Prefabricated Wood Building Manufacturers NAICS 321992
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Industry Summary
The 656 prefabricated wood building manufacturers in the US produce modular homes and commercial building units, log cabins, detached garages, sheds, sauna rooms, gazebos, wooden geodesic domes, and farm buildings such as barns, chicken coops and corn cribs. This industry does not include mobile home manufacturers, although some modular building manufactures also offer mobile homes and park models.
Variable Building Material Prices
Prefabricated wood building manufacturers rely on supplies of lumber, particle board, drywall, electrical wiring, plumbing fixtures, windows and doors, roofing and siding materials, insulation, flooring materials, cabinets, paint, and hardware.
Demand for Affordable Housing
Firms stand to benefit by working with land developers, lenders, and the government in creating affordable housing projects.
Recent Developments
Jan 10, 2026 - Martha Stewart Lends Signature Style to Prefabricated Homes
- Martha Stewart’s influence is expanding from lifestyle branding into housing design with the launch of the Martha Stewart Iconic Estate Housing Collection, a line of four prefab homes modeled on the lifestyle maven's own homes, according to Architect Magazine. Developed with Marquee Brands and Hapi Homes, the collection distills Stewart’s signature aesthetics into panelized, light gauge steel structures engineered for faster construction, lower carbon impact, and greater affordability. The homes, designed to meet Passive House standards, can be delivered in as little as four to twelve weeks and start at $150,000 for accessory units and $450,000 for full-size models. By turning Stewart’s domestic ideals into scalable, customizable products, the project signals a broader shift in prefab housing.
- Seasonally softer lumber prices may ease margin pressures for prefabricated wood building manufacturers. In the second week of January 2026, commodity prices for lumber were about $530 per thousand board feet - near the lowest levels since October 2024, according to Trading Economics. Weak demand combined with upticks in supply helped push prices lower. A sluggish housing market and persistently high mortgage rates in the range of 6% have kept a lid on new housing starts and large remodeling projects. Production cuts by Canadian sawmills have been offset by increasing supplies from the US South, increasing lumber availability. Inventories became elevated during the holiday season amid weak buyer demand and minimal seasonal restocking.
- Sales of existing US homes increased by 0.5% in November from October and were up 1% year-over-year, according to the National Association of Realtors (NAR). NAR chief economist Lawrence Yun said, "Wage growth is outpacing home price gains, which improves housing affordability. Still, future affordability could be hampered if housing supply fails to keep pace with demand." Existing home sales help drive demand for prefabricated buildings, including sheds and auxiliary dwelling units (ADUs).
- North American multifamily construction spending in 2026 is expected to decline 2% after dropping a projected 9% in 2025, according to FMI’s fourth-quarter 2025 North American Engineering and Construction Outlook. Many multifamily markets have seen higher vacancy rates and weaker rent growth in recent years after an influx of new supply created a glut. However, more recently, absorption has outpaced new supply and rent growth and vacancies are showing signs of improvement. One bright spot is modular multifamily housing projects, which is forecast to rise 5% per year through 2029. The overall multifamily market is expected to see construction spending increase by 5% in 2027, 8% in 2028, and 9% in 2029.
Industry Revenue
Prefabricated Wood Building Manufacturers
Industry Structure
Industry size & Structure
A typical prefabricated wood building manufacturing firm operates out of a single location, employs about 36 workers, and generates about $12 million annually.
- The prefabricated wood building manufacturing industry consists of about 656 companies which employ about 23,600 workers and generate about $7.9 billion annually.
- Just 50 firms have 100 or more workers.
- The industry is somewhat concentrated: the 20 largest firms represent just 3% of the total number of firms but they control 57% of industry revenue.
- Large companies include Skyline Champion (modular homes), Southland Log Homes, Backyard Products (sheds, gazebos), Country Carpenters (barns and sheds), and JDM Structures (barns and sheds).
Industry Forecast
Industry Forecast
Prefabricated Wood Building Manufacturers Industry Growth
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