West Virginia Among Top States Investing in Manufactured Housing as an Affordable Solution
As housing prices and mortgage rates continue to rise across the United States, manufactured housing has emerged as a key option to help alleviate the housing affordability crisis. A new study released by Construction Coverage highlights that West Virginia ranks among the top states investing in manufactured homes, with 21.2% of all new single-family homes in the state falling under this category.
While West Virginia is one of the leaders in the adoption of manufactured housing, the trend is widespread across the Southern U.S. States like Mississippi, Kentucky, and Louisiana rank highest in terms of manufactured homes as a percentage of total homes, reflecting the broader demand for affordable housing solutions in economically disadvantaged areas.
A National Trend with Local Impacts
With home prices reaching levels that put many traditional housing options out of reach, the affordability of manufactured homes makes them an attractive solution. The average sale price of a manufactured home in the U.S. was $124,300 in 2023, far below the $362,000 median home price for a site-built home. The Manufactured Housing Institute reports that cost per square foot of a manufactured home is about half of a traditional site-built home—-$87 compared to $166 —-making it a more viable option for lower—and middle-income families.
These homes are prefabricated in factories and then transported to their final locations, which significantly reduces construction costs. Additionally, modern manufactured homes have improved greatly in terms of materials, energy-efficiency, and design, making them a more appealing option for residents. This affordability makes manufactured homes a lifeline for many families in West Virginia, where median incomes are lower than the national average.
Shipments of manufactured homes surged to new heights in 2022, reaching 123,000 units annually. However due to rising interest rates and inflation, shipments slowed in 2023, with only about 104,000 units shipped by mid–2024- a 15% decline from the previous peak. Despite the slowdown.the demand for manufactured homes remains strong, particularly in states like West Virginia where the need for affordable housing is critical.
As housing costs continue to rise nationwide, West Virginia’s investment in manufactured housing positions it as a leader in providing affordable,sustainable housing solutions for its residents. This investment not only addresses the immediate needs of homebuyers but also serves as a long-term solution to the state’s housing challenges.
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