2024 Manufactured Housing Outlook
As we begin a new year and forecast what 2024 might have in store for home buyers and the manufactured home industry, we first need to look back on 2023 and acknowledge the positive real estate trends last year and in Q4 in particular.
HomeQuest had a strong 2023, doubling its sales of manufactured homes from 2022, and this year the company expects to see another 25 – 50% increase in business according to Partner and Sales and Marketing Manager Shane Joffe.
“As affordable housing continues to be top-of-mind with homebuyers, industry experts, and the government, manufactured housing sales will continue to increase exponentially,” said Joffe. “Manufactured homes have remained a more affordable option than site-built tract homes throughout the country, but especially in the Western U.S. where real estate and the cost of living are typically higher.”
Federal, state, and local jurisdictions are working to increase affordable housing options by making the permit process easier, removing barriers to construction and addition of ADUs to existing properties, and streamlining laws that can help maximize manufactured housing production.
Looking at marketing conditions in the new year, there are signs that the outlook will improve for homebuyers. Mortgage rates dropped over Q4 and have continued to inch down in January. Lower mortgage rates help boost home sales, which were up in November, according to the National Association of Realtors. December sales figures won’t be released until mid-January, but many in the industry expect to see a modest increase in sales in December and continue throughout 2024 as mortgage rates continue to dip slowly.
According to the California Association of Realtors®, at the end of 2022, only 17% of California households could afford the median-priced single-family home ($790,020), while we know that the average price of a manufactured home is significantly less at $153,400.
The lack of affordable housing is widespread, and a smart alternative is for home buyers to shop for modern, new manufactured homes. Anyone from a first-time homebuyer to busy young families or retirees who desire a low-maintenance lifestyle should contact us here at (866) 720-2207