United States Manufactured Homes Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

United States Manufactured Homes Market Trends and Insights

Steady increase in annual unit shipments driven by growing demand for affordable housing alternatives

The US manufactured homes market is witnessing steady growth, driven by increasing demand for affordable housing alternatives. In April 2025, monthly shipments averaged 108,000 units, showcasing consistent activity even as traditional housing starts declined. A significant portion of buyers now comes from households priced out of conventional construction. In 2024, Legacy Housing sold 2,471 home sections, each starting at approximately USD 33,000. Retailers in Texas reported a 4.7% month-over-month increase in deliveries, highlighting the South's critical role in this market. Research from Freddie Mac indicates that 60% of consumers, including 68% of Millennials and 62% of Gen X, are open to considering manufactured homes. This sustained shipment momentum positions the sector as a key solution to the nation’s affordability challenges.

Manufactured homes’ share of total U.S. home sales expanding as pricing gaps widen versus site-built homes

Manufactured homes are gaining traction in the U.S. housing market as affordability challenges persist. Buyers of factory-built homes are saving between USD 50,000 and 100,000 compared to their site-built counterparts. This price gap is widening, driven by inflationary pressures on labor and materials faced by traditional builders. In Q2 2025, Champion Homes announced an average selling price of USD 92,400, marking a 4.5% annual uptick, yet still trailing behind site-built prices. Between 2017 and 2021, "Duty to Serve" programs spurred a 141% surge in loan acquisitions for real-property manufactured homes, indicating a growing liquidity in the secondary market. In 2023, the sector shipped 89,200 homes, accounting for roughly 4% of the nation's housing production. This share is on the rise, especially as CrossMod designs align with single-family zoning regulations. The increasing market share highlights the evolution of the U.S. manufactured homes market, transitioning from a counter-cyclical niche to a central player in the housing arena^{[1]Sandra Thompson, “2024 Duty To Serve Manufactured Housing Plan,” Federal Housing Finance Agency, fhfa.gov}.

Rising median price per unit reflecting greater consumer acceptance and improved quality standards

The U.S. manufactured homes market is witnessing significant advancements, driven by regulatory updates and innovative practices. In September 2024, HUD rolled out 90 new or updated standards, focusing on multi-unit layouts, open floor plans, and contemporary roofing, all aimed at enhancing perceived value. In 2024, Clayton Homes constructed over 51,000 off-site units, with a remarkable 95% certified as Zero Energy Ready, enabling homeowners to slash energy bills by up to 50%. For the fourth consecutive year, Skyline earned the title of America’s Most Trusted Manufactured Home Builder, achieving an impressive Net Trust Quotient Score of 98.5. According to DOE modeling, revamped HVAC protocols could reduce energy consumption for space conditioning by 57% in 800,000 units set to be built from 2023 to 2030. Elevated specification levels empower manufacturers to maintain firm pricing without compromising the affordability edge that bolsters the U.S. manufactured homes market.

Increased adoption due to faster construction timelines and cost-effective land use in suburban regions

The growing demand for faster construction timelines and efficient land use is driving the adoption of manufactured homes in suburban regions. Factory production is shrinking build cycles from months to mere weeks. This rapid turnaround is especially enticing for fast-growing suburbs grappling with a housing supply that's struggling to keep pace with an influx of new residents. Cavco, with its 31 production lines, employs lean manufacturing techniques, effectively minimizing waste and countering labor shortages. In a testament to the trend, Cook County is rolling out a USD 12 million modular pilot in 2025, introducing 120 homes across three neighborhoods. This move underscores how municipalities are leveraging manufactured homes to expedite ownership. Meanwhile, Texas, in 2024, embraced new industrialized housing codes, streamlining approval processes and slashing costs for developers. On another front, the USDA has broadened its rural manufactured housing pilots, extending them through May 2025, thus enhancing financing avenues for suburban and ex-urban areas. With such accelerated deliveries, the US manufactured homes market is solidifying its role as a remedy for shortages in burgeoning growth corridors.

