MHMSM.com presents Factory Built Housing Industry News at Noon with Erin Patla.
We begin with these stories:
AN EXTENSION to the SBA floor plan lending program is included as part of the Small Business Jobs Act, HR 5297 that passed a key vote in the Senate this week. Elizabeth Shappell at Congressman Donnelly’s office confirmed that a three year extension of the financing program, as well as an increase of loan caps to $5 million, is included. “We will now wait to see if the House takes up the exact Senate bill or makes changes before there is a vote in the House on this package,” Shappell says. Bailey Wood at the National Association of Automobile Dealerships, who initially confirmed the floor plan financing renewal and extension was in the bill, sounded optimistic, but told MHMSM.com the legislation’s future in the House is uncertain. “With the President looking for a pre-election victory in Congress, there is a great deal of pressure on the House to pass the Senate version quickly,” Wood says. The Act would also create a $30 billion fund run by the Treasury Department that would deliver low-cost capital to community banks and provide $12 billion in tax relief for small businesses.
ACCORDING TO MHI’s monthly economic report, 4,257 new HUD Code homes were shipped in July, 2010, down 3.8 percent from July, 2009. Trends by housing type varied with multi-section home shipments down compared with the same month last year, while single section home shipments showed an increase. In looking across the first seven months of 2009, 2010 started off with a 17.4 percent decline in January, February numbers that were essentially flat then gains in March, April, May and June. Over the period, total industry shipments stand at 30,659 homes compared with 28,822 homes in 2009, a year-to-date increase of 6.4 percent. Texas, North Dakota and Florida saw the biggest increases. Georgia, Louisiana and Alabama recorded the steepest declines.
MORE THAN TEN YEARS of federal preemption bolstered by the Manufactured Housing Improvement Act (MHIA) of 2000 – and it remains untested as to whether the HUD code preempts local regulations including zoning and aesthetic requirements. MHIA was said to have bolstered the reach of federal preemption and to have helped the ability of manufactured homes to be placed anywhere a site-built house could be placed. Find a special InFocus report on federal preemption by Reporter Eric Miller available now at mhmsm.com.
CNN REPORTS that real estate values in California are on an upswing. Home prices are rising in virtually every corner of the Golden State, climbing for nine consecutive months, and in July posting a 10.4 percent gain year-over-year. San Francisco posted the biggest gain of any U.S. metro over the past year, rising 14.3 percent. San Diego climbed 11.2 percent and Los Angeles jumped 9.2 percent. Analysts there say most of the subprime-related distressed properties are gone and when a foreclosure does hit the market, it is snapped up.
CONNEXION TECHNOLOGIES announced this week it has partnered with Manufactured Home Marketing Sales Management to showcase their work with Manufactured Housing Land Lease Communities, mobile home parks and manufactured home developers. In addition to single-family, multi-family, high-rise, resort and hospitality properties, Connexion Technologies will now serve manufactured housing communities. Connexion will manage telecommunications infrastructure for these properties and enable the same quality of internet, telephone, and television services as those available at its other properties.
“More stories continue…”
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REAL·ESTATE·RAMA reports the National Association of Home Builders’ Multifamily Market Indices show that current and expected demand for rental apartments improved significantly in the second quarter of 2010 compared to the first quarter. The current indices for Class A, Class B and Class C apartments rose to 59.5, 57.6 and 56.6, respectively, increases of more than 15 points when compared to the first quarter and the highest level since 2007. David Crowe, NAHB’s Chief Economist says as the supply of additional units declines and pent-up household formations re-emerge when the labor markets improve, demand for traditional rental apartments will rise.
Manufactured Housing in the News…
SENIOR HOUSING NEWS reported recently on the Energy-Efficient Manufactured Housing Act, which would entice owners of mobile homes constructed before January 1, 1976, to trade up or retrofit their existing homes with energy efficient features. The proposal restricts rebates to owners of dated manufactured homes that are used on a year-round basis as a primary residence that will be destroyed (including appropriate recycling) and replaced in the same general location with an Energy Star qualified manufactured home.
FROM GEORGIA, the Free-Times Press reports that a new law in that state means Murray County can’t keep out old mobile homes, but it does require they be inspected. Murray had barred older manufactured homes from entering the county. County Commissioner David Ridley said in the report the county will still try to limit where mobile homes can be placed. For a $50 fee, county inspectors will travel to look at homes before they’re moved in. If the home fails inspection, owners can make repairs and ask for a recheck.
Modular Housing in the News…
THE PALM BEACH POST reports that city officials and neighbors watched as a home was lowered by crane onto a long-vacant lot, a move the city hopes will help revitalize the neighborhood. It’s part of a program bolstered by a federal grant to bring 18 new homes to Coleman Park. The modular homes, built in a factory in Plant City and then shipped to West Palm Beach, range in price from $118,153 to $177,748 mortgages, half of which will be picked up by the city for qualified buyers.
In Market News…
Healthcare and technology companies led the Dow higher on Wednesday, but many manufactured housing stocks ended the day down. Palm Harbor Homes was down more than six percent, Skyline Corp was down nearly three percent and Nobility Homes ended the trading day 3.6 percent lower. The manufactured housing composite value was off nearly two percent.
“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 MHMSM.com writing and support team, this is Erin Patla. G’day!”