Trailer Park Boys. Breaking Bad. That's what everyone thinks when they hear "modular homes." Brian Hurd from Cardinal Financial hears it constantly.
"I literally talked to somebody yesterday and I said, you know what? I hear that same analogy all the time. Everybody thinks it's a mobile home in the sticks, something out of the show Breaking Bad. But that's the perception." - Brian
But the reality is different. These homes use the same materials as site-built houses: two-by-sixes, sheetrock, granite countertops, hardwood floors. They're just assembled in quality-controlled factory environments.
"Today's manufactured modular homes are nearly the equivalent and again, in some cases, superior to their site-built counterparts." - Brian
At Clayton's Waco facility, all the waste from each house fits into two 80-gallon drums. Compare that to the multiple dumpsters a traditional build generates. And when you're building indoors, you're not wrapping rain-soaked wood in insulation.
The speed factor is where builders pay attention. Site-built takes 9-12 months. Modular? 60-90 days from order to installation.
"Whereas you might have one turn a year with site-built, with manufactured modular, you might get it to four. We're talking 60 to 90 days from the time the order's put in until the house is delivered on site, installed, all the site work is complete." - Brian
When Cook Brothers built Harvest Meadow outside Knoxville using Clayton homes, the houses appraised for more than their sale price.
The main barrier? Financing. Most banks don't understand the different draw schedule for modular construction.
"The moment you mention manufactured modular, the brakes start screeching. Very few banks and mortgage companies really understand this product." - Brian
Sound Capital and Cardinal have figured out how to make it work, but there's a gap keeping mid-sized builders from scaling up.
We also discuss the trades labor shortage, why AI won't replace skilled construction workers anytime soon, and Brian's advice: go see it yourself. Tour a factory. Visit completed communities. Talk to the financial side early.
"If you are a builder, get the conversation started. It's not as difficult as you may think. Don't wait." - Brian
This isn't about replacing site-built construction. It's about adding a viable option that solves real problems with speed, waste, and quality.
Brian Hurd Senior Vice President, National Builder, Cardinal Financial
Brian Hurd leads Cardinal Financial's National Builder Division, managing strategic partnerships with national homebuilders and driving growth in builder-focused lending. He oversees cross-functional teams to deliver a streamlined mortgage experience tailored to new construction buyers—enhancing efficiency, service, and satisfaction. With over 15 years of experience in builder channels and mortgage leadership, Brian is known for scaling production teams, expanding builder relationships, and aligning sales and operations to fuel long-term growth.
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Chapters:
00:00 Introduction
00:40 Sound Capital
01:14 Public Perception of Modular Homes
02:38 Construction Quality and Efficiency
05:32 Environmental Benefits of Modular Homes
08:24 Structural Integrity and Design Flexibility
17:33 Builder Benefits and Market Trends
22:23 Labor Market Challenges and Opportunities
28:10 AI's Impact on Home Building
28:49 AI in Sales: A Case Study
30:12 Future of Skilled Trades
30:55 Financial Planning for Young Adults
32:48 Scaling Home Manufacturing
34:29 Financial Barriers in Modular Home Building
42:48 Insurance and Risk Mitigation in Modular Construction
49:13 Engaging Early with Financial Partners
51:46 Final Thoughts