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Market Share for Modular and Other Non-Site Built Housing in 2024

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The total market share of non-site built single-family homes (modular and panelized) was just 3% of single-family homes in 2024, according to completion data from the Census Bureau Survey of Construction data and NAHB analysis. This is the same as the 3% share in 2023. This share has been steadily declining since the early-2000s despite the high-level of interest for non-site built construction. This low market share in fact runs counter to some media commentary on off-site construction suggesting recent gains. Nonetheless, there exists potential for market share gains in the years ahead due to the need to increase productivity in the residential construction sector.

In 2024, there were 28,000 total single-family units built using modular (13,000) and panelized/pre-cut (15,000) construction methods, out of a total of 1,019,000 single-family homes completed. It is worth noting that the Census definitions of off-site construction are relatively narrow. In a separate survey, the Home Innovation Research Labs Survey of U.S. Home Builders has a higher share for panelized construction (5-12%) due to a wider definition of “panelized” construction.

While the Census-measured market share is small, there exists potential for expansion. This 3% market share for 2024 represents a decline from years prior to the Great Recession. In 1998, 7% of single-family completions were modular (4%) or panelized (3%). This marked the largest share for the 1992-2024 period.

One notable regional concentration is found in the Midwest and the Northeast. These two regions have the highest market share of homes built using non-site build methods. In the Midwest, 7% (8,000 homes) of the region’s 136,000 housing units were completed using these methods. In the Northeast, 5% (3,000 homes) of the region’s 66,000 housing units were completed using non-site build methods. However, numerically, the South continues to be the biggest market for this type of construction where 13,000 homes were built using non-site build methods.

With respect to multifamily construction, approximately 3% of multifamily buildings (properties, not units) were built using modular and panelized methods. This is significantly lower than the 7% share in 2023 but on par with the average for the last 5 years. It is notable that modular construction method accounted for 2% of this share. In previous years it was only panelized construction methods that made up the higher share of non-site build methods in multifamily construction. Prior to last year, the highest levels of modular and panelized methods share in multifamily construction was in 2000 and 2011, where 5% of multifamily buildings were constructed with modular (1%) or panelized construction methods (4%).

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Bathroom of the Week: A Stylish Wet Room Built for Aging in Place

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After raising their daughter, a California couple shifted focus to caring for the wife’s elderly mother in their late-1970s home. To make the space safer and more functional, they prioritized updating their outdated primary bathroom, which had a cramped vanity and a hazardous step-up shower and tub.

They turned to Sea Pointe Design & Remodel, where lead designer Janna Parr reimagined the bathroom as a spacious wet room with a built-in tub and open shower featuring both a multifunction shower head and a hand shower. A new cherry double vanity adds warmth and storage, while a mix of calming, textured tiles brings style and serenity to this now safe, modern retreat.

Before Photo

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“After” photos by Leigh Ann Rowe

Bathroom at a Glance
Who lives here: A couple and the wife’s elderly mother
Location: Laguna Niguel, California
Size: 185 square feet (17 square meters)
Designer: Janna Parr of Sea Pointe Design & Remodel

Before: The aging bathroom, with its peeling floral wallpaper, lacked both safety and style. A basic angled wood double vanity had large plain mirrors and a hard-to-clean tile countertop. The only drawer storage came from a small makeup station in the center, leaving hair and skincare products cluttering the surface. “We had a challenge with the angled wall and did not want to turn it into a structural project,” Parr says. “We couldn’t really move walls. There was also a peeling soffit above with a fluorescent light that we wanted to eliminate.”

Across from the vanity, the step-up tub and shower (visible here in the mirrors) raised safety concerns and felt outdated. The homeowners chose to keep the water closet as is. “We didn’t change anything in there,” Parr says.

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After: Parr removed the tub, shower and double vanity to make way for a complete transformation, including updated plumbing and electrical systems.

An elegant semicustom cherry double vanity anchors the space. It offers a smart mix of shallow and deep soft-close drawers along with spacious cabinets for improved storage. A rich clove brown finish adds depth and warmth. “We wanted to make sure we had enough counter space and sink space,” Parr says. “We went with one long sink to achieve symmetry with the way we were planning to do the mirror and medicine cabinets above.”

The two frameless mirrored medicine cabinets flank a metal-framed mirror in an oil-rubbed bronze finish. Wall sconces with traditional torch-style silhouettes and brass accents sit on either side. “We fell in love with the detail on the top of the mirror,” Parr says. “It also bounces light around the bathroom, so it feels more open and airy.”

A soft, warm white now coats the walls and ceiling, while a bright white on the trim adds subtle contrast.

