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Manufactured Housing in the News at noon 100825

August 25th, 2010 Comments off

MHMSM.com presents Factory Built Housing Industry News at Noon with Erin Patla.

We begin with these stories:

GLOOM ABOUNDS in the national housing market, but the Christian Science Monitor recently featured profiles of six cities in a housing bloom of sorts. They include Decatur [deh-KAY-tur], Illinois, where employment is starting to grow again and median home sales prices had reached a new high of $96,000. Then there’s Oklahoma City where the economy and home prices are both on an upswing. Home prices are also up in Springfield, Illinois, 13 percent from its pre-recession peak according to the National Association of Realtors. Also blooming in a cycle of gloom are Elmira, New York and Shreveport, Louisiana.

THE FORT SMITH, ARKANSAS City Wire ran an analysis of the 2009 Housing Survey highlighting the fact that homeowners paid a median of $1,000 in monthly housing costs in 2009, compared with $808 for renters. However, renters usually paid a higher percentage of their household income on these costs than did owners.  The survey also covers the demographic characteristics of the housing units’ occupants. The report also revealed that the most important consideration for recent movers in choosing their homes was financial, followed by room layout and the size of a home. The most common reasons recent movers had for choosing their neighborhoods were convenience to job, convenience to friends or relatives, the look/design of a neighborhood and the house itself.

GREENTECH ENTERPRISE recently posted a feature on a company called Blu Homes and a product re-launch of what they call Green Homes. Blu Homes bought the home designs and other intellectual property from Michelle Kaufmann Designs last year after that company closed its doors. Now they’ve gone forward with new modular designs, one of which is the Glidehouse and will then follow up with the Breezehouse in early 2011. Both homes are based on original designs from Kaufmann. While the homes have many green features such as optional solar panels, what really makes them green, according to the article, is the fact they are built in a factory and, as such, are able to realize lower transportation costs and less waste.

Manufactured Housing in the News…

KCRG.COM IN IOWA CITY reported Monday that questionable financial practices and living conditions at Regency Mobile Home Park located south of Iowa City will be resolved with or without state intervention.  Iowa Attorney General Tom Miller recently opened a civil investigation looking into allegations of consumer fraud at Regency, and it will file a legal case if the company doesn’t take action that is satisfactory. The website notes complaints against Regency, whose corporate owner is Colorado-based Churchill Group, including problems with the water supply and rundown conditions at the park. Miller’s office is also investigating claims that Regency sold mobile homes without clear titles and without making buyers aware that back taxes are owed. Miller also said the operators of the park should not profit when ownership of a home is transferred and says his priority is making sure people are credited when they pay rent.

RESEARCH FROM WILLIAM P. McCARTY at the University of Illinois-Chicago is in. McCarty spent some time looking at crime in manufactured housing communities and found crime levels are on par with other areas. Using official crime reports and other data from Omaha, Nebraska, the study finds no significant difference in population-weighted crime rates between blocks with manufactured housing communities and other types of residential blocks. Multivariate models show that the presence of manufactured housing communities did not significantly affect crime rates. The results of the study suggest that cities and other municipalities should not be so reticent to allow the creation or expansion of manufactured housing communities.  The presence of such communities, at least in Omaha, does not significantly increase crime rates, after controlling for a variety of other demographic factors. Stay tuned for an in-depth report at mhmsm.com.

HOME SALES are at the lowest in 15 years according to the National Association of Realtors. July’s sales fell by more than 27 percent to a seasonally adjusted annual rate of 3.83 million—the largest monthly drop on record dating back to 1968. Single family sales—accounting for the bulk of transactions—are at the lowest level since May of 1995. The national median existing-home price for all housing types was $182,600 in July, up 0.7 percent from a year ago. Distressed home sales are unchanged from June, accounting for 32 percent of transactions in July; they were 31 percent in July 2009.

THE REALTORS, HOWEVER, weren’t all doom and gloom. Lawrence Yun, chief economist for the National Association of Realtors notes that annual sales are expected to reach 5 million in 2010 because of healthy activity in the first half of the year. To place this in perspective, annual sales averaged 4.9 million in the past 20 years. Also of note—and perhaps a comment on the availability of financing: all-cash sales rose to 30 percent in July from 24 percent in June.

“Up next, MARKET NEWS”

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

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

For more information, email Kenneth Rishel at kennethrishel@captivefinance.net or call 217-971-3968.

In Market News…

THAT HIGH NOTE of all cash sales rising didn’t reach Wall Street, where stocks closed down more than 130 points Tuesday. The decline in home sales lead the Dow to its decline, but that didn’t have the impact on manufactured home stock it had on the wider indexes. The manufactured housing composite value, however, managed to move up half a percentage point. Skyline Corp., Sun Communities and Cavco all closed higher Tuesday. Equity Lifestyle Properties, All American Group and Global Diversified Industries closed lower.

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. Gday!

Listen to Podcast Here

To submit a news tip, please click here: iReportMHNewsTips@MHMSM.com
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Manufactured Housing in the News at noon 100824

August 24th, 2010 Comments off

MHMSM.com presents Factory Built Housing Industry News at Noon with Erin Patla.

We begin with these stories:

A REPORT ON BLOOMBERG.COM Monday noted that while housing has led the U.S. out of seven of the past eight recessions, this time it could lead it back into recession. “If foreclosures continue to mount and depress home prices, that could send the economy back into a recession,” Celia Chen, an economist who tracks the industry for Moody’s Analytics Inc told Bloomberg. She emphasized, “The housing market and the broader economy are closely intertwined.” Also noted, an upcoming report by the Chicago-based National Association of Realtors will show that July sales of existing homes plummeted 12.9 percent from June, the biggest monthly loss of 2010.

ACCORDING TO THE NEW YORK TIMES, the days of the house as a “nest egg” may be gone for good. Once powering the economy and paying for retirement and education, that “nest egg” can no longer be counted on or expected.  Dean Baker, co-director of the Center for Economic and Policy Research, estimates that it will take 20 years to recoup the $6 trillion of housing wealth that has been lost since 2005. Some markets like Arizona may take longer. After adjusting for inflation, values will never catch up. “People shouldn’t look at a home as a way to make money, because it won’t,” Mr. Baker told the newspaper. As the article points out, the short-term may be worse and represent additional losses.

THE MANUFACTURED HOUSING ASSOCIATION for Regulatory Reform notes in response to a Congressional request, that the group submitted a point-by-point response refuting HUD’s core arguments on each issue addressed and also highlighted factual errors and incorrect assumptions underlying various HUD positions – such as those pertaining to the crucial role and authority of the Manufactured Housing Consensus Committee. However MHARR says HUD is publicizing assertions made in the June letter without indicating they have been refuted. As a measure of balance, MHARR has sent out both the original letter and the July 22 response. The documents are available at mhmsm.com/10/426.

