Modular Housing Production Act

The Modular Housing Production Act directs the Secretary of Housing and Urban Development (HUD) to review Federal Housing Administration (FHA) construction financing programs to identify barriers to using modular and manufactured home methods. The review should examine regulatory and programmatic features, including construction draw schedules, and identify administrative measures under the National Housing Act that could help modular developers. A report is due within one year with recommended policy and program changes to reduce barriers. The bill also requires a rulemaking process within 120 days after the report to consider an alternative draw schedule for modular and manufactured home financing, with opportunities for public comment. Additionally, the act authorizes a grant to study the feasibility of a standardized uniform commercial code for modular homes—focusing on module serialization, security, design streamlining, and coordination with financing incentives—and authorizes funds as needed to complete this study. In short, the bill aims to make FHA financing more modular-friendly by identifying and removing barriers, testing new loan disbursement approaches, and exploring standardized coding for modular modules to boost adoption and innovation in modular housing.