Key facts
- Saluda Grade invested $20 million in Zippy's Series C funding round.
- Zippy plans to use the capital to expand beyond its current 27-state footprint.
- Zippy has secured over $600 million in capital commitments for its lending strategy.
- Manufactured homes accounted for an estimated 5% of U.S. households in 2024.
- The 21st Century ROAD to Housing Act was signed into law in July.
Saluda Grade has invested $20 million in Zippy, a company specializing in originating and servicing loans for manufactured housing. The Series C funding round, announced Wednesday, will support Zippy's expansion into new states, the development of new financial products, and enhancements to its technology and balance-sheet capacity.
Founded in 2021 by former JPMorgan Chase bankers Ben Halliday and Jordan Bucy, Zippy has developed a proprietary loan origination system and has already secured over $600 million in capital commitments. Saluda Grade, which manages $4.1 billion in assets, will collaborate with Zippy on credit, capital markets, balance-sheet management, and product development.
"Manufactured housing is already one of the most compelling affordable homeownership solutions in America, but it needs a financing system that is just as modern and efficient as the homes themselves," Halliday stated. John Stepp, head of ventures at Saluda Grade, noted that Zippy is targeting a segment historically overlooked by mainstream mortgage lenders, presenting a compelling opportunity.
Manufactured housing is gaining prominence in discussions about affordable housing, especially as traditional single-family home prices and mortgage rates remain high. According to the Manufactured Housing Institute, manufactured homes represented an estimated 5% of U.S. households in 2024 and 9% of single-family housing starts in 2025.
Regulatory changes are also supporting the sector. The 21st Century ROAD to Housing Act, enacted in July, includes a provision to remove a 1974 mandate requiring permanent steel chassis for manufactured homes, potentially reducing costs and allowing for more innovative designs. In early October, the U.S. Department of Housing and Urban Development (HUD) unveiled its Next Generation Manufactured Housing Action Plan, outlining seven initiatives to modernize the manufactured housing code in line with the ROAD Act.