Paint colors: Shoji White (wall and ceiling) and Pure White (trim), Sherwin-Williams; sconces: Elton in Patina Brass, Troy Lighting; vanity hardware: Top Knobs; mirror: Colestin in oil-rubbed bronze, Rejuvenation

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Sea Pointe Design & RemodelSave Photo
The artisan-crafted 36-inch concrete trough sink gives the vanity a modern, organic feel. Its semivessel design adds visual depth, while two wall-mounted, single-handle faucets in a luxe gold finish bring a touch of sophistication. “We were looking at trough sinks in general because we wanted a long sink,” Parr says. “Color-wise it also tied into tiles we used in the shower. The semivessel sink design also offered some dimension and interest.”

Topping the vanity is a polished pure white quartz surface that’s resistant to scratches, stains, cracks and heat. “We had a lot of movement with the backsplash tile that was our feature and wanted something to complement but not compete,” Parr says. “It also ties into other white elements throughout the space.”

The backsplash consists of polished ivory onyx mosaic tiles in a scalloped design with tonal variation that adds texture and charm. “I think they add both luxury and whimsy,” Parr says. “They also add interest to an otherwise neutral palette. We also wanted to tie in some of the gold tones on this side of the bathroom with the gold tones seen around the tub.”

Sink: Native Trails; faucets: Litze in Brilliance Luxe Gold, Brizo; countertop: Pure White, Caesarstone; wall tile: Piano Onyx Ivory mosaic, Elysium

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A new linen closet at the back left now coordinates seamlessly with the updated double vanity, replacing a pair of aging upper and lower cabinets that were falling apart. “It has a rollout hamper inside and extra shelving that gives them lots of storage,” Parr says.

To enhance the existing tray ceiling, faux architectural beams were added where fluorescent lights once sat, adding both character and warmth. “That was a last-minute decision from the homeowners,” Parr says. “That was a splurge, but we had dreamed of adding them into the design to give it an old-world feel.”

A towel bar and hook near the vanity complement the space’s other luxe gold accents.

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Before Photo

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Before: Across from the vanity in the former bathroom, the hazardous step-up tub sat next to a dated stall shower with a low enclosure, which was also raised above the main floor level. “It was clumsy and slippery,” Parr says. “There was also a ‘fern trench’ from the 1970s there behind the tub and shower.” The trench area was meant to hold plants.

Before Photo

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Before: Here’s a closer look at the old shower beside the tub. With no shower niche, bathing products cluttered the floor, and the step-up entry was a key feature the homeowners were eager to eliminate.

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After: The new wet room seamlessly combines a modern built-in rectangular tub with an open-concept shower, creating a stylish, low-maintenance space with a low-curb entry for easier access. “It would have been cost-prohibitive to revise the foundation in order to garner a curbless entry,” Parr says. “But as a designer, I also liked the way we carried the tile across the curb and bench to elongate the space and create a modern organic look and Roman luxury influence.”

The operable window on the back wall was updated by the homeowners, while a textured microcement finish — an ancient European technique gaining popularity in the U.S. — was applied to the wall in thin layers for durability and waterproofing. “I just didn’t want it to feel busy, and wanted to eliminate more tile and more grout,” Parr says.

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The modern 36-by-66-inch acrylic tub is surrounded by large-format (24-by-48-inch) polished marble-look porcelain tiles. These rectified tiles, made using advanced inkjet technology, offer a realistic appearance and are precisely cut for minimal grout lines, creating a sleek, seamless look.

A streamlined, wall-mounted tub filler in a gold finish with lever handles replaced the original fixture. “Keeping the plumbing in the same location allowed us to keep within our budget,” Parr says. The paneled door partially visible at left leads to the primary bedroom.

Tile surround: Origines Or glossy, 24 by 48 inches, Elysium; tub filler: Litze in Brilliance Luxe Gold, Brizo

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The wet room’s shower area features a multifunction, wall-mounted shower head and a separate hand shower with a slide bar for flexibility and ease of use. All the fixtures match those used at the tub and vanity for a cohesive, polished look. “We strategically placed the fixtures so the valves are off to the side, so they can’t get wet when turning them on,” Parr says. “We also designed the shower bench a bit shorter so a caregiver can help with bathing.”

The upper portion of the shower wall is clad in 3-by-12-inch ivory ceramic tiles with subtle tonal variation, soft texture and a gentle glaze. “We did a staggered vertical pattern to kind of mirror the backsplash at the vanity,” Parr says.

Below, 24-by-48-inch matte sand-colored porcelain tiles add visual depth and contrast. A quartz-topped shower shelf, matching the vanity countertop, offers a clean, dry space for hair and body products, keeping clutter off the wet-room floor.

