Manufactured homes are becoming increasingly attractive to a wide array of people. And they offer affordable housing options for many, especially those earning low and moderate incomes and/or living in rural and underserved areas.
Manufactured homes account for between 7 and 8% of all single–family homes in the United States. In rural areas, that percentage is about doubled. Nearly half of existing manufactured housing is in rural areas. The average price of a new manufactured home is $71,600, while the average price of a new, single–family, site–built home is $372,900, according to the U.S. Census Bureau.
More than 40% of manufactured homes sit within manufactured housing communities (MHCs) — even more in rural areas. These residential real estate developments offer permanent pad sites for rent for manufactured homes, related amenities, utility services, landscaping, roads, and other infrastructure.
As part of Freddie Mac's commitment to promoting housing affordability, our Multifamily business provides much–needed funding to MHCs. Our support helps MHC owners keep pad rents low as well as maintain and improve amenities and infrastructure. From our program's launch in October 2014 to June 2017, we purchased loans on 310 communities, comprising more than 82,500 home sites, in 37 states.
In 85% of the communities we financed since the beginning of last year, housing is more affordable than traditional single–family homes and comparable to two– and three–bedroom apartment units in the neighborhood.
We will continue to support affordable and rural MHCs, and work to do even more by applying our experience and innovation.
Learn more about manufactured housing and whether it might be a good fit for you at the Manufactured Housing Institute.
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