Factory Built Housing Industry

The terms: factory built home, manufactured home, and modular home, do not describe any particular style of home, they are descriptions of a process for building homes.

A manufactured home is constructed of standard building materials built off-site in a factory setting. Manufactured homes are built entirely in the factory under a federal code administered by the U.S. Department of Housing and Urban Development (HUD). A manufactured home ranges from basic to elaborate with single or two-story homes available. The single or multi-section manufactured home is transported to the site and installed.

A modular home is constructed of standard building materials built off-site in a factory setting. Modular homes are built to the state/local building codes of the jurisdiction in which the home is going to b sited.  These are the same building codes to which local builders adhere. Once built, the modules are transported to the site and installed.Both share the benefits of being constructed in modern, technologically advanced, production facilities.

How does the factory-built housing industry contribute to the economy in Mississippi?

  • Estimated sales tax paid by manufactured home retailers on home sales in Mississippi during 2006 - $10,508,648 plus millions of dollars more paid by numberous service and supply companies

  • Estimated number of licensed retailers: 159; licensed developers: 22; licensed installers/transporters: 174;  3 in state manufacturers and 6 modular manufacturers.

  • 72 licensed manufacturers who ship to Mississippi; 77 licensed modular manufacturers that ship homes to MS.   These and other industry related companies employ several thousand employees.

  • Service and supply companies that are MMHA members doing business Mississippi: 32

  • Licensed manufactured housing mortgage brokers for 2006: 39 - and licensed loan originators for manufactured housing industry: 96

  • Numerous parks and/or land lease communities operate in Mississippi.

Census Data and Typical Cost Factors

  • Number of Mississippians living in manufactured and mobile homes located in all 82 counties 522,350.  (Census 2000)

  • Number of manufactured homes located in Mississippi: 192,749. (Census 2000)

  • New manufactured home retail sales through December 2006: 4768.

  • Manufactured homes shipped to Mississippi through December 2006: 5599

  • Modular homes shipped to Mississippi through December 2006: 300

  • Share of the market of manufactured homes (Census 2000) : 18.4% of all new housing starts in the state.
  • Mississippi product mix (shipments) for 2006: multi-section homes, 79.7% and single- section homes, 29.9% (includes FEMA single-section units).
  • National product mix for 2006: multi-section homes, 71% of homes shipped and single- section homes were 29%.
  • Typical price of a single-section manufactured home - Approximately $33,800
  • Typical price of a multi-section manufactured home - Approximately $68,600
  • National average price of a manufactured home for 2006 was $62,300 and average size was 1595 sq. ft.
  • The average cost of construction of a single-section manufactured homes is $31.30 per square foot and multi-section $39.77 per square foot as compared to approximately $90.63 per square foot for comparable site-built homes.
  • Modular homes typically cost 15 - 20% less than site-built homes for same square footage.
  • Floor plans are available for factory built homes of 600 to over 3,000 square feet.
  • National HUD shipments for 2006 were 117,510 homes through December 2006.
  • National modular shipments for 2006 were 38,300 through December 2006 (MHI monthly report, December 2006).

Who buys Manufactured housing?

  • Age of owners– 8% under 20; 20% from 30–39; 25% from 40–49; 25% from 50–59;

  • 16% from 60–69, and 8% from 70+ years of age.

  • Income– Persons of all income levels– Median household income of purchasers– $35,000.00.

  • Employment status of household head– full time: 64%, part time: 7%, retired: 19%.

  • Typical owner– Professional or service type worker, young, middle aged, or elderly.

  • Household owner size– 1 member: 15%, 2 members: 36%, 3–4 members: 36%, 5+: 13%.

  • 1999 Owens Corning study, conducted by National Family Opinion, found that 93% of manufactured home owners are satisfied. 

  • 2002 study by Foremost Insurance found that 88% homeowners were satisfied with their housing choice.