coverage provided on new manufactured homes is another important purchasing consideration. Here again there are some distinct differences between Palm Harbor and Clayton.
Every Palm Harbor home comes with a 1-year bumper-to-bumper builder warranty. This covers defects in materials, workmanship, plumbing, electric systems, and more. Appliances, mechanicals, roofing and other components often have separate manufacturer warranties as well.
One downside is that Palm Harbor’s warranty is only valid within the state where you purchase and install your home. So if you relocate the home across state lines, the warranty coverage expires.
Clayton Homes provides a similar 1-year builder warranty on new purchases. Extended appliance, systems, and component warranties may also apply. Clayton’s warranty has the benefit of being nationally transferable, maintaining coverage if you move your home.
Neither manufacturer provides long-term owner protection beyond the first year. For extended coverage, the homebuyer would need to purchase an aftermarket home warranty policy. When comparing Palm Harbor and Clayton warranties, the nationwide coverage from Clayton is a modest advantage.
Pricing and Financing Comparison
There is quite a difference between Palm Harbor and Clayton Homes when it comes to pricing and financing options for purchased homes.
New Palm Harbor homes range from around $90,000 on the low end for smaller single-section models. More typical prices are $125,000 to $250,000 for multi-section, custom designed homes with upgrades. Luxury models can extend upward of $500,000.
As the premium brand, Palm Harbor commands these higher price points relative to size and features.
Home buyers will finance through Palm Harbor’s lending partners with good credit and sufficient income.
Entry level pricing for Clayton Homes starts around $50,000 for basic single section models, making them perhaps the most affordable on the market.
Typical Clayton prices run from $60,000 to $150,000 for multi-section homes. Their high-end maxes out around $200,000.
Clayton captures more first-time and credit-challenged buyers with their lower pricing. They also have financing relationships with Berkshire Hathaway lenders who underwrite mortgages for buyers who may not qualify through traditional channels. This further expands their customer base.
Customer Service Reputation
How well a manufactured home company supports its customers both during and after the sale plays a big role in overall satisfaction. Here there are some notable differences between Palm Harbor and Clayton.
Palm Harbor earns consistently high marks for customer service responsiveness, both from corporate headquarters and from local dealers. Their dealers tend to be experienced specialists who guide buyers through every step of home design and fulfillment. Many buyers say Palm Harbor dealers provide a level of custom home builder service.
Reviews for Clayton Homes are more mixed when it comes to customer service. Their expansive dealer network means experiences can be hit or miss depending on your local representative.
Some buyers report high-pressure sales tactics, miscommunication on project timelines and fees, and inadequate response to warranty issues. As large as Clayton is, service satisfaction seems to lack consistency.
Based on feedback across dealerships and corporate, Palm Harbor tends to deliver a superior customer experience versus the unevenness you may encounter with Clayton Homes.
Also Read: Comparison of Stanley Martin Homes And Ryan Homes.
Resale Value Considerations
Manufactured homes inherently tend to depreciate in value over time more rapidly than site built homes. However, within the manufactured housing market, brands like Palm Harbor tend to hold their value better than entry-level options from Clayton when it comes to resale.
Because Palm Harbor uses higher-end materials and construction methods, their homes have more structural integrity and longevity over decades of ownership. Even as homes age, you’re more likely to have buyers interested in a pre-owned Palm Harbor than lower-end competitors.
Their resale value plateau is higher.
Clayton Homes make no qualms about building with more affordable materials and methods to hit lower price points. This means their manufactured homes tend to show wear and feel dated faster than premium brands.
As such, pre-owned Clayton Homes have a harder time commanding strong resale. Their inexpensive original pricing leaves less room for value decline.
If maintaining resale value is a priority, Palm Harbor is likely the better long-term asset. But Clayton’s rock-bottom pricing may offset how quickly their homes depreciate.
Palm Harbor Vs. Clayton: Which Is Best For You?
Now that we’ve compared Palm Harbor and Clayton Homes in depth across a variety of factors, how do you decide which is the better choice for your manufactured home purchase? Here are some closing considerations:
- If you value customization and premium construction, Palm Harbor is easily the best option. Their total focus is building higher-end custom homes.
- If budget is your top concern, Clayton Homes will deliver the most affordable pricing in manufactured housing. Be prepared for cheaper materials and generic designs.
- Clayton is ideal if you need very fast delivery. Their inventory-home model means houses can be produced in 4-6 weeks. Palm Harbor’s custom path takes 4-6 months.
- Palm Harbor has superior resale value. Their quality materials retain integrity and appeal better over decades of ownership.
- Clayton provides better warranty coverage with their nationally transferable warranty. Palm Harbor’s expires once you move the home out of state.
- Expect a much better customer experience with Palm Harbor over the hit-or-miss service from Clayton’s dealers.
For many buyers, Palm Harbor Homes is the clear premium choice that justifies their higher prices through unparalleled quality, customization, and service. But Clayton Homes fills an important niche delivering new manufactured housing at the lowest prices for budget-focused families.
Carefully weigh these differences as you shop to make the right choice between these two industry leaders.
Also Read: Comparison of Ryan Homes And Maronda Homes.
Frequently Asked Questions (FAQ)
Palm Harbor is widely regarded as one of the highest-quality manufactured home builders. They use durable and attractive materials like HardiePlank fiber cement siding and Pella vinyl windows. Another premium brand known for quality is Cavco Homes.
Palm Harbor homes are made by the Palm Harbor Homes company. They are a privately owned business founded in 1970 and headquartered in Dallas, Texas. They operate their own manufacturing plants to build Palm Harbor-branded houses.
Clayton’s primary manufactured housing competitors are national builders like Cavco Homes, Skyline Champion, and Palm Harbor Homes. Local independent dealers also compete for buyers in many regions. For modular construction, competitors include Champion Home Builders and Modular Homes Direct.
No, Cavco does not own Palm Harbor Homes. That’s a common misconception. Cavco is a competing national brand that owns other manufacturers like Fleetwood Homes. But Palm Harbor Homes is independently owned and operated.
The “best” manufactured home company depends on your priorities as a buyer. Palm Harbor is the best choice if you want maximum quality and customization. Clayton is ideal if affordability outweighs everything else. Cavco, Skyline, and Champion also rate well for those seeking a middle ground on quality and price.
Wrapping Up
When you’re shopping for a manufactured home, Palm Harbor and Clayton Homes stand out as two of the most prominent national brands to consider. Both companies deliver home designs, features, and prices to suit a range of buyers.
For customized or premium homes, Palm Harbor is second-to-none. If budget is critical, Clayton leads the value pack. Carefully examine the differences highlighted here as you evaluate your priorities. Consider visiting local dealerships as well to get a first-hand impression.
With the information in this guide, you can make an informed choice between Palm Harbor and Clayton Homes to find the manufactured home that perfectly suits your needs and lifestyle.