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Posts Tagged ‘substantial drop’

Fannie Mae: Manufactured Housing has Challenges to Overcome

June 27th, 2013 Comments off

In its latest Housing Insights report, Fannie Mae notes that while overall home construction fell by 70 percent between 2006 and 2011, manufactured housing (MH) began declining in 1998, falling nearly 90 percent. In 2012 MH accounted for 7.4 percent of total home construction, a substantial drop from 20.2 percent in 1998. The report says, “Given manufactured housing’s modest share of the total housing stock, the decline in manufactured home production might not seem important. However, manufactured homes account for an outsized share of low-cost housing, particularly among owner-occupants. Whereas manufactured homes account for approximately 7 percent of all owner-occupied homes, they represent 16 percent of owner-occupied units with monthly housing costs of less than $500.” As inman.com informs MHProNews, the average price per square foot for a manufactured home in 2012 was $42, less than half the square foot cost of a new site-built, single-family home. The report cites several barriers the industry must overcome, including limited conventional financing options due to titling of most manufactured homes as personal property, an underdeveloped secondary market for manufactured home loans, and pending financial regulations that could further curtail manufactured home lending.

(Photo credit: Jonathan Ernst/Reuters–Fannie Mae headquarters)

T. J. T. Reports Substantial Drop in Sales

January 26th, 2013 Comments off

DailyFinance tells MHProNews T. J. T., Inc., based in Eagle, Idaho reports a net loss of $1,149,000, $.25 a diluted share, for fiscal year 2012 for this supplier of axles, tires and set-up supplies for the MH industry. Lower sales volume combined with an increase in SG&A (selling, general and administrative expenses) led to the net loss, which includes a $340,000 loss in Q4 2012. Sales plummeted 57 percent to $821,000 in the fourth quarter compared to the same period 2011. On the year, sales fell 34 percent to $4,004,000 in 2012 for the FY ending Sept. 30, 2012 compared to the previous fiscal year totals. The company formed T. J. T. Transit, LLC in Oct. 2012, a wholly-owned subsidiary designed for the transport of manufactured housing, modular buildings and man camps, which is set to be operational in early 2013. Due to cost-saving measures being taken by the company, T. J. T. will no longer file quarterly or annual reports for public perusal.

(Photo credit: Inhabitat)