Manufactured Housing in the News…

THE GAINSVILLE TIMES reported last week that Georgia Senate Bill 384, which takes effect next month, will put a stop to cities and counties refusing to accept pre-owned manufactured homes into their borders based on age. Currently in Hall County, a manufactured home more than seven years old must not only be inspected by the building maintenance department but also requires approval from the Hall County Planning Commission and Board of Commissioners before it can enter the county.

A RECENT PRESS RELEASE issued by MHMSM.com was posted on the online pages of several major newspapers including the Philadelphia Inquirer, Dallas Morning News and the Orange County Register. The release titled Support Urged for Bill Aimed at Replacing of Older Manufactured Homes urges Congress to help the replacement of some two million older mobile homes in the country by passing a bill that would provide rebates of $7,500 for the purchasers of Energy Star-qualified manufactured homes. Proponents say there are important safety benefits to newer homes and significant energy benefits.

MORE ON THE FUTURE OF HOUSING: George Casey writes in Builder that since the end of World War II, the home ownership rate has climbed from well under 50 percent to nearly 70 percent at the peak of the housing boom.   It now stands in the mid-60-percent range and continues to retract.  Also in that period, multifamily numbers went from 29 percent to 18 percent and manufactured housing went from 18 percent to 8 percent. Now, Casey writes, “the core underpinnings of the policies that led to a vibrant housing industry over most of our lifetimes are beginning to crumble;” he also points out that a decimated industry cannot generate the dollars needed for Washington lobbying.   In the future, he says, expect housing policy to focus on low-income apartment rental subsidy programs and less on helping middle and upper class homeowners. What impact the market and government policy shakeouts will have on the manufactured housing industry remains one of the many unknowns.

IT’S BEEN THERE FOR A WHILE, but MHMSM.com Publisher Tony Kovach has pointed out the elephant in the room in his latest Masthead blog post. That elephant is the challenges that lenders and home owners face when resale time comes. Several lenders contend that when they take in a repossession, they wholesale that repo 65 percent of the time.  Kovach says higher rates on manufactured homes than conventional housing are one consequence, and less lending availability is another avoidable consequence. Read more about the problem analysis and solution at mhmarketingsalesmanagement.com/blogs/tonykovach/

“Up next, MARKET NEWS”

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

LifeStylist.com – Lifestyle Driven Designs by Lifestylist® Suzanne Felber. Furniture, Decors and Model Homes designed for your budgets and your customers’ lifestyles.

Contact them on the Web at answers@lifestylist.com or LifeStylist.com or call 214-941-8341.

In Market News…

PATRICK INDUSTRIES announced Monday that it has completed the previously announced acquisition of certain assets of Bristol, Indiana-based Blazon International Group (“Blazon”), a distributor of various wiring, electrical, lighting, plumbing and other building products to the RV and MH industries, at a purchase price of approximately $3.7 million.

MARKETS MOVED LOWER Monday with the manufactured housing composite value losing more than two percent. Stocks with considerable activity Monday include Skyline Corp, down more than five percent, Palm Harbor Homes, down nearly three percent and Deer Valley Corp, down nearly two and a half percent. Cavco managed to end up modestly for the day. The Dow Jones industrial average had been in positive territory, but closed down 39 points or point 38 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. Gday!

Listen to Podcast Here

To submit a news tip, please click here: iReportMHNewsTips@MHMSM.com
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Manufactured Housing in the News at noon 100823

August 23rd, 2010 Comments off

MHMSM.com presents Factory Built Housing Industry News at Noon with Erin Patla.

We begin with these stories:

THE AGE OF THE McMANSION is apparently over. Some towns have passed ordinances against the lot-engulfing giants, but the end may have come from within as a result of changing consumer preferences and a new age of prudence. As the article points out, a recent Trulia.com survey found just nine percent said their ideal home size was over 3,200 square feet. Meanwhile, more than one-third said their ideal size was less than 2,000 feet. This appears to be true even in Texas. The article quoted Diane Cheatham, owner of Urban Edge Developers in Dallas, who commented that the average size of home they’re building is 2,200 square feet, down from 2,500 in 2005 — which was considered small for Dallas back then. If the trend continues, there may be even less room at home. The average home size in the 1960s was 1,200 square feet.

WHILE THE FUTURE of Fannie Mae and Freddie Mac are debated in Washington and the administration discusses taking a new look at boosting rental housing, a Wall Street Journal Market Watch article Friday pointed out that reducing the role of Fannie and Freddie may also have ramifications for the rental market. In the article, Michael Stegman, director of policy and housing at the John D. and Catherine T. MacArthur Foundation in Chicago, pointed out that a substantial segment of rental housing, known as multi-family homes, are held in portfolio by the GSEs.

Manufactured Housing in the News…

THE TELEGRAPH HERALD in Dubuque, Iowa ran a story Friday about just how difficult it can be to get a manufactured home loan. It tells the story of Mary Focht, pre-approved for a loan for a manufactured home, then turned down on the day of closing. Focht told the paper she had a job as a practical nurse, has good credit and was willing to put 30 percent down. The paper notes only a handful of financial institutions in the tri-state area offer manufactured home loans and noted that neither Fannie Mae nor Freddie Mac would buy the loans from the funding institution. Of two credit unions surveyed, one hadn’t offered manufactured home loans since 1997 and the other, DuTrac Community Credit Union, does offer loans and had not experienced losses. Lois Parris, president of the Manufactured Home Owners Association of America said that organization is pushing for changes across varying state laws to make manufactured home loans a better bet for bank lenders. At Alpine Park, the site of Focht’s would-be home, financing for half of the residents has been provided in-house. The manager told the paper none of those loans had gone sour.

THE INDEX JOURNAL in Greenwood, SC ran a story Friday headlined More people finding manufactured housing the way to go. The paper reported retailers, both nationally and locally, are seeing big sales gains, and that manufactured homes made up nearly a quarter of all new homes sold for less than $200,000. Bobby Alberts, a retail-zone vice president with Clayton Homes, told the paper that in the first six months of 2010, Greenwood saw sales double from what they were last year.

ANOTHER STORY ran this week about the increased sales of manufactured homes, this one from the Sun News in Myrtle Beach, NC. As the story points out this is despite the common difficulty in obtaining financing. Pete Hughes, Jr., the owner of H & H Builders in Conway, told the paper most buyers are looking to spend less than $70,000 and sales are up about 15 percent from last year. As the article points out, H & H used to build on site, but has concentrated on manufactured homes since the site-built market faltered.

