Who Lives in Manufactured Housing Communities?
Manufactured housing communities (MHCs) are home to more than 22 million Americans and provide one of the last truly affordable housing options in the United States. Understanding the resident base is essential for investors because tenant stability, income levels, and motivations directly impact both operations and returns.
The affordability driver?
Manufactured homes cost far less than comparable site-built houses, with an average price of about $108,000 compared to $365,000 for a traditional home. The average space rent in MHCs is roughly $596 per month, more than 50% below the cost of a typical two-bedroom apartment at $1,345. It is no surprise that 71% of residents cite affordability as the main reason for choosing this housing option.
Because affordability is such a strong factor, residents tend to stay put. Moving a home can cost $10,000 to $15,000, and nearly 90% of manufactured homes are never moved once installed. National surveys show that 62% of residents anticipate living in their community for more than ten years, and 38% do not expect to ever sell their home. This creates “stickiness” that is far stronger than conventional apartments.
All Age Communities vs. 55+ Age-Restricted Communities
All-Age Communities: All age MHCs are primarily working-class communities filled with families, young couples, and individuals seeking affordable homeownership. Household incomes typically range between $30,000 and $60,000, with 73% of households earning under $60,000 per year. Employment often spans service industries, construction, logistics, retail, and healthcare support.
These residents value stability: they want safe neighborhoods, schools nearby, and the pride of owning a home while still paying less than local rents. The ability to own a home and rent only the land makes manufactured housing particularly appealing for families trying to stretch their incomes while building roots.
55+ Age-Restricted Communities: Roughly one-third of MHC residents live in age-restricted 55+ communities. These are often retirees or near-retirees downsizing from traditional homes. Many live on fixed incomes—Social Security, pensions, or retirement savings—making affordability a key factor. Surveys show that 35% of MHC residents are retired and not inclined to move.
In these communities, retention is even stronger than in all age parks. Residents are highly unlikely to relocate once settled, as moving is both financially and emotionally difficult. These parks also offer social bonds, lifestyle amenities, and a sense of security that seniors value.
A Resident Base that Sticks
What sets manufactured housing communities apart from other real estate asset classes is not just affordability but the loyalty and stability of the resident base. Once a manufactured home is placed in a community it is rarely ever moved. Nearly 90% remain on their first site for the life of the home. With moving costs often running $10,000 to $15,000, relocation is simply impractical and most residents settle into their community for the long haul.
This stability is reinforced by pride of ownership. More than 80% of residents own their homes but lease the land beneath them, creating a unique mix of autonomy and affordability. Homeownership fosters responsibility, upkeep, and stronger community ties compared to traditional rental housing where turnover can exceed 50% annually. By contrast, surveys show that 62% of manufactured housing residents expect to stay for more than 10 years, while 38% do not anticipate ever selling their home.
Another factor driving stickiness is the lack of alternatives. With apartment rents climbing and single family homes priced out of reach for most working class and fixed income households, manufactured housing represents the only sustainable path to homeownership. For retirees the model offers low costs, security, and a built in social network. For working families it provides the ability to build stability in a safe environment without sacrificing financial flexibility.
This stability has also proven remarkably durable across economic cycles. During recessions demand for affordable housing only increases, and manufactured housing consistently outperforms other real estate sectors. Between 2004 and 2018, including the depths of the Great Recession, net operating income for mobile home communities grew by nearly 90%, underscoring the resilience of the asset class. Even through periods of economic uncertainty such as 2008 and the pandemic, residents continued to pay rent and stay in place, reflecting the essential nature of this housing.
Together these elements create a resident base that is unusually consistent and reliable. Communities become more than just housing. They evolve into neighborhoods where people know their neighbors, watch out for one another, and put down roots. For investors this translates into stable collections, lower turnover expenses, and long term cash flow that is not only steady but also recession resistant. For residents it means the peace of mind of knowing they can stay in a place they are proud to call home.
