Houseboats can be divided into two basic types. he first uses the hull of a ship that has had most of its machinery removed. Living accommodation is created within this space and often a new superstructure is built on top.

The second type of houseboat is a purpose-built floating structure designed solely for housing purposes. Essentially it is a wood- or steel-framed house built on a floating pontoon. The pontoon is usually a square or rectangular shape constructed of steel or concrete. The concrete variety is almost maintenance-free, unlike steel-hulled houseboats which have to be taken out of the water regularly for inspection and treatment against rust.
Both types of houseboat are usually permanently moored and can be connected to mains sewerage and services.