The Modular Building Construction Act was adopted by the legislature in 1984, to establish a single, uniform, regulatory process under state authority, to govern the construction, inspection, certification and sale of all modular buildings.

Modular buildings are structures fabricated at a manufacturing facility and shipped in one or more components for final erection on the construction site. The distinction between Manufactured housing and modular construction is determined by the codes and standards by which they are built. Modular buildings are constructed to the very same codes and standards that would be used to site build structures anywhere in the state and can be constructed in any type of construction and for any occupancy classification permitted by the building code.

Modular buildings are recognized by law to be equal in all respects to site built buildings.

Modular buildings must be erected on site by either a SC licensed homebuilder, for residential structures and a SC licensed general contractor for residential, commercial and industrial structures. Local zoning ordinances cannot discriminate against or rule out modular construction simply because it is fabricated in a manufacturing facility.