Clayton & Next Step Unveil White Paper That Shows Manufactured Homes Appreciate As Well As Site-Built Homes

The following are excerpts from news via PRNewswire provided by Clayton Homes on Dec. 28, 2022

A growing body of research demonstrates off-site built housing can provide wealth-building opportunities through appreciation.

Clayton, a national builder of attainable housing, and Next Step, a national nonprofit housing organization, have released an educational white paper highlighting the wealth benefits of off-site-built housing: –  Off-Siite Built Homes ProvenTo Appreciate In Value – Providing Equity Building Opportunities & Reshaping Today’s Housing Market – As home buyers navigate a market with low affordable housing inventory, off site-built housing continues to represent an intelligent and attainable homeownership solution.

Off-site built homes,also known as manufactured homes, modular or Cross-Mod homes, are constructed inside a climate-controlled home building facility and finished on-site, allowing for a quicker, more efficient building process. These homes are uniquely positioned to bridge the affordability gap for entry-level and middle-tier housing and are more affordable for both developers and buyers. When placed on a property with a permanent foundation, these homes have the ability to build wealth over time like site-built homes.

The white paper incorporates statistics from a growing body of research showing off-site built homes regularly appreciate similar to site-built homes, including:

• A North Carolina family’s Clayton off-site-built modular home, increased more than $135,000 in value over seven years ($179,000 to $315,000).
• Median manufactured home values increased by an average of 34.58% from 2016 to 2021 – Nearly the same as the average increase of 35.44% for single-family homes, according to a 2022 study.
• Off-site built housing is generally less expensive than traditional home construction methods because of economies of scale and building efficiencies.
• A 2022 study shows the median value of off-site built homes increased more rapidly in over a dozen states than that of traditional site-built homes over the same five-year period. For example, In Rhode Island, Nebraska, and Idaho, the median manufactured home values more than doubled – increasing by an average of 110.82% in those same states, while site-built homes’ values appreciated just 57.95% over the same period.
• An analysis of the Federal Housing Finance Agency’s MH Index by a nonprofit research organization indicates the prices of manufactured homes perform similarly to those of site-built properties.

“We know many people are getting priced out of today’s housing market. At Clayton, we strive to open doors for more people bringing home ownership within reach,” said Kevin Clayton, CEO of Clayton. “Owning a home provides individuals and families with more than a place to live – it’s an opportunity to build wealth over the years while earning more value for money spent.”