France Manufactured Homes Market - Growth, Trends, COVID-19 Impact, and Forecast (2023-2028)

The size of the France Manufactured Homes Market is USD 3.10 billion in the current year and is anticipated to register a CAGR of over 4.5% during the forecast period.

Key Highlights

• COVID-19 has slightly impacted the manufactured homes market in France. Due to COVID-19 restrictions, many construction projects were delayed or canceled. In addition, the pandemic has disrupted all manufacturing supply chains, but that does not last for a long time. After easing the restriction, the market witnessed slow growth.
• Manufactured home adoption is gaining traction in France, which is majorly driven by the increasing population, rapid urbanization, and increasing demand for residential units. Moreover, the growing shortage of construction materials resulted in higher construction prices in the country which further resulted in the consumers’ shift towards mobile homes.
• Moreover, in 2022, a social outreach organization, offering compact tiny houses on wheels. In order to develop these homes, AMISEP involved homeless people and trained them in building tiny homes, and these homes are gaining traction in areas with high demand for small-scale housing units. Thus, the growing demand for tiny homes will drive the manufactured homes market in France.

France Manufactured Homes Market Trends

Rise in Adoption of Manufactured Homes in France

The manufactured homes sector is witnessing significant growth in France, majorly driven by increasing population, urbanization, sustainability factors, and a growing preference for second home ownership. In 2022, the second homes market saw rising demand in the country, despite fears over Brexit-induced changes. British citizens emerged as major second home purchasers in the country. In addition, French people from Paris and Bordeaux are purchasing properties in the country, further driving the demand for manufactured homes.

Moreover, tiny homes named after the country, France tiny homes are gaining traction in the country. They have a compact footprint and encourage a more affordable lifestyle. In addition, these tiny houses are more like tiny cottages which can serve very well for short getaways in the country. These tiny houses are designed by an international design studio based in the Czech Republic, which has specialized in experimental projects.

Meanwhile, France's tiny homes are budget friendly and easily save up to USD 70,000. The tiny home costs around USD 1,200, where more than USD 190 is spent on design and planning, and the rest is spent on buying and building the 21 insulated panels, which will go into the house building. To meet the increasing demand for manufactured homes in 2021, more than 164,700 tons of prefabricated buildings (whether complete or assembled) are imported into the country, at a growth rate of 15% compared to the previous year.

Increasing Costs of Construction is Driving the Market

In 2022, inflation has accelerated the construction sector, and construction of new home costs, and building development are witnessing significant price pressure. In addition, in April 2022, construction costs increased by more than 7% for new building erection and 11.2% for the civil engineering segment. In addition, in Q1 2022, housing development prices witnessed a growth rate of 8.4% when compared to the same period in the previous year.

Moreover, labor productivity in the construction industry is lagging in the country. In addition, a shortage of raw materials also results in delays in construction and further raises overall production costs. In 2021, the shortage of construction materials increased due to the incident on the Suez Canal, and more recently in 2022, the Ukraine war resulted in energy shortages, which is utilized in the manufacturing of construction materials.

Meanwhile, in June 2022, as per Eurostat, France construction companies are facing challenges, such as labor shortage, which is limiting their activity, and more than 40% of the companies are facing a shortage of construction materials and equipment, further resulting in work delays. These all factors further boost construction costs in the country. Thus, French people are choosing manufactured homes over conventional ones.

France Manufactured Homes Market Competitor Analysis

The report covers major players operating in France's manufactured homes market. The market is highly competitive and fragmented in nature, with none of the players occupying a major share of the market. To remain competitive in the market, the major players in the market are constantly working to enhance their product offerings to meet the changing needs of the manufactured homes market. Some of the major players in the market include IRM, Baluchon, Clayton, siblu, etc.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support