What the real, visionary, and smart players in the US real estate industry believe is that some solutions already exist, hidden in plain sight.
Part of the problem is that what often hides those solutions from looking at past history, baggage or bad reputation.
Built houses are among them.
And, because of its low cost, portability, and size, the category is becoming a major part of the national housing affordability conversation.
However, manufactured homes have struggled to gain significant market share recently due to persistent, negative, and outdated stigma.
The government may soon support the manufactured housing industry, as lawmakers in Washington and the capital see manufactured communities as an important part of any affordable housing solution.
However, policy changes alone will not be enough to change public opinion.
To dispel these misconceptions, the manufactured housing industry is moving beyond traditional marketing campaigns and focusing more on innovation. By offering a wide variety of models and floor plans that meet consumer expectations and budgets, major manufactured home builders are betting they can increase market share and expand their reach.
The government’s effort to promote the development of manufactured housing
A recent report from the National Association of Home Builders defines what qualifies as manufactured housing.
“A manufactured home is a type of factory-built home that adheres to the United States Department of Housing and Urban Development’s (HUD’s) Building and Safety Standards code.” To qualify, a manufactured home must be a ‘movable dwelling, 8 feet or more in width and 40 feet or more in length, built on a permanent basis.’
Housing plays a major role in the federal government’s drive to improve housing affordability. The Housing for the 21st Century Act, which was overwhelmingly approved by the House of Representatives in February, would eliminate the permanent chassis requirement, potentially reducing the construction cost of each home built by about $5,000.
The legislation would facilitate the development of manufactured housing by designating HUD as the primary federal regulator of manufacturing and safety standards.
Supporters of the bill say the changes could lower the cost of manufactured housing by up to an additional $10,000.
A persistent vision problem
I Real Estate Agency reports that new manufactured homes cost less than a third of the cost of homes built in the area. These houses tend to be of high quality, but the houses that have been built have not grown much in recent years, because the industry is still struggling with a sustainable vision.
Manufactured home shipments peaked at 373,000 in 1998. At the time, they accounted for about 23% of single-family homes, but this changed dramatically at the turn of the century. By 2024, there were only about 103,000 manufactured homes, representing 9% of single-family home starts.
Even though new manufactured communities feature high-quality design, the strong NIMBY effect still plagues the industry. Neighbors are often concerned that manufactured communities will be ugly, dangerous, or hurt local values.
As a result, acquiring the rights to manufactured housing can be a challenge in many markets, said Gene Kim, Executive VP of CRE Strategies at Ascent Developer Solutionsmentioned earlier Builder’s Day.
Even if the houses built are approved and entitled, convincing buyers to buy these houses can still be difficult. I US Census Bureau‘s 2025 Manufactured Housing Survey showed that manufactured homes and locally built homes are valued at the same rate from 2000 to 2025. However, many buyers still believe that these homes do not appreciate as quickly as traditional homes.
“When people say mobile home parks, a lot of times, their minds jump to the 1960s trailer park. But the communities that are being delivered today are of a much higher quality. It’s almost necessary to have a separate property category and a property theme category, because the quality is so high, both in the general community and the quality of the homes,” said Kim.
Building trust in built houses
Building trust and correcting misconceptions are key goals of the manufactured housing industry. Homes in Claytona major manufacturer of manufactured and modular homes, we have launched several marketing campaigns over the years to promote manufactured homes and challenge these stereotypes directly.
The builder’s “Have it Made Campaign” aired ads during major sporting events highlighting their new, affordable manufactured home options. The “Prefabulous” campaign was another TV advertising effort that showcased the modern designs and affordability of their manufactured homes. However, large marketing campaigns may not be enough to make a significant impact.
Because Houses of Championsis another large manufactured home builder, much of its reach depends on developing a dynamic product mix combined with excellent customer service.
The builder has listed the three most trusted types of houses built in 2025, based on the latest research Life Story Research. Skyline Housesa subsidiary of Champion Homes, was the most trusted home brand for the sixth year in a row. Champion Homes ranked second, too Genesis Housesanother subsidiary, came in third.
John Kastanek, Vice President of Customer Operations and Services at Champion Homes, said Builder’s Day that several key factors build confidence in the manufactured housing industry. Outstanding design and quality top the list. Customers still value quality, even when choosing an affordable option like manufactured homes.
As a result, Champion Homes is constantly unveiling new home models and has already introduced several new designs this year. In 2025, the manufacturer introduced the Concord Suplex Series, its first nationally produced duplex series. EcoWise, a solar-powered home, was also introduced to the market last year. One of Champion’s newest models features the “Florida Room,” an enclosed deck area with plenty of natural light.
“Homes themselves must continue to evolve. Clients’ expectations are changing rapidly, whether it’s smart architecture, better energy efficiency or finishes that feel more built on site. When people see that our designs reflect the way they really want to live, it builds confidence,” said Kastanek.
In addition to delivering a quality product, Kastanek emphasized the importance of providing an excellent retail experience. Clear communication is important, as customers want to feel genuinely supported without being oversold or exploited in the process. Trust is built by listening to customers, making them feel valued, and delivering well-designed homes that meet buyers’ expectations.
“Even though today’s homes are incredibly well built, many people still cling to old ideas. Therefore, trust becomes a bridge,” said Kastanek. “For us, it all goes back to keeping our promises. When we consistently deliver on the customer experience, those authentic recommendations begin to break through people’s filters and dispel misconceptions.”
William Boor, President and CEO of Cavco Industriespublicly traded housing manufacturer, during its Q4 2025 earnings call that removing the permanent chassis requirement will spur innovation and create more opportunities for manufactured homes to gain market share.
“We’re still going to make a lot of homes that have a permanent chassis attached to the home. But removing that from the definition of a manufactured home just opens up new opportunities for our industry. It opens up the possibility of being able to easily build multi-story homes,” he said.
Manufactured homes are mostly in rural areas, but their innovative potential can create opportunities in large, dense urban areas.
“A lot of new innovations that can happen…when you think about those kinds of opportunities, you start to see the opportunity to innovate in urban and suburban markets, and that opens up a new market opportunity for this industry,” he explained.
As manufactured homes grow more sophisticated and innovative, selling them to buyers and convincing neighborhoods to adopt manufactured communities can be easy, Boor said.
Wide reach push
In addition to the federal effort by Congress and the Trump administration to improve housing affordability, there is also a wave of housing reform at the state and local levels. Among these changes is the revival of house types that have been around for a long time but have been neglected for decades. As affordability worsens, lawmakers are exploring these options as potential solutions.
Manufactured homes are one example. Another revival is the one-room dwelling, a type of housing that was once popular but was largely phased out after World War II. With housing costs high at this time, cities and counties are now starting to rethink that ban.
Last year, Oregon passed a law that mandated single-room occupancy (SROs), a housing option previously frowned upon due to safety and health concerns. The city of Portland, Oregon, recently launched an SRO pilot program that provides grants to landlords who rent spare rooms to low-income tenants.
Other states, such as Washington and Hawaii, have also enacted statewide reforms to legalize SROs and shared housing.
Structured housing, such as SROs, is also gaining popularity at the local level as more states and municipalities ease restrictions. A Maryland bill that went into effect last year requires municipalities statewide to allow homes built on zones zoned for single-family residences. Other states, such as Maine and Kentucky, have recently passed similar laws that prohibit municipalities from excluding manufactured housing. Boor identified these local changes as more effective than any federal law.
“There are some things the federal government can do that can have a big impact,” he said. “Where it’s hard to have a direct impact is the multitasking stuff at the state and local level. And that’s where you see the design challenges that limit the delivery of what we do.”
