New Federal Act Boosts Manufactured Housing Affordability Nationwide

The 21st Century ROAD to Housing Act aims to expand manufactured housing affordability nationwide.

In July 2026, Congress passed this Act to tackle the U.S. housing shortage by easing barriers to manufactured housing, a sector offering homes at 35 to 73 percent of the cost of site-built houses. This structural shift could reshape housing policy by improving financing access, preserving communities, and enhancing data collection.

The Act encourages states to update zoning laws to allow manufactured homes wherever comparable site-built homes are permitted. Over the past six years, at least a dozen states have adopted laws to preserve and expand manufactured homes, and more than 20 states have enacted right-to-purchase laws protecting residents in land lease communities, which house nearly 40 percent of manufactured home residents. Despite HUD Code standards ensuring quality, outdated policies have limited mortgage options and development. Pew Charitable Trusts, the Lincoln Institute of Land Policy, and other stakeholders gathered in May 2026 to promote policy reforms outlined in the State Policy Playbook for Manufactured Homes. Consumer protections tied to these reforms could potentially save borrowers up to $50,000 on a $100,000 loan.

States now face the task of aligning their policies with the Act to unlock the potential of manufactured housing as a durable, affordable resource.

Removing zoning barriers and improving financing options might encourage broader adoption of manufactured homes, providing cost-effective housing solutions suited to Montana’s spread-out communities.

How States Can Make More Room for Manufactured Housing
By Governing