Limited mortgage access and higher financing costs due to non-traditional lending frameworks

Access to affordable financing remains a critical challenge for the U.S. manufactured homes market. Chattel loans for manufactured units often carry rates 150–200 basis points higher than conventional mortgages, diminishing monthly savings and dampening demand for upgrades. While FHA revised Title I caps in late 2024, the personal property classification still bars many borrowers from accessing 30-year fixed-rate products. Fannie Mae's annual target for MHRP acquisitions stands at a mere 7,400, overshadowed by the over 100,000 units shipped each year. Although USDA's January 2025 rule expands Section 502 eligibility, its delayed rollout to May 2025 hampers the relief effort. Without a broader appetite in the secondary market, financing challenges are likely to stifle the growth potential of the U.S. manufactured homes market. 

Regulatory zoning barriers in multiple states limiting community expansion and placement approvals

Zoning regulations continue to pose significant challenges to the expansion of manufactured housing communities in the United States. In 845 counties, particularly near affluent coastal metros where affordability is most needed, outdated county codes either ban or limit manufactured housing. While CrossMod designs, which resemble traditional site-built homes, offer some relief, achieving full zoning equality remains a challenge. In 2024, Rhode Island and Maryland introduced pro-manufactured housing laws, yet significant disparities between states continue. Despite industry associations pushing for overarching frameworks, the deep-rooted tradition of local control makes uniform changes challenging. Addressing these zoning barriers is crucial for unlocking the full potential of the US manufactured homes market.

Segment Analysis

By Structure Type: Multi-Section Dominance Drives Premium Positioning

Multi-section homes secured 55.0% of 2024 revenue, underscoring consumer preference for larger footprints that rival site-built floor plans. The US manufactured homes market size for single-section units is expected to climb fastest at a 7.10% CAGR as first-time buyers and urban infill developers leverage compact designs. Clayton’s CrossMod series blurs lines between modular and HUD-code, enabling placement in single-family zones that once excluded factory-built stock. Champion operates 48 plants, posting a 31.3% jump in U.S. homes sold during Q2 2025 as demand spanned both structure types. Price spreads between single and multi-section models are shrinking as energy-efficiency and smart-home features become standardised. HUD’s 2025 rule allows multi-unit configurations inside a single chassis, opening rental and multi-generational use cases and deepening structural diversity^{[2]Eugene A. Colucci, “Performance Of Multisection Manufactured Homes In High-Wind Events,” Journal of Structural Engineering, ascelibrary.org}.

Multi-section units retain a premium perception because they offer open kitchens, higher ceilings, and optional garages that match suburban buyer expectations. However, factory upgrades such as drywall interiors and full-size porches are now filtering into single-section lines, broadening appeal without eroding affordability. In disaster-prone states, multi-section steel-framed variants provide wind ratings that exceed local codes, a selling point post-hurricane. As production scale expands, manufacturers are shortening custom-order cycles, making multi-section units deliverable in as little as 60 days, versus 120 days five years ago. These efficiencies anchor the long-term share leadership of multi-section homes while keeping the US manufactured homes market open to value-oriented single-section growth.

Note: Segment shares of all individual segments available upon report purchase

By Application: Single-Family Leadership Faces Multi-Family Acceleration

Single-family usage represented 72.3% of 2024 revenue, reflecting the product’s roots in owner-occupied housing. Yet multi-family parks and rental portfolios are forecast to log the highest CAGR at 8.05% through 2030, fuelled by investor appetite for stable cash flows and low capital expenditure profiles. Sun Communities’ 99.0% blended occupancy in 2024 highlights resilient demand in lifestyle communities. Freddie Mac’s financing of the California Leisureville park illustrates how agency capital is now backing resident-owned cooperatives. The US manufactured homes market benefits as HUD’s USD 225 million PRICE grants funnel infrastructure upgrades into existing parks, enhancing value and livability.

