Posts Tagged ‘rvia’

A New Housing Insurance Market?

March 16th, 2017 Comments off

An unrelated “tiny home.” Credit: Youtube.

Although it’s still considered a small share of the market, the growing buzz around so-called “tiny homes,” has opened up a new market for insurance.

According to Insurance Journal, while enthusiasm does run high, so do the challenges and realities that the tiny home industry, and owners, face: building codes, zoning ordinances, community norms and, insurance issues.

Some of the biggest issues involve building codes that have yet to be standardized and a variety of city and municipality zoning and ordinance regulations on where tiny homeowners can place their dwelling legally,” said Mike Schmidt, business development director for the Tiny Home Industry Association and CEO of Ensemble Ventures, a Colorado Springs business development firm.

As state and local governments struggle with, and have their own rules on, exactly how to classify tiny homes, there continues to be confusion over definitions between RVIA standards (Recreational Vehicle Industry Association) versus International Residential Codes (IRC), which lends to potential challenges around how to insure them.

There’s been some crossover between the two and how you apply insurance to this market is very interesting,” said Schmidt.

There are different types of tiny houses — how they are sited and built, how they are placed, whether they are on a trailer; a lot of things that are evolving and developing.

Additionally, zoning codes and regulations that classify tiny homes as RV’s create an additional set of problems surrounding permanent residency.

HUD basically mandates and specifies that you can’t live in an RV more than 30 days at a time in a fixed location which has really hampered the (tiny home) industry significantly,” said Schmidt.

We’ve spent a lot of time looking at single family homes building, and development lags in the country. There’s a serious need for affordable housing and tiny houses may have a role to play if we can get some of the conflicting zoning and ordinances cleaned up.

As Daily Business News readers are already aware, even though tiny homes may look more affordable on the surface, manufactured housing provides a significantly better value per square foot.



Credit: CJOB.

It appears that changes could be on the horizon, given a recent addendum to the IRC.

The addendum provides architects, designers, builders, community developers and zoning officials a means of recognizing tiny houses as an official form of permissible dwelling,” said Thom Stanton of the Housing Development Institute.

The Insurance Industry

With code and zoning issues, the insurance industry has been slow to move. But one agent has decided to dive in and work to corner the market after meeting one of the earliest adopters of tiny homes.

I met Dee Williams and she talked about the frustration of not being able to find insurance,” said Darrell Grenz, owner of the Darrell Grenz Insurance Agency in Portland, Oregon.

I started going to some of her workshops to learn about the tiny home industry and then one of my clients built a tiny home.


A park model home by Skyline Homes. Park models are being used by some to target the ‘tiny house’ movement. These homes – depending on their size and configuration – may be built to the ANSI or HUD Code.

Then, Grenz was hooked.

It was almost like destiny. My office, located in North Portland, has become a hotbed for the tiny home movement,said Grenz.

But, Grenz ran into challenges as he started calling his carrier reps, as many said no to taking the risk. He finally got a big break, which involved Lloyd’s of London building a program to insure tiny homes.

Even with that success, there’s still concern about agents not having a full understanding of the market.

The problem is that most insurance agents do not understand the differences on all these things (in tiny homes) and the tiny home movement, if it’s really a movement,said Martin Burlingame, CEO of Colorado Springs-based Commercial Insurance Group.

It’s a disaster for insurance because you have agents doing all kinds of crazy things.

The biggest problem when it comes to insurance is whether the tiny home is a permanent residence or a rental property. Many tiny home enthusiasts have taken to the Airbnb-style home venture.

Even though Burlingame says that the market isn’t growing as fast as many would like, he sees the potential.

How the industry evolves over the next few years will be interesting to watch. The evolution reminds him of another emerging market and product evolution: the legal marijuana industry,” said Burlingame.

Why Not Manufactured Homes vs. Tiny Houses?


Several manufactured housing professionals believe that those fascinated with tiny houses ought to be thinking manufactured homes instead.


Brian Cira, photo credit, MHProNews.

Anybody with a brain in their head would look at a manufactured home,” Brian Cira, president, Fairmont Homes, Nappanee, IN said.

We do it much more efficiently, much more smartly. We’ve been doing this for decades. … We could build these [tiny houses] all day long.

For a detailed comparison of tiny houses and manufactured homes, see the article, linked here. ##


(Image credits are as shown above.)



