Freshman Senator Tina Smith (MN-D) is drawing attention to the lack of implementation under the Housing and Economic Recovery Act of 2008 (HERA) that established the federally mandated Duty to Serve (DTS) for manufactured housing.
Her letter to Republican and Democratic leaders of the powerful Senate Housing, Banking, and Urban Affairs Committee is covered in a new report, linked below on MHLivingNews.
The timing is noteworthy. Why? Because the Manufactured Housing Association for Regulatory Reform (MHARR) has recently been calling for Congressional investigations into what they say is the flawed roll-out of DTS by Fannie Mae and Freddie Mac. That too is linked below in our Sunday morning weekly news recap.
There are also insider insights from Cavco Industries regarding their legal woes. That hot-linked headline is found further below on the Daily Business News on MHProNews.
That’s just for starters. There is the Havenpark’s controversy. Deprecation debate. Cavco, Carson, campaigns, CoreLogic, plus more are all below.
Toot the Horn
There is demonstrably no manufactured housing-focused “Industry News, Tips, and Views Pros Can Use” © that is larger, more diverse, robust, or better-read in MHVille than this publication. Nothing else even comes close.
Perhaps that’s why early next week, insider insights at HUD will reveal exclusively on MHProNews a serious scandal that involves manufactured housing.
Stay tuned for that and more.
Small Industry, Big Potential, The Most…
As some U.S. Senators and members of Congress are beginning to grasp, the industry is only performing at about ¼ of the level that it did some 20 years ago. In 1998, production topped 372,000 new manufactured home shipments. So why – during a growing affordable housing crisis that many in Congress, the Trump Administration, and others want to see addressed – is manufactured housing underperforming?
For the last 8 months, year-over-year new manufactured home shipments are in decline. What? During an affordable housing crisis?
The Manufactured Housing Institute (MHI) has dryly reported the facts of that decline, but they seem tone-deaf as to any explanation for that decline. As evidence of how tone-deaf they are, they speak about ‘momentum’ and have used a slogan, ‘let’s keep building.’ Seriously?
Our industry is demonstrably smaller than it was 15 or 20 years ago. There are thousands of fewer retailers. There are thousands of fewer communities. There are fewer builders of HUD Code manufactured housing. Several of the companies whose names endured – Champion or Fleetwood, to name but two – companies that were giants 20 years ago went into bankruptcy in the first decade of the 21st century. What exists today are essentially new entities under an older brand name. What caused longtime successful firms to tip into bankruptcy? Doesn’t that bear scrutiny?
These are the snapshots of reality that others in MHVille trade media – much less MHI – bother addressing. Why?
But the kinds of reports that you find here are the reason that this is by far the largest and most read “Industry News, Tips, and Views Pros Can Use” © site in all of manufactured housing trade media. Others may make bold – even demonstrably outlandish claims. They may produce slick magazines, but those slick covers sit on the racks, because they are not picked up. Why? Apparently not many want to read phony sunshine stories?
From the largest firms, to the mid-sized, or ‘mom-and-pops,’ the pros in manufactured housing are on our pages daily by the thousands. There are those who cheer what they read here, because almost no one else is exposing what MHProNews is willing to cover with facts, evidence, and follow-the-money-trail published here. Then there are those who are bothered by what they read or those who are just trying to figure out why manufactured housing is underperforming so badly – they are all among those who read here. Investors and nonprofits read here too. Among the 1.2 million-page views monthly, per third party tracking, third-party software tells us that thousands of hits on our site come from federal officials who are on our site every month.
Those who want to know and understand, come here.
To stay in the know in order to grow, you too can become a part of the most engaged professional audience in MHVille history. To sign up in seconds for our twice weekly emailed headline news updates, click here or the graphic below.
There is no more goal- and solution-oriented trade media in all of manufactured housing than this site. While toadies kiss the derrière of the Omaha-Knoxville-Arlington axis, we dare pull back the curtain and show the evidence, money trail, and concerns others try to ignore or obscure.
