CLEVELAND, May 19, 2020 /PRNewswire/ -- According to Freedonia Group analysts, demand for modular housing (also known as system-built housing) is forecast to rise 5.2% annually to 23,700 units in 2024. Advances will be boosted by such factors as:
- homeowner interest in modular housing due to its perception as a high-end alternative to manufactured housing:
- Modular homes are built to local building codes – not the HUD Code – and thus more frequently offer modern features, such as enhanced energy efficiency.
- Modular homes are installed on foundations or slabs and are not designed to be moved after installation.
- the tendency for modular houses to be larger than manufactured units and more closely resemble site-built residences
- most modular units cost less than site-built homes
- increasing use of small modular homes – accessory dwelling units (ADUs) or "tiny homes" – that can be used to alleviate local housing shortages or provide multigenerational living options
- rising use of modular units in multifamily housing – units can be installed on each, or stacked, to create apartment complexes with similar designs that facilitate maintenance and the connection of utilities
Shipments of modular homes are anticipated to climb 5.3% per year to 23,300 units in 2024. Gains will be boosted by increasing domestic demand for modular housing. Tiny home production will see the fastest growth – albeit from a low base – due to their small size, which speeds up the production of these units.
Learn more about all types of Prefabricated Housing including the short-term negative effects of the COVID-19 pandemic in the new study.
About The Freedonia Group – The Freedonia Group, a division of MarketResearch.com, is a leading international industrial research company publishing more than 100 studies annually. Since 1985 we have provided research to customers ranging in size from global conglomerates to one-person consulting firms. More than 90% of the industrial companies in the Fortune 500 use Freedonia Group research to help with their strategic planning. Each study includes product and market analyses and forecasts, in-depth discussions of important industry trends, and market share information. Studies can be purchased at www.freedoniagroup.com and are also available on www.marketresearch.com and www.profound.com.
SOURCE The Freedonia Group