Shower fixtures: Litze in Brilliance Luxe Gold, Brizo; shower wall tile (top): Flash in ivory, 3-by-12-inch, Arizona Tile; shower wall tile (bottom): Waystone Sand, 24-by-48-inch, Elysium

Sea Pointe Design & RemodelSave Photo
The wet-room floor features authentic limestone mosaics with an aged finish, arranged in a herringbone pattern with driftwood-hued grout. A linear drain is seamlessly integrated using the same tile for a clean, cohesive look. “The more natural materials I can incorporate into a space will make it feel timeless and luxurious,” Parr says. “They also can take on a lot of water and abuse.” A custom spot-resistant shower glass divider with brass clips and hinges adds to the open, airy feel.

The doors just outside the wet room lead to the water closet — located behind the shower fixtures — and a walk-in closet on the adjacent wall. “The thoughtful design and layout for functionality was a primary focus,” Parr says, “but the clients put full faith and trust in me to create a layered bathroom with multiple textures, sheens and touches of luxury.”

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This article was originally published by a www.houzz.com . Read the Original article here. .

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Almost Half of the Owner-Occupied Homes Built Before 1980

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Around 48% of the U.S. housing stocks dates back to the 1980s and earlier. The median age of owner-occupied homes has climbed to 41 years in 2023, up from 31 years in 2005 according to the latest data from the American Community Survey[1]. The U.S. owner-occupied housing stock has aged rapidly particularly, particularly since the Great Recession, as the residential construction continues to fall behind in delivering new homes.

Currently, new home construction faces headwinds such as rising material costs, persistent labor shortage and elevated interest rates. These challenges have contributed to an insufficient supply of new construction, making the nation’s owner-occupied housing stock significantly older over time. As a result, the aging housing stock signals a future growing remodeling market. Older structures require updates to add new amenities or need repairs or replacements of old components.

Moreover, the lock-in effect from historically low mortgage rates during the pandemic period has led many homeowners to stay put and renovate their existing homes to accommodate the growing needs of their families. Over the long run, the aging of the housing stock implies that remodeling may grow faster than new construction.

From 2020 to 2023, new construction added nearly 2.6 million owner-occupied homes, accounting for only 3% of total owner-occupied housing stock as of 2023. Relatively newer homes built between 2010 and 2019 took up around 9% of the stock, while those constructed between 2000 and 2009 made up 15%. In contrast, around 48% of the owner-occupied homes were built before 1980, including around 35% built before 1970.

Due to modest supply of housing construction, the share of relatively newer owner-occupied homes (those built within past 13 years) has declined greatly, from 18% in 2013 to only 12% in 2023. Meanwhile, the share of older homes that are at least 44 years old has increased significantly, rising from 39% in 2013 to 48% in 2023. This shift further reflects the ongoing aging of the U.S. housing stock, highlighting the growing importance of the remodeling sector to address the growing needs of homeowners nationwide.

[1] : Census Bureau did not release the standard 2020 1-year American Community Survey (ACS) due to the data collection disruptions experienced during the COVID-19 pandemic. The data quality issues for some topics remain in the experimental estimates of the 2020 data. To be cautious, the 2020 experimental data is not included in the analysis.

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New Homes Built with Private Wells and Individual Septic Systems in 2023

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Shares of new single-family homes built with private wells and individual septic systems decreased in 2023, compared with the previous year. NAHB tabulation of data from the Survey of Construction (SOC) indicates approximately 9% of new single-family homes started in 2023 were served by individual wells and 17% had private septic systems. There are large variations for these shares across the nine Census divisions with the corresponding shares reaching 26% and 38% in New England – the highest occurrence rates in the nation.

Nationally, 9% of new single-family homes started in 2023 were served by individual wells, with the majority relying on public water systems, which include community or shared supplies. In New England, where the median lot size is almost 3 times larger than the national average, 26% of new homes used private wells. Private wells were also common in the East North Central division, where nearly 22% of new homes had them. The Middle Atlantic division had the third-highest share at 14%. These divisions, along with the South Atlantic division (13%), surpassed the national average of 9%. Conversely, individual wells were rare in the East South Central and West South Central divisions, accounting for only a 1% share.

For sewage disposal, 82% of new homes were connected to public sewers (including community or shared sewage/septic systems) in 2023, and 17% utilized individual septic systems. The share of individual septic system decreased from 18% in 2022 to 17% in 2023.

The use of individual septic systems varied by division. In New England, 38% of new homes had private septic systems, while the East South Central, South Atlantic, and East North Central divisions reported 30%, 25%, and 23% shares, respectively. These shares, including the Middle Atlantic (18%), were above the national average of 17%. Shares were below average in the Mountain (10%), West North Central (10%), Pacific (8%), and West South Central (6%) divisions.

Compared to the previous year, the proportion of new single-family homes with individual septic systems fell in five out of nine divisions. Notably, New England saw a decrease from 46% in 2022 to 38% in 2023. Meanwhile, the Pacific, Middle Atlantic, South Atlantic, and East South Central divisions experienced slight increases, ranging from 1% to 2%.

