Manufactured Homes in the News 100923 presents Factory Built Housing Industry News at Noon with Erin Patla.

We begin with these stories:

THE SANTA MONICA DAILY PRESS reports that Santa Monica officials have found a solution to the City Council’s Arizona boycott dilemma. After passing a ban over that state’s controversial illegal immigration policy, the city council rejected a low bid from Cavco and all other proposals and then authorized city staff to sidestep the normal bid solicitation process in order to negotiate directly with home manufacturers on the open market. This week city officials said the move paid off: the low bid has been matched by California-based Golden West Homes. Based in the Inland Empire city of Perris, Golden West is also 310 miles closer to Santa Monica than Cavco, so as the report indicates, the new proposal would also cut down on carbon emissions generated during the homes’ delivery.

U.S. HOUSE PRICES fell 0.5 percent on a seasonally adjusted basis from June to July, according to the Federal Housing Finance Agency’s monthly House Price Index. The previously reported 0.3 percent decline in June was revised to a 1.2 percent decline. The unusually large revision mainly reflects the addition of new data from late June that show considerably weaker prices than earlier in the month. For the 12 months ending in July, U.S. prices fell 3.3 percent. The U.S. index is 13.8 percent below its April, 2007 peak.

The FHFA monthly index is calculated using purchase prices of houses backing mortgages that have been sold to or guaranteed by Fannie Mae or Freddie Mac.

Modular homes in the news…

NEWS1130 IN VANCOUVER, British Columbia reports that city is considering an innovative way to deal with homeless people on their streets. Council has put out the call for modular home designers to pitch their ideas. Councilor Kerry Jang told the reporter the homes would not be only for the homeless, but also for people on low incomes who need time to save up enough money in order to buy a home in the future.

“Up next, Manufactured Housing in the News…

But first, this podcast of News at Noon is sponsored in part by:

Precision Capital Funding, on the Web at Precision Capital Funding earned the MHI 2010 Service Supplier of the Year Award.

For more information, email Kenneth Rishel at or call 217-971-3968.

Now, back to our stories.

Manufactured Homes in the News…

KCCI 8 IN DES MOINES reports the end of a flooding nightmare is in sight for residents of two mobile home parks in east Des Moines. The city extended the homeowners a buyout offer after approving a $7 million buyout plan with the Department of Economic Development to buy and demolish the parks. According to the report, the first step is a voluntary purchase of the homes, although residents who choose to stay won’t have water or electricity.  City Manager Rick Clark said in the report the federal money for the buyouts is contingent on the city maintaining both properties as empty open space in the future.

FROM THE PAGES of the Muskegon Chronicle we find a letter calling for help. The owner of a manufactured home in Holton Township writes that he has not been given the chance to bring it up to new standards because the new code in Holton states that a manufactured home must be less than four years old when being installed. Joe Ferrier says in the letter that he went before the zoning board of appeals and even though the first statement of the ordinance says, “Nothing in these ordinances shall prevent a home from being repaired,” the ordinance was violated. “They feel I must remove the home and put in a new one because of the date of the home,” Ferrier writes. A hearing on the matter was being held Wednesday. will follow up.

FROM ELLSWORTH, MAINE, Sargent’s Homes is celebrating sixty years. According to the article, the founder, the late Fay Sargent, had an international truck dealership when a friend in Bangor suggested he might try to sell a few mobile homes in Ellsworth. Today third generation is at the helm. Sargent’s sells modular homes, multi-section, single-section and vacation homes and assists with bank financing and land development. About 10 percent of Sargent’s business today is in manufactured homes.

FROM PENNSYLVANIA and the Echo Pilot, Pennsylvania residents building new homes in 2011 will need to install sprinklers. A new law takes effect January 1. The 2009 International Code Council set regulations which were adopted by the PA Department of Labor and Industry on Dec. 10, 2009. Now part of the state’s Uniform Construction Code, one clause requires in-home sprinkler systems, with sprinkler heads in the ceiling of each room. In Pennsylvania, sprinklers will not be required in manufactured homes, unless they are placed on basements, in which case the basements will be required to have sprinklers. For more on this topic, see our InFocus report entitled As a January Deadline Nears, Some Seek HUD Code Revisions, Others Stand by MH Preemption for Fire Sprinkler Systems.

In Market News…

THE DOW CLOSED DOWN 22 points on Wednesday on the revised numbers from FHFA on home prices. Manufactured housing stocks were mixed, with Deer Valley declining more than seven percent and Global Diversified Industries declining more than 30 percent. Meanwhile Drew Industries added 2.3 percent. The manufactured home composite value fell .7 percent.

FINALLY, ABC 10 NEWS in Sacramento reports that a couple bought a bank-owned home built in 1945 only to later discover the house was made of salvaged railroad ties. The unfortunate couple closed on the house late last year and first realized the exterior walls were composed of stacked railroad ties when they began remodeling in March. The construction material didn’t seem to pose a problem until summer heat brought eye-watering creosote vapors inside the home. Property records show the house was repossessed by Freddie Mac in June, 2009. Lenders are exempt from many of the real estate disclosures required by state and federal law. The couple did not order a home inspection report.

On behalf of Production and IT Manager Bob Stovall, Editor L.A. Tony Kovach, Associate Editor Catherine Frenzel, INdustry in Focus reporter Eric Miller, and the entire writing and support team, this is Erin Patla. Gday!

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