THEY SAY THERE’S A SILVER LINING to every cloud, and the National Association of Home Builders seemed to have found one when they reported that housing affordability remained near its highest level nationwide for the sixth consecutive month since the series was first compiled nearly two decades ago. More than seventy percent of all new and existing homes sold in the second quarter of 2010 were affordable to families earning the national median income of $64,400. Syracuse, NY, was the most affordable major housing market in the country, edging out Indianapolis-Carmel, IN, which had held the top ranking for nearly five years. In Syracuse, 97.2 percent of all homes sold were affordable to households earning the area’s median family income of $64,300.

New York continued to lead the nation as its least affordable major housing market during the second quarter of 2010.

THIS IN FROM BUSINESSWIRE: Vermont is using technology to reduce the cost of government by introducing an online registry for manufactured home communities.

As of this month, owners of manufactured home communities in that state are able to complete a required annual registration online. Vermont’s 245 manufactured home communities provide information annually to the state and pay $9.00 for each occupied lot.

PUBLICLY-OWNED real estate trust UMH Properties announced Friday that it will be presenting at the Rodman & Renshaw Annual Global Investment Conference on September 15 at the New York Palace Hotel in New York City. Eugene W. Landy, President and CEO, and Michael P. Landy, Vice President of Investments, will present an overview on UMH Properties, Inc., followed by a question and answer session.  UMH’s presentation will be available at the company’s website (umh.com).

“Up next, MARKET NEWS”

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

MHMSM.com/solutions.

Do you have vacant homes or sites? Does your financing, market, sales or management need a boost? From high Return on Investment online marketing, to public relations, sales, lead and management systems and more, make us your Solutions Resource. When you are ready for the answers to your needs, visit MHMSM.com/solutions.

In Market News…

MARKETS WERE DOWN AGAIN on Friday with the Dow losing 57 points, but the Manufactured Housing Composite Value ran counter, moving up 1.2 percent. Leading the way was Skyline Corp, up 2.5 percent to close at $18.60 a share and Drew Industries, up 2.3 percent to close at $19.44. No stock on our watch list had a share price decline amounting to more than a percentage point.

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. Gday!

Listen to Podcast Here

To submit a news tip, please click here: iReportMHNewsTips@MHMSM.com
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Manufactured Housing in the News at noon 100820

August 20th, 2010 Comments off

MHMSM.com presents Factory Built Housing Industry News at Noon with Erin Patla.

We begin with these stories:

ESTIMATES SAY there are some two million manufactured homes in the United States built before June 1976. The homes are both inefficient, and in some cases unsafe. Replacing them is the aim of legislation in both the House and Senate. The Energy Efficient Manufactured Housing Act (S. 1320) would provide rebates of $7,500 for the purchasers of Energy Star-qualified manufactured homes, and allow home owners to receive grants of up to $2,500 to cover the additional cost of removing and recycling the old home. The Manufactured Housing Institute concludes that given the current partisan political climate, Republican support of the measure is all the more critical. Without bi-partisan support, passage of the bill is unlikely. MHI, MHMSM.com and others are currently urging readers and members to contact their Senators urging support for the Energy Efficient Manufactured Housing Act (S. 1320). Those in states represented by Republican Senators are particularly encouraged to respond. Look for more information and a related story Monday at MHMSM.com.

REPRESENTATIVES FROM the Manufactured Housing Institute attended the “Conference on the Future of Housing Finance” sponsored by the Departments of the Treasury, and Housing and Urban Development (HUD) in Washington this week. This high level meeting was structured to engage public and private sector housing stakeholders and receive input on the future of the housing finance industry. Participants included senior level executives from top mortgage lenders, investors, academics and public officials. Congressional policy makers and leading housing association executives were also among the roughly 70 or so invitees participating in this highly anticipated event, including the Manufactured Housing Institute (MHI).

Following opening remarks by Treasury Secretary Timothy Geithner and HUD Secretary Shaun Donovan, panelists talked about the government’s role in providing stability and financial support to housing finance. Among the topics addressed were what should change and what should be preserved in the current system. Manufactured housing was mentioned during the panel discussions as being an important part of GSEs “duty to serve” the public’s access to affordable housing.

PRESIDENT OBAMA Thursday urged the Senate to pass a small business lending bill after new data showed U.S. claims for unemployment benefits unexpectedly climbed to a nine-month high last week. “The jobs bill that is stalled in Congress would completely eliminate taxes on key investments in small businesses,” the President said. “It would allow small business owners to write off more expenses. And it would make it easier for community banks to do more lending to small businesses, while allowing small firms to take out larger SBA loans with fewer fees, which countless entrepreneurs have told me would make a big difference in their companies. I’d also like to point out this legislation is fully paid for and will not add one single dime to our deficit.”

Manufactured Housing in the News…

THE SANTA ROSA PRESS DEMOCRAT reports that a plan by the owner of a Santa Rosa mobile home community to stop renting spaces and start selling them was rejected by the city’s planning commission. Strong opposition by mostly low-income residents and the apparent motive of the owner to sidestep rent control were given as reasons for rejecting the plan. A 2007 city ordinance aimed at protecting residents of the city’s 14 manufactured home communities from conversions was repealed after the courts shot down a similar county law.

FROM GEORGIA, the Citizen reports the Senoia [Sen-OY-uh] City Council Monday night heard the first reading of an ordinance addressing the regulation of pre-owned manufactured homes. City attorney Drew Whalen said the ordinance was needed so that the city could be in compliance with recent changes in state law that says a city cannot impose health or safety standards or conditions based on the age of a manufactured home. The ordinance states that the city will inspect the home and issue a certificate of occupancy and that the home must conform to zoning and land use regulations.

THE IOWA CITY PRESS CITIZEN reports that officials are working to secure money for a new levee along the west bank of the Iowa River, in part to protect a manufactured home community from flooding. The Iowa City Council on Tuesday night set aside $1.9 million in disaster recovery funds for the nearly $4 million project. Jim Hammes, owner of Thatcher Mobile Home Park, told the paper the levee would shield his community’s 60 homes and 200 residents, as well as the 130 homes at Baculis Mobile Home Park, and allow him to go ahead with $1 million in expansion plans that would add sites for 45 to 50 additional manufactured homes.

MONKS ARE GOING MODULAR in Big Sur, California. A new home for monks of New Camaldoli Hermitage is a thoughtfully designed, eco-friendly monastery overlooking the Pacific Ocean, according to the Mother Earth Network. Seclusion is no reason to disdain style. The 1,737-square-foot residential health care building started out as a Michelle Kaufmann project; it was completed by Studio 101 Designs after mkDesigns was shuttered in the floundering economy last year. The facility is composed of four prefab modules that were factory-built in Oregon and shipped to Big Sur.

