Modular Housing Production Act

Key Points

• The bill requires the Department of Housing and Urban Development to study why current federal loan programs make it hard for builders to use modular home methods. Modular homes are built in pieces in a factory and then put together on a permanent foundation at a building site.
• One major focus is changing the payment schedule for construction loans. Current rules often pay builders only after work is finished at the site, which is difficult for modular builders who need money to pay for factory work before the home arrives.
• Within one year, the government must release a report suggesting ways to fix these problems. After that, officials have 120 days to start making new rules that could create a better payment system for modular and manufactured home builders.
• The bill also allows for a study on creating a standard code for modular home parts. This would help track and secure different pieces of a home as they are built and moved, which could make the whole process faster and cheaper.

Impact Analysis

Govbase has not yet run an impact analysis on this legislation.