Dive Brief:
- Texas cities can no longer ban manufactured housing outright under a state law that went into effect Sept. 1.
- The law, passed last year by the state legislature, requires municipalities to permit manufactured housing by right in at least one residential zoning district without mandating a specific use permit. The homes must comply with U.S. Department of Housing and Urban Development codes.
- Approximately a third of the state’s more than 1,200 cities need to update their zoning codes to comply with the new law, according to a Texas Manufactured Housing Association analysis earlier this year.
Dive Insight:
As rising costs push starter homes out of reach for many, manufactured housing — which can cost around $123,000 on average, according to NerdWallet — represents a more affordable option. But local zoning regulations prevent manufactured housing from gaining traction in some cities.
The Texas legislation “enhances predictability for developers and residents, aligns local regulations with federal housing standards, and supports greater access to affordable homeownership,” according to the bill’s sponsor, Republican State Sen. Pete Flores.
Texas cities must also identify where manufactured housing is permitted on their zoning maps, according to the Texas Lawyer Referral Service.
Manufactured home construction has lagged compared with its late-20th century heyday. The 21st Century ROAD to Housing Act passed by Congress this year nixes some federal regulations surrounding their construction and could make the housing type cheaper to build.
“America needs more housing, and manufactured housing is part of the solution,” HUD Secretary Scott Turner said in a news release this summer.