A new development in Los Gatos by builder Barry Swenson called Creekside Village has everyone talking about manufactured homes. Perhaps best described as "upwardly mobile," the development features modular homes that don't resemble the traditional view of a mobile home. Creekside Village literature describes them as "innovative homes" and says they are a combination of both controlled, off-site construction components with on-site structures and finishes.

There are many different types of factory-built housing, but most manufactured and modular homes are units that are built in a factory, then transported to the site and installed. There are federal standards that regulate manufactured housing design and construction, strength and durability and other factors. Homes must also adhere to state, local or regional codes when installed.

After Realtor Erin Benford of Windermere Silicon Valley Proprieties in Los Gatos looked at the homes at Creekside Village, she said, "Had I not known that there was a mobile home park on that land at one time, I would have thought it was just another development. The homes appear to be solid construction and compete with other new housing in the valley. Like other new housing, the lot size is small and the interior is quite modern, with the most popular upgrades."

Priced from the low $800,000s, the Creekside Village homes are well below the latest figures for the median home price in Los Gatos at $1,025,000. The median home price is the point where half of the homes cost more and half cost less. These homes also don't fit the stereotype of a mobile home since they feature hardwood floors, granite countertops, a Jacuzzi tub in the master bath, a front entry porch and a garage.

For Martha Hoffman, an agent for Dennis Byron at Byron and Associates in Los Gatos, the new development provides an affordable housing option and the opportunity to own a piece of property instead of rent. As a single mom who was transferred to Los Gatos in 1993 from Long Beach, she wanted to live in a safe community that offered good schools for her daughter.

"I was determined to live here but found the cost of rent and homes were out of my income range. I found an ad for the Los Gatos mobile home park. It was affordable, close to town and the park itself had a community atmosphere that felt very safe. My daughter and I made our home there and it was truly a godsend," Hoffman said.

Then the mobile home park closed. Hoffman is now waiting for the new homes to be built.

"We were lucky to have Barry Swenson come into the picture. The new homes are uniquely constructed with a combination of manufactured components and custom building. They are on permanent foundations and as an added benefit the land is included in the purchase price, so no more space rent," Hoffman said. "These factors make these homes very desirable and a better investment than mobile homes, which have a low appreciation rate, high space rents and limited financing options."

Best of all, according to Hoffman, the 60 new homes are within walking distance to town, in the Los Gatos school system and priced under $1 million. "I think this will make many people very happy," she said.

Dennis Byron of Byron and Associates in Los Gatos believes preconceived ideas about mobile homes are changing.

"I have been selling real estate for the last 34 years in this valley. Ten years ago I would have told you that you were crazy to even think of a mobile home. Today things have changed. I am seeing several outstanding opportunities in mobile homes, or as they are known today, modular or manufactured homes," Byron said.

Byron cautions homebuyers to look carefully at the complex and understand any assessments that may apply. "You also want to be careful of the quality of the unit. Stay away from older units and older parks. You can find many units for under $100,000 but you will be stuck with something you can't resell. The new units are better built and in some cases are better built than a traditional home," he said.

Byron remembers asking a mobile home salesman about the quality of mobile homes when he worked in a mobile home park in Arizona many years ago. "The salesman told me the homes were built to sit on a truck and go 55 miles an hour down a bumpy freeway for over 1,500 miles. If a traditional home were lifted onto a truck, it would be lucky to get there as a pile of lumber," Byron recalled.

Mobile homes really aren't mobile anymore, according to demographics and statistics from Foremost Insurance Group that specializes in policies designed to cover this type of dwelling. Only 6 percent of the people in a recent survey conducted by the insurance company had homes that had been moved from one location to another during the past three years. Nearly 50 percent of the people surveyed own a mobile or manufactured home that sits on private land.

The Manufactured Home Institute, a national trade organization, provides research and information about the industry, including a consumer's guide on how to purchase a manufactured home. Its website at www.manufacturedhousing.org provides a wealth of information on the topic. For more information about Creekside Village, visit www.creeksidevillagelosgatos.com.