Australia’s land lease community sector was valued at $13.5 billion in 2024 – and now its US equivalent, the manufactured homes market, is forecast to grow from US$13.74 billion in 2025 to US$18.92 billion by 2030.
According to a new report by Mordor Intelligence, the US sector is set to expand at a compound annual growth rate of 6.61%, driven by rising demand for affordable housing and stronger government support.
“One of the most significant drivers of the US manufactured homes market is the heightened demand for affordable housing,” the report states. “With home prices rising in urban and suburban areas, manufactured homes are becoming an increasingly attractive option for individuals and families priced out of traditional real estate markets. They offer the ability to own a home at a fraction of the cost of site-built houses, while still meeting federal safety and construction standards.”
Government programs and improved financing options are further boosting market confidence, while states such as Texas and Florida have adopted zoning and planning measures encouraging manufactured home development.
While single-section homes remain popular for affordability, the report highlights growing demand for multi-section homes, which offer larger spaces, modern layouts and more features aligned with traditional housing.
In 2024, the average new manufactured home in the US cost US$109,400, down 4% year-on-year. Multi-section homes averaged US$164,678, while single-section homes averaged US$81,281. Existing homes sold for an average of US$71,629 in 2023, up 2.65%.
Unlike the US – where prefabricated housing caters to all age groups – Australia’s $13.5 billion land lease market is targeted at over-50s and over-55s, depending on state regulations. Described as the country’s fastest-growing housing solution for “rightsizers,” the sector has seen strong growth, with Stockland’s Halcyon brand now holding market leadership.
The US report also identifies Texas, California and Florida as the largest manufactured home markets, citing strong population growth and favourable regulation. New York and Illinois are recording incremental growth as governments search for new affordable housing options.