Per Third Parties, Billions of Dollars in Potential Growth for Factory-Builders
What is the goal here on MHProNews?
As true believers and often praised experts in the industry, we know firsthand that sustainable growth is possible because we’ve worked professionally with firms that have achieved profitable growth. The evidence reflects that far more could be done. Tens of billions of dollars in additional manufactured housing production at retail is attainable.
That requires understanding of the obstacles and the opportunities.
Who says there is that kind of growth potential? How about one of the most valuable conglomerates in the world’s investment unit? In part of a 2018 statement when they invested in Plant Prefab, Amazon’s Alexa Fund pegged the opportunity for new housing at $300 billion a year.
If only a quarter of that $300 billion-dollar annual potential were earned by Manufactured Housing, that would represent about a nine fold increase in dollar volume over 2018.
“Given the potential of manufactured housing, it’s a disgrace that the Omaha-Knoxville-Arlington axis is so focused upon hobbling our industry and posturing instead of doing what’s necessary to improve measurable performance. The evidence arguably reflects they seek to foster consolidation and ‘taking out’ honest independents to the extent that they are letting tens of billions of dollars annually slip through the fingers of investors and professionals,” said publisher L. A. ‘Tony’ Kovach.
Experts and politicos across the left-right spectrum are increasingly expressing alarm over the monopolization of several sectors of American businesses and professions. Is it a surprise that it is happening in manufactured housing too?
But how some of this is occurring in MHVille may be somewhat different.
“Never forget that Kevin Clayton said on video that it would be okay with ‘Warren’ if Clayton Homes lost money for 5 years, so long as they expanded their Moat. While roughly 100 of their retail locations have lost money. But they aren’t losing money overall, and they are expanding their Moat. Clayton and their allies are earning and slowly consolidating at the same time. Literally thousands of industry independents have been steadily vanishing during an affordable housing crisis. Coincidence?” – asked Kovach, a long-time MH industry veteran.
“What’s happened in manufactured housing is a largely misunderstood tragedy, because too many others in the manufactured home industry’s trade media largely overlook or spin it. MHI gives the ‘big boys’ cover, so that purported corrupt behavior in turn harms the affordable housing seeking public, millions of whom could purchase a new manufactured home for less than they pay in rent,” Kovach said. “This pattern of behavior within the industry has drawn a number of critics from inside the industry’s ranks. It cries out for Congress to publicly investigate this slow-rolling tragedy, its impact on business, millions of Americans, and taxpayers.”
The stories that follow reflect what sparks such comments.
With no further adieu, here are the headlines for the week that was from 6.16.2019 to 6.23.2019
What’s New on MHLivingNews
Senator Tina Smith Urges Republican, Democratic Senators to Provide Greater Financing Access to Affordable Manufactured Homes – manufacturedhomelivingnews.com
In a letter dated June 6, 2019 obtained by MHLivingNews, Senator Tina Smith (MN-D) wrote Senators Mike Crapo (ID-R) and Sherrod Brown (OH-D) to urge greater support for lending on affordable housing, particularly naming manufactured homes. Senator Crapo is the chairman and Senator Brown is the ranking member of the Committee on Banking, Housing, and Urban Affairs.
Manufactured Home Installation Goes Awry, Falling on Installation Team Member – manufacturedhomelivingnews.com
First, it reflects the ‘right stuff’ exhibited by the members of the installation team that put the higher priority on saving a man’s life than protecting the home that was being installed. That’s behavior that reflects a proper ‘people first’ concern that should be applauded. Next, it obliquely reveals how seldom such dangerous incidents occur.
What’s New from Washington, D.C. from MHARR
Washington, D.C., June 18, 2019 – The Manufactured Housing Association for Regulatory Reform (MHARR), in a June 13, 2019 communication to Fannie Mae Vice President Jonathan Lawless (copy attached), has reiterated its call for a congressional investigation into the failure of both Fannie Mae and Freddie Mac to implement the statutory Duty to Serve Underserved …
What’s New on the Daily Business News on MHProNews
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