“Up next, MARKET NEWS…”

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

CommunityDASHinvestor.com.

Tap into Excellence, your ONE-STOP Resource for the Manufactured Housing Industry, the Leader in Land Lease Communities information!

Tap into Excellence – on the Web at CommunityDASHinvestor.com or call 317-346-7156.

In Market News…

FREDDIE MAC says U.S. mortgage rates fell in the past week to the latest in a series of record lows. Interest rates on U.S. 30-year fixed-rate mortgages, the most widely-used loan, averaged 4.42 percent for the week ended August 19, down from the previous week’s 4.44 percent and its year-ago level of 5.12 percent.

THOSE READY TO HEED THE ADVICE of Warren Buffet who said, “Be Fearful When Others Are Greedy and Greedy When Others Are Fearful” could have found more than the usual amount of fear on Wall Street today. Stocks closed down 144 to 10,271 as claims for jobless benefits rose to the highest level since November, and Philadelphia-area manufacturing shrank for the first time in a year. Most manufactured housing related stocks were down with the market, but several – including Palm Harbor Homes and All American Group – managed to eke out gains. The manufactured housing composite value was down more than five percent.

Buffet’s company, Berkshire Hathaway, closed down $2,041, or 1.72 percent, to $116,414 a share.

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. Gday!

Listen to Podcast Here

To submit a news tip, please click here: iReportMHNewsTips@MHMSM.com
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Manufactured Housing in the News at noon 100819

August 19th, 2010 Comments off

MHMSM.com presents Factory Built Housing Industry News at Noon with Erin Patla.

We begin with these stories:

IN WHAT THE NATIONAL ASSOCIATION OF HOME BUILDERS (NAHB) is calling a major victory for affordable housing, sound science and more sensible regulations, the U.S. Environmental Protection Agency has been forced to withdraw a key portion of new storm water management regulations for builders and developers and to devise new ones based on better research. The move is the result of an NAHB lawsuit and petitions filed by both NAHB and the federal Small Business Administration (SBA) Office of Advocacy asking the agency to revise its new Effluent Limitation Guidelines for the construction and development industry. “After a big rainstorm, it’s typical to see some storm water drain from a construction site. In these new regulations, EPA set a numeric limit on the amount of sediment that can cloud the water that both NAHB and SBA claimed was arbitrary and based on flawed analyses,” said NAHB Chairman Bob Jones, a home builder and developer in Bloomfield Hills, Michigan.

THE WEB SITE “INHABITAT” recently ran a feature on a design by Malaysian architect Tay Yee Wei to construct housing units that are able to be added to a frame resembling scaffolding as demand warrants. Inspired by Le Corbusier’s [Cor-BOO-see-ay’s] theory that “a house is a machine for living,” the project essentially rotates a sprawling horizontal community into a vertical orientation.

The plan would be for a city to finance the cost of building the structure and then residents could purchase spaces where a customized modular housing unit could be inserted. The structure could also be disassembled and transported.

Manufactured Housing in the News…

THE SAN PEDRO VALLEY News-Sun reports that Cochise County Superior Court Judge Stephen Desens ruled against the City of Benson, Arizona last week, calling Section 16 of that city’s code, passed in 1997, invalid because officials did not follow proper procedure. Local business owner Jay Kendrick challenged the city’s refusal to approve a permit for a new manufactured home on a lot in the Stage Coach Trails manufactured-home community. City Attorney Michael Massee told the paper that notice of the Planning and Zoning hearing in 1997 was mailed to the owners of manufactured home and RV parks, but Desens ruled that owners of vacant property that could potentially be developed into manufactured-home communities were also entitled to notice. In addition, Arizona statutes require 15 days notice prior to the hearing, and the city of Benson gave only an eight-day notice. The city has also been ordered to pay more than $50,000 in legal fees.

CAVCO PRESIDENT JOE STEGMAYER told reporters in Arizona that a California boycott of the state’s products isn’t helping the company’s employees, many of whom are Hispanic. Earlier this year Cavco submitted the bid to the City of Santa Monica, California to build homes for a [factory-built home community] the city owns. While the city’s housing and development director recommended the Arizona company, the city council rejected it because of a boycott of the state after the passage of Senate Bill 1070. “We’ve never seen this bias before,” Stegmayer said.

SAN DIEGO BUSINESS reports that Poway Royal Estates there has sold for $38.3 million. Hometown America has bought the 399-space, 51-acre mobile home community.  The property was constructed in 1972 and bought by the city in 1991 to stabilize rents and bring about improvements. Headquartered in Chicago, Hometown America plans to spend $1 million to renovate the common-area, landscaping and utility system over the next two years. The privately held company owns seven other projects in California.

THE ARGUS HERALD of LaPorte, Indiana ran a story about town native Steven Saffell who will be featured on the Season Premiere of ABC’s Extreme Makeover: Home Edition. Now living in Pennsylvania, Saffell is the director of architectural design and innovation for Excel Homes, a modular home manufacturer contracted by the show to build a home for the premiere. During each episode a home is built and donated to a needy family or non-profit organization. Excel Homes donated all the structural components it used to complete the project. The show is scheduled to premiere September 26th.

“Up next, MARKET NEWS”

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

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

For more information, email Kenneth Rishel at kennethrishel@captivefinance.net or call 217-971-3968.

In Market News…

PATRICK INDUSTRIES, a major manufacturer and distributor of building and component products for the recreational vehicle, manufactured housing and industrial markets, announced recently it has signed a definitive agreement to acquire certain assets of Blazon International Group, a distributor of various wiring, electrical, lighting, plumbing and other building products to the RV and MH industries. The transaction is expected to be completed by the end of August 2010.   “This acquisition fits within the scope of our strategic plan by adding new products that will expand our existing RV and MH distribution presence, and further demonstrates our continued commitment to serve these industries,” says Todd Cleveland,  President and Chief Executive Officer. Patrick’s major manufactured products include decorative vinyl and paper panels, wrapped moldings, cabinet doors and components, interior passage doors, slotwall and slotwall components, and countertops.

STOCKS CLOSED MODESTLY HIGHER Wednesday, up nine points. The manufactured home composite value moved ahead just shy of one percent. Positive performers included Palm Harbor Homes, up more than three percent; Skyline Corp and NVR, each closing with more than one percent added to their shareprice for the trading day.

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. Gday!

Listen to Podcast Here

To submit a news tip, please click here: iReportMHNewsTips@MHMSM.com
Categories: news-at-noon Tags:


Manufactured Housing in the News 100818

August 18th, 2010 Comments off

MHMSM.com presents Factory Built Housing Industry News at Noon with Erin Patla.

