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MH Forward Progress, September 2014

The retail stores are already putting Christmas trees and holiday related goodies out. Congress is making their 2 week appearance in DC, to pass the CR (continuing resolution) and get some hearings and light work in, before heading home to campaign for the rapidly approaching November Elections. Manufactured housing pros are being told to expect around 63,000 (+/-) new home shipments by years end; continuing 4 years of modest gains.

But who is really talking about the fact that just a few months ago the estimates were for a total of 68,000 to 70,000 new homes for 2014? Shouldn’t we be raising our new home shipment level goals higher, rather than adjusting down the expectations?

Here is an example of why we should expect more!

Freddie Mac’s Chief Economist, Frank Nothaft touts the fact that multifamily rentals are at the biggest clip in a decade, and they are being “absorbed.” With MH routinely lower in cost than rentals, shouldn’t we be expecting more sales than we currently have?

Frank Nothaft: New Multifamily Housing Units Being Absorbed 

Some in MH – besides ourselves – are saying privately and publicly, “yes!” More on that later below.

Another reason to Act Now…

Three D printing of homes isn’t happening “someday,” it is happening now.

3D Printer Pours out Concrete to Form Modular House 

modular-house

The time to expand your operation’s improved marketing and sales reach is now, not later.

For those of you who have Called, Messaged or Emailed…

As previously hinted, there are a number of items we can’t yet elaborate on beyond the previously shared clues, but that you will see take place – per our sources – before or around the end of 2014. Sorry, we can’t go beyond those prior hints on the Masthead or Daily Business News, due to the sensitive nature of our sources.

But what we can give you now is a quick first-look at the 2014 Manufactured Housing Institute (MHI) annual meeting.

Manufactured Housing Institute announces Executive Committee election results 

mhpronews-mharr-mhi-associations-graphic-manufactured-home-marketing-sales-management

We’ll bring you a report on all of the MHI award winners and the new division leadership team members that took place. MHI added a new staff member for the CFO role, we’ll bring her photo and CV info to you soon too.

MHI’s political read on the upcoming election is for Republicans to hold the House and likely pick up added seats. The GOP is expected to gain 3-8 seats in the Senate, which today is at 55D to 45 R.

If so, that mirrors what happened in 2006 for George W. Bush, when Democrats controlled both House and Senate.

We will bring you Dr. Gerald Swanson’s economic report to MHI, which could be summarized this way. 49% of the nation doesn’t believe we are out of the “Great Recession.” But tepid growth is better than no growth, Swanson said. Further, the dynamics described in that upcoming report will spell large opportunities today and tomorrow for manufactured housing pros, given the right strategies.

Speaking of strategies…

A source confirmed about MHI what evidence has already suggested, that there is “no appetite at this time” by the executive committee to undertake image/PR/marketing related initiatives. This was discussed off-the-radar by various state executives, industry pros, MHI members and others.

Michigan’s state MH association has taken a step of getting at least one positive news story into the press monthly.

MHEC (Manufactured Housing Executive Council) has decided to explore doing something PR/image related at the state level. Corporate players are talking about doing ‘something’ too.

With sources and the evidence suggesting that MHI feels it must stay focused on lobbying and political activity, what will take place over the next few months among state associations and corporate players will be worth watching.

MHARR signaled an interest in doing something to lift sales, but so far, not much detail beyond broad-brush statements or hints favoring the goal of selling more new homes.

Forward progress?

Marc Lifeset’s article…

Is It Really Progress? Manufactured Housing Finance, Dodd-Frank and the CFPB

…demonstrated that there is forward progress. A good bit of time was spent at the MHI meeting discussing the need for CFPB to bring more clarity to the LO comp issue, hopefully in a fashion similar to what real estate agents currently enjoy.

The appraisal rule will kick into effect next summer, and discussions around preparations for that were also an important feature at the MHI annual meeting.

The industry’s political activity in DC can’t be underestimated in its importance. Again, the progress made is outlined by attorney Marc Lifeset in the article above.

But if you are looking for more marketing and sales lift, look to your state association – make your own plans – hire or team up with other business pros. Unless something surprising happens, it doesn’t look to be coming from “the nationals” any time soon. Their stated focus is lobbying, and in fairness, it is an important focus indeed. ##

la-tony-kovach-latonykovach-com-By LATonyKovach.com

(3D Image Credit: BBCNews)

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