Realtor.com Report: Hartford and Denver Lead Five Metros Poised to Gain From the Manufactured-Housing Law, as Only About 17% of Zoned Land Expressly Allows Manufactured-Home Parks
A report released by Realtor.com on October 26 assessed which markets stand to benefit most from the manufactured-housing components of the 21st Century ROAD to Housing Act, which became law over the summer: areas with relatively affordable land, lower new-construction costs and a low share of starter homes have the most to gain — but only if local zoning laws allow. Most of the changes are slated to take effect in January, though some provisions will be phased in over time depending on federal and state-level implementation.
The law's key change for the manufactured-housing industry is the elimination of the requirement that each prefab home have a permanent steel chassis for towing, which is expected to reduce material costs and provide more design options, including multi-level homes. However, research by Land Use Labs indicates only about 17% of zoned land across the country expressly allows manufactured-housing parks, the report noted. 'But the federal change can only open the door. Local leaders still decide whether these homes can move from the factory to a neighborhood,' said Danielle Hale, chief economist at Realtor.com, who added that a home that looks more like a site-built home may face less resistance from communities that have used design standards and zoning rules to keep manufactured housing out.
The five metros that best fit the criteria were Hartford, Connecticut; Denver, Colorado; Allentown, Pennsylvania; Albuquerque, New Mexico; and Colorado Springs, Colorado, ranked on where land is relatively affordable, what new construction costs and whether an area has a low share of available starter homes. 'Whether that opening turns into new supply will depend on whether local rules allow these homes by right and whether communities are willing to update standards written for an older version of the product,' said Joel Berner, a senior economist at Realtor.com. Last week President Donald Trump also signed an executive order creating a task force on manufactured-housing innovation, which GSM has reported. Jason Madiedo, CEO of SimplyPMG, said the primary obstacle 'has never really been the home's cost' but local acceptance, noting the product took hold in the Pacific Northwest, parts of Arizona and a bit of the Midwest, while most other coastal states have shown less interest.
Related: HUD Unveils Next Generation Manufactured Housing Action Plan After Chassis Rule Change
Source: GSM · USA (original Chinese edition)
Photo: 图：加利福尼亚州 Grass Valley 一栋在建的现代预制住宅（资料图）。摄影：Jim Heaphy（Cullen328），CC BY-SA 4.0，经 Wikimedia Commons。 / A modern manufactured house under construction in Grass Valley, California (file photo). Photo: Jim Heaphy (Cullen328), CC BY-SA 4.0, via Wikimedia Commons.