We begin with these stories:

BANKING EXECUTIVES WERE IN WASHINGTON Tuesday to weigh in on the future of Fannie Mae and Freddie Mac. Reports indicated the group overwhelmingly advocated the government should maintain a large role propping up the nearly $11 trillion mortgage market. Bloomberg’s headline from the event focused on comments by Bill Gross, Co-Founder of the bond group PIMCO saying Gross “Urges Full Nationalization of Housing Finance.”

Gross said that to suggest that there’s a large place for private financing in the future of American housing finance is unrealistic. “The only way to bring housing back and to create liquid, financeable mortgage finance going forward would be to provide a government guarantee.”

Secretary Timothy Geithner said the administration will side with those who want fundamental change. “It is not tenable to leave in place the system we have today. We will not support returning Fannie and Freddie to the role they played before conservatorship, where they fought to take market share from private competitors while enjoying the privilege of government support.” Geithner explained that amid the general race to the bottom in credit standards across the private sector, Fannie and Freddie lowered their underwriting standards, providing guarantees for increasingly risky types of mortgages, without charging enough to cover the risks. Mark Zandi, Chief Economist at Moody’s Analytics commented that the Government’s role in housing needs to be pulled back quite significantly, certainly compared to where it is today, but also compared to where it was prior to the crisis. “The void is still quite large,” Zandi said. “The private market is dormant and it can’t step in if the government steps out in the near future.” Critics of the panels have raised concerns that consumer and community groups were excluded from the discussions.

THE NATIONAL ASSOCIATION OF HOME BUILDERS reports nationwide housing starts inched up 1.7 percent to a seasonally adjusted annual rate of 546,000 units in July from a downwardly revised figure in the previous month, according to U.S. Commerce Department figures released Tuesday. The gain occurred entirely on the multifamily side, with single-family housing production falling 4.2 percent to 432,000 units.

Manufactured Housing in the News…

MANUFACTURED HOUSING INSTITUTE of South Carolina Executive Director Mark Dillard told The Times and Democrat in Orangeburg, South Carolina, that statewide manufactured home sales there are running about 30 percent higher compared to this time last year.

“I think people are looking for value when times get a little tighter,” Dillard told the paper. “When they start realizing they can get more square footage for the money, they start looking at manufactured homes.” According to Dillard, manufactured home buyers save $15 per square foot over a site-built home.

EARLIER THIS WEEK the Lula City, Georgia, Council imposed a 90-day moratorium on new manufactured homes in the city. Mayor Milton Turner asked for the moratorium until he and City Attorney Brad Patten better understood a recently enacted state law concerning R-3 development.

A MONTGOMERY COUNTY, PENNSYLVANIA MAN has been charged with insurance fraud for allegedly filing a $1.3 million false claim on storm-damaged modular homes, Pennsylvania Attorney General Tom Corbett announced Tuesday. Corbett said the criminal charges involve a 2008 insurance claim for water and wind damage to eight modular townhomes owned by Kevin Kollar.  The vacant homes had been stored at an open lot, and Kollar allegedly claimed they suffered extensive damage during a storm in March of 2008. According to the criminal complaint, Kollar claimed the homes were in [1] “as new” condition, [2] had been wrapped in protective materials and [3] were personally inspected by him on a regular basis during the weeks leading up to the purported storm damage – which Kollar allegedly valued at $1,399,000. Corbett said that Kollar’s claims about the good condition of the homes prior to the storm were directly contradicted by observations and photographs taken by an employee of the business that sold the homes to Kollar.

“Up next, MARKET NEWS”

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

LifeStylist.com – Lifestyle Driven Designs by Lifestylist® Suzanne Felber. Furniture, Decors and Model Homes designed for your budgets and your customers’ lifestyles.

Contact them on the Web at answers@lifestylist.com or LifeStylist.com or call 214-941-8341.

In Market News…

MINNEAPOLIS FED PRESIDENT Narayana Kocherlakota [Nah-rah-YAH-na  Ko-chur-la-KO-ta] said in a speech to business leaders Tuesday that hints of a recent move by the Federal Reserve to begin reinvesting cash from maturing mortgage bonds to buy more government debt does not indicate the economic situation in the United States is worse than feared. “My own interpretation is that the Federal Open Market Committee action led investors to believe that the economic situation in the United States was worse than they, the investors, had imagined,” he said. “In my view, this reaction is unwarranted.”

[That name is a duzy when you look at it, but really nice sounding when you say it – Eric]

A day of green on Wall Street meant “back in black” for the year, at least momentarily. The Dow closed up 103, but had been up nearly 200 points mid-day. Most manufactured housing stocks were up for the day, including Skyline Corp up more than ten percent, Deer Valley up almost eight percent and Cavco up almost four percent. Palm Harbor Homes was down modestly for the day. The Manufactured Housing Composite value was up 4.5 percent for the trading day.

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. Gday!

Listen to Podcast Here

To submit a news tip, please click here: iReportMHNewsTips@MHMSM.com
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MANUFACTURED HOMES IN THE NEWS at noon 100817

August 17th, 2010 Comments off

MHMSM.com presents Factory Built Housing Industry News at Noon with Erin Patla.

We begin with these stories:

BUILDER CONFIDENCE in the market for newly built, single-family homes edged down for a third consecutive month in August, according to the latest National Association of Home Builders/Wells Fargo Housing Market Index (HMI), released Monday. The HMI declined one point to 13, its lowest level since March of 2009.

“Today’s report reflects single-family home builders’ concerns about current and future economic conditions and about the increasing hesitancy they are seeing among potential home buyers,” says NAHB Chief Economist David Crowe. “It also reflects the frustration that builders are feeling regarding the effects that foreclosed property sales are having on the new-homes market, with 87 percent of respondents reporting that their market has been negatively impacted by foreclosures.”

SMALL BUSINESSES looking to borrow may be seeing some relief/ According to the Federal Reserve, banks have eased their lending standards for small businesses for the first time in nearly four years. The Fed’s Senior Loan Officer Opinion Survey on Bank Lending Practices indicated that, on net, banks had eased standards and terms over the previous three months on loans in some categories, particularly those categories affected by competitive pressures from other banks or from nonbank lenders. While the survey results suggest that lending conditions are beginning to ease, the improvement to date has been concentrated at large domestic banks. Most banks reported that demand for business and consumer loans was about unchanged.

MANUFACTURED HOMES IN THE NEWS…

RECENT, GOOD SALES NUMBERS from Clayton homes have made it into another community newspaper, this time in Shreveport. News reports from this Louisiana city indicate dealers there have reported sales near pre-recession levels, while others have only recently started to see sales increase. Those dealers also told local reporters that customers are having difficulties financing purchases. Dealers there conclude the lower cost of manufactured and modular homes is the primary reason people opt for them instead of traditional site-built homes.