RC Williams, for Daily Business News, MHProNews.

Submitted by RC Williams to the Daily Business News for MHProNews.

MH/RV Ranking moves to 7 on IBD Scale

November 3rd, 2015 Comments off

mh ready for shipment  wikipediaInvestors Business Daily (IBD) tells MHProNews that producers of manufactured homes and recreational vehicles have moved up the IBD rankings of 197 industry groups from 120th six weeks ago to the current 7th spot. Termed the Building-Mobile/Manufacturing & RV group, the MH/RV ranking was in the 89th spot just three weeks ago.

IBD specifically notes that Cavco Industries, Inc. (NASDAQ:CVCO), in their recent quarterly filing reported their $0.89 earnings per share was up 46 percent from a year ago, marking the largest gain in five years. Sales rose 38 percent to $192 million. As MHProNews reported in the stock market report of Fri., Oct. 30, Cavco’s stock skyrocketed 19.15 percent to close at $98.60, following the release of their financials. Cavco produces manufactured homes, park models, modular homes, vacation cabins and commercial modular structures.

IBD also notes that the quarterly results for Patrick Industries (NASDAQ:PATK) indicates the company posted earnings of $0.58 per share, up 29 percent from a year ago. Sales for Patrick rose 14 percent to $214.8 million. Acquisitions from the last two years has helped fuel growth. Patrick manufactures and distributes component products to the manufactured housing and recreational vehicle industries.

The Recreational Vehicle Industry Association (RVIA) reported last week that wholesale shipments of RVs hit 27,960 for the quarter, a rise of 12.4 percent from one year ago. ##

(Photo credit: wikipediacommons-manufactured homes ready for shipment)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J. Silver to Daily Business News-MHProNews.

RVIA Honors RVIC/IMHA Director Mark Bowersox

March 13th, 2015 Comments off

Mark b, RVIA pres Coon and ria chairman bontrager  rvbusiness  creditMHProNews has learned from rvbusiness that Mark Bowersox, executive director of the Recreational Vehicle Indiana Council and the Indiana Manufactured Housing Association (RVIC/IMHA), has been honored by the Recreation Vehicle Industry Association (RVIA) with the National Legislative Award.

Bowersox was recognized for his leadership in addressing the Department of Housing and Urban Development’s (HUD) issue regarding how park model recreational vehicles are measured. He lobbied Indiana’s congressional delegation to introduce legislation addressing the issue, and sought support from other state manufactured housing association for their assistance.

When the RV industry suffered a delivery driver shortage, he worked with the RVIA in lobbying the Indiana legislature to pass a measure that removes the requirement for deliverers to have a chauffeur’s license to transport particular vehicles. ##

(Photo credit: rvbusiness–RVIA president Richard Coon, left; RVIC/MHA Executive Director Mark Bowersox, middle; Derald Bontrager, RVIA Chairman, right)

matthew-silver-daily-business-news-mhpronews-com   Article submitted by Matthew J Silver to Daily Business News-MHProNews.

Hall of Fame Inducts Ten

January 31st, 2012 Comments off

The Recreational Vehicle/Manufactured Housing Heritage Foundation has announced to its annual inductees into the RV/MH Hall of Fame to honor those who have made significant contributions to the industry. This year marks the 40th anniversary of the awards, to be held in Elkhart, Indiana, Aug. 6, 2012. The inductees are: Michael R. Evans, Aberdeen SD founder of Centennial Homes; Doug Gorman, Tulsa, OK founder of Home Mart, MHCC member; Mr. and Mrs. Nelson (deceased) Jackson of Myrtle Beach, SC founded the Ocean Lakes Family RV Park; Edith Lane (deceased) of Deming, New Mexico, founded RV singles organization; Gerald “Jiggs” Mereut, Wausau, WI owner of Housing Mart, longtime association board member; Bob Olson, Forest City, IA Winnebago Industries CEO; Stanley Sunshine, Atlanta GA RVIA member, strong industry supporter; Ellwood A. Titcomb (deceased), Lake Helen, FL housing community pioneer; Perry Yoder (deceased) Middlebury IN RV industry leader and board member IMHA; and Mary Irene Younkin, Columbus, OH 60+ year veteran of the housing industry, business founder and association member, joins late husband and son in Hall of Fame.

(Photo credit: RV/MH Hall of Fame)