Institutional buyers favour multi-family parks because lot rent growth is historically less volatile than apartment rents. UMH Properties manages 141 communities with 26,500 sites and has won multiple innovation awards, emphasizing customer-service-driven operations. Disaster recovery programmes also deploy multi-family clusters to re-house displaced populations quickly, expanding the addressable base. As demographic shifts send retirees southward, resort-style parks with amenities such as pickleball courts and marinas are commanding premium valuations. Single-family retention remains strong, but the rising professionalisation of community management signals that the US manufactured homes market will see applications diversify well beyond traditional owner-occupancy.

By Material: Timber Tradition Challenged by Metal Innovation

Timber framing accounted for 64.6% of 2024 shipments, supported by entrenched supply chains and builder familiarity. Metal-framed units are projected to record an 8.35% CAGR, the highest among all materials, due to superior wind resistance and lower lifecycle maintenance. HUD’s new Class A fire-rated roof rules encourage composite and steel roofing, nudging buyers toward hybrid builds. DOE incentives for energy-efficient envelopes make structural insulated panels and steel studs more cost-competitive. The US manufactured homes market size for timber remains large, but diverse material mixes improve resilience against lumber price swings.

Clayton achieved Zero Energy Ready status on 95% of output by combining advanced window glazing, thicker insulation, and HVAC heat pumps, choices made feasible by lighter-gauge steel roofs that offset added wall weight. Cavco is trialling cold-formed steel floors in Gulf Coast plants to meet 180 mph wind-zone codes without excessive cost increases. Concrete skirting and fiber-cement siding are penetrating mid-price lines, signaling that buyers accept premium materials when they translate into insurance savings. Supply-chain diversification across metal roll-formers in Mexico and the Southeast reduces import risk from Canadian lumber tariffs. Across materials, continuous code tightening keeps the US manufactured homes market on a technology-upgrade path that benefits manufacturers with engineering depth.

Note: Segment shares of all individual segments available upon report purchase

Geography Analysis

Texas retained an 18.6% revenue share in 2024, anchored by business-friendly regulations, above-national-average population growth, and streamlined approval pathways that encourage both retail sales and community development. The state’s April 2025 data show a 2% month-on-month rise in new-home sales and a 4.7% jump in shipments to local retailers, confirming sustained traction despite higher mortgage rates. Updated industrialised-housing codes adopted in 2024 cut plan-review times, allowing manufacturers to stage inventory closer to demand and reinforcing Texas as the volume hub of the US manufactured homes market.

Florida is the fastest-growing state, projected to post an 8.64% CAGR through 2030. Demographic inflows from retirees and remote workers, coupled with frequent hurricane rebuild cycles, create durable demand for code-compliant, wind-rated units. State zoning guidelines support community expansion, and insurers offer premium discounts for HUD-code homes exceeding Wind Zone III standards, strengthening the value proposition. Developers also leverage manufactured homes to address seasonal labour accommodation near tourism corridors, widening the buyer base. As a result, Florida is moving from an opportunistic buyer market to a strategic growth pole within the broader US manufactured homes market.

California, New York, and Illinois illustrate the constraints imposed by dense zoning and lengthy entitlement processes. Despite elevated median home prices, manufactured housing penetration remains modest because many local ordinances still limit placement. Nevertheless, municipal pilot programmes, such as Cook County’s USD 12 million modular initiative that will add 120 units across three neighbourhoods, demonstrate growing political recognition of factory-built value. USDA’s rural lending pilots, extended to May 2025, further unlock demand in surrounding ex-urban counties, particularly in the Midwest and Mid-Atlantic where conventional builders face labour shortages. As additional states replicate Maryland’s and Rhode Island’s 2024 zoning reforms, latent demand could shift the geographic mix, enabling the US manufactured homes market to penetrate historically under-served corridors.