THE IOWA PRESS CITIZEN reports the Iowa Manufactured Housing Association is working on state legislation that would extend the time mobile-home tenants have to leave a residence after losing an eviction case and to require mobile-home community owners to give more notice when they intend to close a community. Currently, once residents lose an eviction case in court, they have three days to move out. The legislation would propose extending that to 60 days. The proposed legislation would also extend the time period community owners are required to give before closing a community to six months from two months. Look for further reports on MHMSM.com.

THE SOUTH CAROLINA PUBLICATION Real Estate Rama revealed that Mortgage lender W.R. Starkey Mortgage of Plano, Texas will pay $4.5 million for its role in a scheme to sign consumers to manufactured home loans they couldn’t afford, Attorney General Roy Cooper announced Monday. The company provided home loans for North Carolina consumers who bought homes from Phoenix Housing Group between January 2007 and September 2008. Under a consent judgment between Starkey and the Attorney General’s Office, Starkey will pay an average of $26,000 to each of 171 families who purchased manufactured homes from Phoenix, pay $125,000 for consumer education and pay $25,000 to the Western Piedmont Council of Government to help provide financial counseling to consumers who receive refunds. Starkey is also permanently barred from making loans when a manufactured housing dealer is a party to the deal.

FROM THE ATHENS BANNER-HERALD in Georgia, Thomas F. Collins, founder and president of Flamingo Homes, was inducted into the Georgia Manufactured Housing Association Hall of Fame during the association’s annual meeting. The award was established in 1972 to recognize individuals who have made extraordinary contributions, and who have unselfishly contributed their talents, time and experience to advance Georgia’s factory-built housing industry. To date, 20 people, including Collins, have received the award.

“Up next, MARKET NEWS”

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

MHMSM.com/solutions.

Do you have vacant homes or sites? Does your financing, market, sales or management need a boost? From high Return on Investment online marketing, to public relations, sales, lead and management systems and more, make us your Solutions Resource. When you are ready for the answers to your needs, visit MHMSM.com/solutions.

IN MARKET NEWS

THE ASSOCIATED PRESS reports that net income more than tripled in the second quarter at RV and manufactured-home-component-manufacturer Drew Industries. The company says the boost was due to improving RV sales. Sales in its RV segment rose 83 percent during the quarter. Sales in the company’s manufactured homes segment rose. “Operating results in our manufactured housing segment also improved this quarter,” said Scott Mereness, president of Drew subsidiary Lippert Components and [a separate company] Kinro. “For the first time in many years, industry production of manufactured homes increased more than 10 percent over the prior year in each of March, April and May 2010, the last month for which data is available. While much of this industry increase was likely the result of the now-expired tax credit for first-time home buyers, we are encouraged by the success of our increased focus on aftermarket sales, as well as our market share gains in this segment. Our sales in this segment increased 35 percent in the 2010 second quarter, far outpacing the estimated 15 percent industry growth. Further, by leveraging our production capabilities, we were able to increase our operating profit in this segment substantially,” Mereness concluded. Drew Industries closed up 1.63 percent Monday, arriving at $19.29 a share.

STOCKS WERE DOWN MODESTLY for the day, but the manufactured housing composite value ended up .82 percent. Skyline Corporation closed up 2.36 percent to arrive at $18.19 a share. UMH properties closed up nearly three percent or .30 cents a share. Palm Harbor Homes was down one percent, arriving at $1.97 per share. The Dow Jones Industrial Average closed down 1.14 to 10,302.

“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!”

Listen to Podcast Here

To submit a news tip, please click here: iReportMHNewsTips@MHMSM.com
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Manufactured housing in the news at noon 100816

August 16th, 2010 Comments off

MHMSM.com presents Factory Built Housing Industry News at Noon with Erin Patla.

We begin with these stories:

IF YOU’RE LOOKING for chattel financing from the FHA, you may be out of luck, but that hasn’t stopped the agency from entering the luxury condo market in Manhattan. Bloomberg ran a story on Friday about a March agreement that allows the FHA to insure mortgages for apartments at the 98-unit Gramercy Park development, known as Tempo. It enables buyers to make a down payment of as little as 3.5 percent in a building where apartments range from $820,000 to $3 million. As the article points out, the FHA, created in 1934 to make homeownership attainable for low- to moderate-income Americans, is now providing a lifeline to new Manhattan luxury condominiums after sales stalled. In the article, FHA spokesperson Lemar Wooley notes that the agency loosened the condo rules because of “market conditions.”

Manufactured housing in the news…

A STUDENT AT THE ROCHESTER INSTITUTE OF TECHNOLOGY has come up with an innovative solution to providing modular housing for residents in the earthquake-ravaged island nation of Haiti. According to the Democrat and Chronicle of Rochester, Corey Mack has come up with a plan to use an oversupply of shipping crates for home exteriors, fitted with a molded interior. Mack presented his idea last week at the University.

THE FIRST OF A NUMBER of modular housing units for seniors have arrived in the Alberta, Canada town of Terrace. Eight of the 24 modular units arrived in town last week and are being set up on the location of a former farmer’s market. The fully-furnished one-bedroom units are part of the provincial and federal government’s $123 million seniors’ rental housing initiative to provide housing to seniors and people with disabilities.

A MANUFACTURED HOME ORDINANCE in Holbrook, Arizona could soon be undergoing some changes. The Arizona Journal reports that City Clerk Cher Reyes has requested a change in an ordinance to include the definition of manufactured housing and mobile homes to specify they must have been manufactured within the last ten years in order to be installed within the city limits. The existing city ordinance states that a manufactured home could be installed within city limits as long as they were built after 1976. If passed, the ordinance change would not apply to exiting homes. Reyes told the Arizona paper that of fourteen requests in the past year, all but two were constructed within the last ten years.

“Market News is next…

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

CommunityDASHinvestor.com.

Tap into Excellence, your ONE-STOP Resource for the Manufactured Housing Industry, the Leader in Land Lease Communities information!

Tap into Excellence – on the Web at CommunityDASHinvestor.com or call 317-346-7156.

In Market news

KANSAS CITY RESERVE BANK president Tomas Hoenig said Friday the Federal Reserve is undertaking a “dangerous gamble” by keeping rates at near zero for so long, and must start raising rates or risk damaging the nascent U.S. recovery. Hoenig made his comments to an audience at the Chamber of Commerce in Lincoln, Nebraska when he said, “Economic conditions are far from satisfactory, unemployment is simply too high, and we want a stronger recovery. But as much as I want short-term improvement, I am mindful of possible longer-term consequences of zero interest rates and further easing actions. Rather than improve economic outcomes, I worry that the FOMC is inadvertently adding to “uncertainty” by taking such actions. Remember, high interest rates did not cause the financial crisis or the recession.” On the contrary, Hoenig added, “The financial collapse followed years of too-low interest rates, too-high leverage, and too-lax financial supervision as prescribed by deregulation from both Democratic and Republican administrations.” Hoenig has been a consistent dissenter of interest rate policy at the Federal Reserve.

