The Regulatory Shift: New Protections for Manufactured Home Communities

Manufactured home communities house over 22 million Americans. For many residents, their home is their largest investment — but they don't own the land underneath it. That power imbalance has made manufactured home communities a growing focus for state legislatures, and 2026 is shaping up as a landmark year for new protections.

Three states — Virginia, Pennsylvania, and North Dakota — are leading the charge with legislation that directly impacts how community operators handle fees, rent increases, and utility billing. For the full regulatory landscape, see our 2026 Compliance Guide, and learn how a modern utility billing platform helps operators stay ahead of these requirements.

Virginia HB 374: Itemized Charges and Rent Increase Restrictions

Virginia's HB 374 modifies the Manufactured Home Lot Rental Act with two significant changes:

First, full fee transparency. Landlords must itemize all charges on the first page of the rental agreement, with a clear statement that no additional charges may be imposed unless specifically listed. This eliminates the practice of adding fees mid-tenancy that weren't part of the original agreement.

Second, a conditional freeze on rent increases. The bill prohibits lot rent increases at renewal if the community has received an unresolved notice of violation of zoning, building, or fire code — or an inspection report listing habitability violations. In other words: fix your property before you raise the rent.

The bill passed the Virginia House 61-35 on February 17, 2026. If registration requirements are approved, they begin within 180 days of July 1, 2026.

Status: Passed the General Assembly. Advancing toward enactment.

Pennsylvania HB 1250: CPI-Tied Rent Caps

Pennsylvania's HB 1250 takes a more sweeping approach. The bill amends the Manufactured Home Community Rights Act to:

• Tie annual lot rent increases to the Consumer Price Index (CPI) — eliminating arbitrary or excessive increases
• Require 90 days' written notice before any rent or fee increase takes effect
• Prohibit rent increases during the lease term — changes can only happen at renewal
• Guarantee residents the right to form associations and meet on community property

The bill passed the Pennsylvania House 144-59 on June 10, 2025, with strong bipartisan support. A companion bill, SB 745, has been introduced in the Senate. The legislation responds directly to concerns about private equity firms purchasing communities and dramatically increasing lot rents — a practice affecting Pennsylvania's approximately 56,000 manufactured-home households.

Status: Passed House 144-59. Pending in Senate Urban Affairs & Housing Committee.

North Dakota SB 2385: Metering, Licensing, and Receivership

North Dakota's SB 2385 was signed into law on April 23, 2025 — the most comprehensive mobile home park regulation the state has enacted.

Key provisions include:

• Direct water metering required: If park owners charge tenants for water usage, they must install a direct meter for each unit. This eliminates estimated billing and allocation-based charges.
• State receivership authority: The state can appoint a receiver to manage parks with serious health or safety violations — a powerful enforcement mechanism.
• Annual ownership reporting: Park owners must file annual reports with the state, increasing accountability and making ownership structures transparent.
• Tenant eviction defenses: New protections against retaliatory or unjust evictions.

Status: Signed into law. Effective as of April 23, 2025.

Why Manufactured Home Communities Are Getting Legislative Attention

The surge in manufactured home community legislation isn't happening in isolation. Three forces are driving it:

Private equity acquisition. As institutional investors purchase manufactured home communities, residents face rapid rent increases and fee additions. Pennsylvania's HB 1250 directly targets this trend, and Virginia's HB 374 creates accountability mechanisms.

Utility billing disputes. Manufactured home parks often bill utilities differently than traditional multifamily properties. North Dakota's requirement for direct metering addresses the most common complaint: tenants being charged for water they didn't use, based on allocation methods they can't verify.

Regulatory gaps. Unlike apartment complexes in most states, manufactured home communities have historically operated with minimal oversight. Bills like North Dakota's SB 2385 — with its receivership provisions and annual reporting — are closing those gaps.

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What Community Operators Should Do Now

The legislative direction is clear: manufactured home communities will face the same billing transparency, fee disclosure, and tenant protection requirements that traditional multifamily properties increasingly face. Here's how to get ahead of it:

• Itemize every charge in your rental agreements. Virginia's HB 374 makes this explicit, but the principle is spreading. If a fee isn't in the lease, you shouldn't be charging it.
• Install direct meters for water. North Dakota now requires it. Other states are watching. Direct metering eliminates allocation disputes and gives residents verifiable bills they can trust.
• Budget for CPI-based rent increases. If Pennsylvania's model spreads — and the political momentum suggests it will — operators need to plan for rent increases tied to inflation, not market conditions.
• Resolve code violations immediately. Virginia's conditional rent freeze means outstanding violations can directly impact your revenue. Don't let deferred maintenance become a financial liability.
• Invest in transparent billing technology. As regulatory requirements increase, manual billing processes become compliance risks. Platforms that generate itemized, auditable bills protect both operators and residents.

The manufactured home community sector is entering a new era of regulation. Operators who treat transparency and resident protections as opportunities — not burdens — will be best positioned for what comes next.

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Sources: Virginia Legislature (HB 374), Pennsylvania Legislature (HB 1250), Housing Alliance of Pennsylvania (community protections), PA House of Representatives (press release), North Dakota Legislature (SB 2385).

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