- HUD’s Oct. 7 Next Generation Manufactured Housing Action Plan updates HUD Code standards to implement the 21st Century ROAD to Housing Act, which became law in July.
- The law eliminated the permanent chassis rule dating to the 1970s, which could add as much as $10,000 to the cost of a new unit.
- HUD plans a federal code for residential structures with five or more units, which could create a national path for repeatable multifamily construction using factory-built product.
HUD unveiled a manufactured housing plan on Oct. 7 to modernize how the affordable housing type is built, according to Multifamily Dive. The action plan carries out the ROAD to Housing Act.
That law, enacted in July, eliminated the requirement that manufactured homes sit on a permanent chassis.
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Why the Chassis Mandate Mattered
Output of manufactured homes has shrunk from the peak of the 1970s and 1980s while starter homes slip out of reach. A 1970s-era chassis mandate contributed, tacking up to $10,000 onto each new unit.
HUD called repeal especially significant for factory-built housing. FHA acting assistant secretary Joe Gormley said it invites a rethink of how homes are designed, shipped, assembled and regulated so first-time buyers have more supply.
Inside the Seven Steps
The plan revises efficiency standards, rewrites technical rules for chassis-free homes and sets installation requirements for them. It also commissions research on how off-chassis housing performs in the field.
HUD intends to look at a wider range of housing types and designs now that the old rule is gone. Cities and counties facing severe shortages are looking for exactly this kind of lower-cost option.
A Federal Code for Larger Buildings
HUD also wants a federal safety and construction code, built around performance, for buildings of five or more units, covering gaps such as fire separation, accessibility and stairs. The agency says a single federal framework could open a national route to repeatable multifamily construction.
A separate on-ramp would give manufacturers guidance on factory certification, design approval and quality assurance, with the aim of lowering barriers to entry.
Why It Matters
Lower unit costs and consistent federal rules could help factory-built product compete on affordable supply. Local policy still matters, as the debate over mobile home park rent stabilization shows.
Communities such as the Waller community, offering homes under $90K, are the kind of product this shift targets.
What’s Next
HUD still has to draft the revised regulations and the new multifamily code. Watch for proposed rules and for how fast manufacturers use the on-ramp.