ZIP·REALTY CONCLUDED and CNBC reported that the number of U.S. homes listed for sale rose nearly 3 percent in July compared to June, the seventh consecutive monthly rise. Analysts say more homes in the multi-list could lead to more downward pressure on home prices.

THE DOW JONES industrial average closed lower again on Friday, down 17 points to close at 10,303. The manufactured housing composite value was down 1.64 percent. Active stocks include NVR, up $1.69 to close at $616.00 per share. UMH Properties closed down 56 cents to arrive at $10.06 per share. Finally Global Diversified Industries doubled its stock price Friday, arriving at three cents per share.

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. Gday!

Listen to Podcast Here

To submit a news tip, please click here: iReportMHNewsTips@MHMSM.com
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Now for more manufactured housing in the news

August 13th, 2010 Comments off

MHMSM.com presents Factory Built Housing Industry News at Noon with Erin Patla.

We begin with these stories:

FROM THE PRESS DEMOCRAT in Santa Rosa, California we find manufactured home park residents fighting the planned sale of the park they call home. Resident Roger McConnell and about 100 of his neighbors in the Country Mobile Home Park will ask the Santa Rosa Planning Commission to block the latest effort by their landlord to begin selling the lots instead of renting them. “There’s a few things in this life that’s still worth fighting for at this age: that lady in there,” McConnell told the Santa Rosa reporter, gesturing toward his wife Nancy in the next room, “and this home.” The park’s owner originally floated the idea of converting the 178 unit community of mostly low-income seniors to “airspace condominiums” four years ago.  At that time a survey of residents found 77 percent against conversion. While the owner contends the move would give residents the opportunity to own their lots, residents fear they will be unable to afford the land.

THE “OWNERSHIP SOCIETY” advocated by former President George W. Bush is meeting an alternative vision materializing from the current administration. According to a report in the Boston Globe, the Obama Administration plans to pump $4.25 billion of economic stimulus money into creating tens of thousands of federally-subsidized rental units in American cities. The paper reports the $4.25 billion set aside for the creation of rental housing will come from $14 billion that HUD has received from the federal economic stimulus package. HUD’s Assistant Secretary for Multifamily Housing Carol Galante told the paper HUD will still be in the business of helping people buy homes using existing lending subsidies.

______________________________________________________________________________

Now for more manufactured housing in the news…

A STORY FROM THE PAMPLIN MEDIA GROUP lets us know about 10,000 homes being provided by startup Pacific Green Innovations for the struggling nation of Haiti. The plan is to construct the low-cost homes in Haiti during the next year, using all-recyclable panels and employing thousands of Haitians. Costing only $5,000 to $7,000 each, the homes will utilize SwissCell technology, a modular prefabricated panel introduced by German-owned Consido AG of Switzerland. SwissCell panels are made almost entirely of paper, strengthened by a honeycomb-style core and recyclable resin. The homes will be fireproof, waterproof and earthquake-resistant. Each home will take about four hours for a four-person crew to build.

MCCLATCHY-TRIBUNE INFORMATION SERVICES reports that manufactured home dealers across Mississippi are seeing an increase in sales. Retailers Southern Colonel Homes of Laurel and Clayton Homes in Hattiesburg report better numbers this year. In the article, Clayton Homes Vice President Fred Townsend said sales in the Hattiesburg market are up by 16 sales, or a 72.7 percent sales increase over the previous year.

IN RIVERSIDE, CALIFORNIA, the Press Enterprise reports that MVP RV, a Moreno Valley-based company that tried to enter the electric car market last year, plans to hire hundreds of workers to staff two former Fleetwood Enterprises plants. The company plans a job fair Aug. 28 and wants to bring in 80 new employees to start work in September. MVP became the owner of the former Fleetwood plants this week. Once the Inland area’s only Fortune 500 Company, Fleetwood Enterprises filed for bankruptcy protection in March 2009. Look for a feature article on the liquidation of Fleetwood Enterprises at MHMSM.com early next week.

A BOYCOTT OF ARIZONA over the recent immigration law appears to be getting in the way of providing new homes for a Mountain View, California mobile home park. Outlook News in Santa Monica reports that on those grounds the Santa Rosa City Council rejected staff’s recommendation for a business team to provide replacement homes for the Mountain View Mobile Home Park. The City wants to purchase 20 replacement homes for the City-owned neighborhood, but the company with the winning bid, Cavco, is located in Phoenix. Previously the council approved a boycott against Arizona businesses due to the passage of the illegal immigration enforcement law, SB 1070 (The Support Our Law Enforcement and Safe Neighborhoods Act).

FORECLOSURE FILINGS are on the rise …

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

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

For more information, email Kenneth Rishel at kennethrishel@captivefinance.net or call 217-971-3968.

FORECLOSURE FILINGS are on the rise, this according to RealtyTrac. The company released its U.S. Foreclosure Market Report for July 2010, showings that foreclosure filings — default notices, scheduled auctions and bank repossessions — were reported on 325,229 properties in July, a nearly 4 percent increase from the previous month, but a nearly 10 percent decrease from July 2009. One in every 397 U.S. housing units received a foreclosure filing during the month.  With one in every 82 housing units receiving a foreclosure filing in July, Nevada continued to document the nation’s highest foreclosure rate for the 43rd straight month. A total of 13,727 Nevada properties received a foreclosure filing in July, a nearly 7 percent increase from the previous month, but a nearly 30 percent decrease from July 2009. July was the 10th straight month where overall Nevada foreclosure activity decreased on a year-over-year basis.  All ten metro areas with the nation’s highest foreclosure rates in July posted year-over-year decreases in foreclosure activity, but five of the top ten posted increases from the previous month. The two biggest monthly increases were in No. 2 Cape Coral-Fort Myers, Fla., where foreclosure activity was up 21 percent from the previous month, and in No. 9 Phoenix-Mesa[MAY-sah]-Scottsdale, Ariz., where foreclosure activity was up 19 percent from the previous month. Foreclosure activity increased nearly 9 percent from the previous month in the Las Vegas-Paradise, Nev., metro area, which registered the highest foreclosure rate among metropolitan areas with a population of 200,000 or more. One in every 71 Las Vegas housing units received a foreclosure filing in July, more than five times the national average.