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Market Share for Modular and Other Non-Site Built Housing in 2023

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The total market share of non-site built single-family homes (modular and panelized) was just 3% of single-family homes in 2023, according to completion data from the Census Bureau Survey of Construction data and NAHB analysis. This is a slight increase from the 2% share in 2022. This share has been steadily declining since the early-2000s despite the high-level of interest for non-site built construction. This low market share in fact runs counter to some media commentary on off-site construction suggesting recent gains. Nonetheless, there exists potential for market share gains in the years ahead due to the need to increase productivity in the residential construction sector.

In 2023, there were 27,000 total single-family units built using modular (12,000) and panelized/pre-cut (15,000) construction methods, out of a total of 999,000 single-family homes completed. It is worth noting that the Census definitions of off-site construction are relatively narrow. In a separate survey, the Home Innovation Research Labs Survey of U.S. Home Builders has a higher share for panelized construction (5-12%) due to a wider definition of “panelized” construction.

While the Census-measured market share is small, there exists potential for expansion. This 3% market share for 2023 represents a decline from years prior to the Great Recession. In 1998, 7% of single-family completions were modular (4%) or panelized (3%). This marked the largest share for the 1992-2023 period.

One notable regional concentration is found in the Northeast and Midwest. These two regions tie for the highest market share of homes built using non-site build construction methods. In the Northeast, 5% (4,000 homes) of the region’s 61,000 housing units were completed using non-site built construction methods. At the same time, in the Midwest, 5% market share (6,000 homes) of the region’s 126,000 housing units were completed using non-site build construction methods.

With respect to multifamily construction, approximately 7% of multifamily buildings (properties, not units) were built using modular and panelized methods, marking the highest level in the last two decades. This is significantly higher than the 2% share in 2022 and 1% share in 2018-2021. It is notable that modular construction methods accounted for 5% of this share, whereas in previous years it was only panelized construction methods that made up the small share of non-site build methods in multifamily construction.  Prior to last year, the highest levels of modular and panelized methods share in multifamily construction was in 2000 and 2011, where 5% of multifamily buildings were constructed with modular (1%) or panelized construction methods (4%).

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Homes Built in Age-Restricted Communities

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Of the roughly 950,000 single-family and 470,000 multifamily homes that started construction in 2023, 49,000 (30,000 single-family and 19,000 multifamily) were built in age-restricted communities, according to NAHB tabulation of data from the Census’s Survey of Construction. A residential community can be legally age-restricted, provided it conforms to one of the set of rules specified in the Housing for Older Persons Act of 1995. 

NAHB was first successful in persuading HUD and the Census Bureau to collect and publish data on the age-restricted status of new homes in 2009, during the depths of the housing downturn. In 2009, builders started only 17,000 homes in age-restricted communities (9,000 single-family and 8,000 multifamily).  The numbers then increased steadily until reaching 60,000 age-restricted starts (roughly evenly split between single-family and multifamily) in 2018. These numbers fell during the pandemic but rebounded in 2021-2022, almost reaching the peak from 2018.  

In 2023, the total number of age-restricted home starts decreased by approximately 17% from 2022, down to 49,000. Overall, housing starts were lower than the previous year, with single-family and multifamily starts dropping by about 6% and 14%, respectively. However, age-restricted home starts showed a mixed trend: they increased for single-family homes but declined for multifamily homes. This shift was due to a higher percentage of single-family home starts being age-restricted compared to the previous year, while a lower percentage of multi-family home starts fell into this category. 

The SOC data allow for a comparison of the characteristics of new age-restricted single-family homes with other single-family homes started in 2023. The analysis reveals that age-restricted homes were more expensive, with a median price of $500,000, compared to $422,000 for non-age-restricted homes. This follows a similar tendency observed in 2022, when age-restricted homes had a median price of $547,000, compared to $461,000 for non-age-restricted homes.

However, in 2022, the median size was the same for both types of homes, making age-restricted homes more expensive per square foot. In 2023, on the other hand, the median size was 200 square feet larger for age-restricted homes, resulting in the same median price per square foot for both types of homes at $152.63. A difference was also apparent in lot value. Although the median lot size was the same for age-restricted and non-age-restricted lots (0.2 acres), the median value for age-restricted lots was $50,000 compared to $60,000 for non-age-restricted lots.

Additional data from the 2023 SOC reveal that age-restricted homes have distinct characteristics compared to non-age-restricted homes. A higher percentage of age-restricted homes are attached, single-story, and lack a basement. These homes are also more likely to come with patios and porches, but less likely to have decks.  Finally, age-restricted homes are less likely to require a loan and more likely to be purchased for cash, as home buyers who are older have had more of a chance to accumulate the savings and assets (often equity in a previous home) that can be converted to cash.

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