Shipments of modular homes totaled 10,600 in the second quarter of 2006, down 8.6 percent from the second quarter of 2005, according to the latest statistics released by the National Modular Housing Council. In the first six months of 2006, shipments of modular homes have totaled 19,900, down 7 percent from the same period in 2005.

Modular home shipment statistics are most enlightening in the context of the performance of the greater site-built homebuilding industry, which weakened markedly in the second quarter. In the second quarter, building permits for new single-family site-built homes declined 13.4 percent, year over year and are down over 7.4 percent through June 2006, compared to the same period in 2005.

Hallahan Associates currently tracks shipments of modular homes in 29 states for the NMHC. In the second quarter, shipments were up in 8 states, down in 19 states, and flat in 2 states, year-over-year.

States experiencing positive shipments growth in the second quarter were Florida, Missouri, Ohio, Vermont, Virginia, Colorado, Georgia and Maryland. Second quarter shipments were down in New Jersey, Rhode Island, Massachusetts, New York, Iowa, Pennsylvania, Nebraska, Minnesota, New Hampshire, Michigan, West Virginia, Connecticut, Indiana, Illinois, North Carolina, Wisconsin, Maine, Tennessee and Delaware. Shipments were essentially unchanged in South Carolina and Texas.

Promising trends in modular housing are developing in a number of states not currently tracked by NMHC. In Western states like Washington and California, modular housing has found a niche in urban areas which have experiences a dramatic escalation in construction costs. In more rural Western states like Wyoming and Montana, modular housing is also rapidly gaining market share. Modular activity is also growing steadily in the Gulf Coast region.

NMHC and MHI members can access more detailed information on the latest modular housing statistics in the forthcoming Quarterly Modular Housing Report, which will be soon be available online at www.modularcouncil.org. Others may subscribe to this report by contacting Bianca Lewis at 703-558-0667 or at blewis@modularcouncil.org.