Industry Analysis & Industry Trends
Over the past five years, demand for less expensive, manufactured homes has spiked, allowing the Prefabricated Home Manufacturing industry to grow despite continued reduction in the price of its products. Declines in housing prices and conventional mortgage rates lowered the price of traditional homes and reduced the appeal of industry products as a cost-effective substitute. As a result, many companies were forced to exit the industry, merge with competitors or face acquisition. However, as the residential real estate market continues its recovery over the next five years, demand for manufactured and prefabricated homes will rise, though such products will continue to decline as a share of the overall housing market... purchase to read more
Industry Report - Industry Locations Chapter
Most prefabricated and module home manufacturers are located in the Southeast, the Mid-Atlantic, the Great Lakes and the West. Establishments are typically located near upstream industries, such as sawmills, wood paneling manufacturers and millwork companies. Moreover, manufactured housing is a regional business and, according to Cavco's financial statements, the primary geographic market for a typical manufacturing facility is within a 350-mile radius.
The Southeast dominates with 25.6% of the nation's total manufacturers. Within the region, Tennessee is the largest producer with 4.6% of the nation's total manufacturers. Moreover, the industry's largest player, Clayton Homes is headquartered in the state. Ope.. purchase to read more