REUTERS REPORTS that a summit of housing industry leaders next week in Washington may yield clues on the future of Fannie Mae and Freddie Mac and the $150 billion in taxpayer funds invested in them. The companies were seized by the Bush administration in September of 2008 and placed in the conservatorship of the Federal Housing Finance Agency. According to the article, a consensus has emerged that their former existence as congressionally-chartered, shareholder-owned entities should not be resurrected. While many Republicans want to see the firms fully privatized, The Mortgage Bankers Association has proposed a system in which risk-based fees on a class of mortgage-backed securities would be charged in exchange for an explicit government guarantee ensuring investors do not suffer losses.

_____________________________________________________________________________

In Market News…

ACCORDING TO A WEEKLY REPORT from Freddie Mac, the 30-year fixed rate mortgage slipped to 4.44% for the week ending Thursday. That’s once again the lowest since the government-backed lender began tracking the rate in 1971. Last week the rate was 4.49%, and a year ago it was at 5.29%.

THE MANUFACTURED HOUSING INDEX COMPOSITE value was down Thursday, declining more than two percent. Active stocks included TJT Inc, up 12 percent to close at 28 cents a share, All American Group up more than two percent to close at 45 cents a share, Nobility Homes down more than ten percent to close at $9.51 a share and Palm Harbor Homes, off nearly five percent to close at $1.96 a share. The Dow Jones Industrial Average closed down 58 points arriving at 10,320.

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. Gday!

Listen to Podcast Here

To submit a news tip, please click here: iReportMHNewsTips@MHMSM.com
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Manufactured Housing in the News

August 12th, 2010 Comments off

MHMSM.com presents Factory Built Housing Industry News at Noon with Erin Patla.

We begin with these stories:

___________________________________________________________________________

TUESDAY THE OBAMA ADMINISTRATION announced additional support to help homeowners struggling with unemployment through two targeted foreclosure-prevention programs. Through the existing Housing Finance Agency (HFA) Innovation Fund for the Hardest Hit Housing Markets, the U.S. Department of the Treasury will make $2 billion of additional assistance available for HFA programs for homeowners struggling to make their mortgage payments due to unemployment. Additionally, HUD says it will soon launch a complementary $1 billion Emergency Homeowners Loan Program to provide assistance – for up to 24 months – to homeowners who are at risk of foreclosure and have experienced a substantial reduction in income due to involuntary unemployment, underemployment or a medical condition. Under the additional assistance announced, states eligible to receive support have all experienced an unemployment rate at or above the national average over the past 12 months. Each state will use the funds for targeted unemployment programs that provide temporary assistance to eligible homeowners to help them pay their mortgage while they seek re-employment, additional employment or undertake job training. Eighteen states are eligible including California, Nevada, Indiana and Florida.

THE NATIONAL ASSOCIATION OF REALTORS (NAR) reported Wednesday that Second Quarter home prices rose in 100 U.S. cities in the second quarter including 14 with double-digit increases. The national median existing single-family price was $176,900 in the second quarter, up 1.5 percent from $174,200 in the same period of 2009. Lawrence Yun, NAR chief economist, said the correction in home prices appears to have ended in 2009. On a cautionary note, Yun also said  prices in some areas remain below replacement construction costs, so even with an elevated supply of existing homes on the market, the realtors don’t expect any consequential movement in home prices for the foreseeable future. Very low inventory of newly-built homes also will help to support home values.

______________________________________________________________________________

Manufactured Housing in the News

THE WEEKLY OBSERVER IN JOHNSON CITY, South Carolina ran an editorial Wednesday asking the question: “Is a manufactured home ban necessary?” The City Council there is considering a move to rezone all of the city’s R-3 lots to R-3A to keep any new manufactured homes from being placed within the city limits in those areas. The paper called the move “either one of strategic future planning or a misdirected and poorly conceived initiative to increase the town’s aesthetic appeal.”

The editorial continues: by excluding the homes, the city council is in essence predicting that future residents will be of a certain economic standing, one that can afford site built homes specifically. That is to assume then that future Johnsonville-ites will come to town following a trend of economic growth that would sustain such financial categorization.

The problem is, no solid evidence currently exists that would hint at such a trend. For many families, manufactured housing provides the opportunity to have home ownership without the cost of a site built structure. Whatever the council’s intentions or future plans are, they had better be sure they have a clearly defined goal and do not discourage future residency or tread on the rights of their current citizens.

______________________________________________________________________________

“Up next, Market News”

But first, this podcast of News at Noon is sponsored in part by: LifeStylist.com – Lifestyle Driven Designs by Lifestylist® Suzanne Felber. Furniture, Decors and Model Homes designed for your budgets and your customers’ lifestyles.

Contact them on the Web at answers@lifestylist.com or LifeStylist.com or call 214-941-8341.

_________________________________________________________________

In Market News…

DEER VALLEY CORPORATION this week filed its Form 10-Q for the second quarter of 2010. The Company reported revenue for the 2nd quarter of $9,192,251, a 37.1 percent increase over the revenue reported in 2nd quarter of 2009 and a 50 percent increase over the revenue reported for the 1st quarter or 2010. In a year-over-year comparison, net earnings for the second quarter tripled to $603,054 vs. $198,136 reported for the 2nd quarter of 2009. Deer Valley’s CEO, Charles G. Masters, comments that a portion of the gain in the second quarter of 2010 undoubtedly reflected the effect of the temporary government-sponsored tax credit program. Of more long-term importance, he says, has been the increasing effect of the Company’s ability to provide qualified independent dealers with a reliable source of inventory financing. “We believe that with the availability of our ‘financing arm,’ we are gradually gaining in the constant competitive battle for industry position.” Masters added this caution, “The entire manufactured housing industry continues to be battered by the lingering effects of the national economic slowdown. We can anticipate that with the continuing national economic lethargy, the slower housing sales activity that is normally experienced by the construction market during the winter months will very probably be exaggerated in the quarters ahead. We believe Deer Valley has the financial strength to deal with these market conditions, but our goal of returning to our historical growth rate will probably remain elusive throughout 2010 and early 2011.”

STOCKS WERE AWASH IN RED on Wednesday, erasing gains for the year, on indications there could be significant roadblocks on the highway to economic recovery. A report showed the trade deficit had widened in June, much more than economists had projected.  The drop also follows an assessment by the Federal Reserve Tuesday that gave a cautious outlook to the recovery and would begin buying Treasury securities, a move some analysts say is a measure of last resort. Most of the stocks on our watchlist were down Wednesday with Skyline and Cavco both falling more than five percent. The manufactured housing composite value was also off five percent. Up for the day was Nobility Homes and All American Group which went up 10 percent to close at 44 cents a share. The Dow closed down 265 points to 10,378.

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. Gday!

Listen to Podcast Here

To submit a news tip, please click here: iReportMHNewsTips@MHMSM.com
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