In 2009 and 2010, the manufactured housing industry hit bottom. What that means is that thousands of professionals and investors in the industry today have never personally experienced an era of high performance.
Some believe that the only reason that manufactured housing hit a total of some 372,000 (+/-) new home shipments in 1998 think that was because of “easy financing.” While easy financing played a role, the reality check is that 372,000 (+/-) consumers believed that a manufactured home was the solution to their housing needs.
In several markets, one in three Americans who bought a new home, were buying a manufactured home in 1998. Financing made that possible, but real people still made that choice.
About 6 million new or resale conventional housing units will be sold in 2018, according to the most recent National Association of Realtors™ (NAR) data.
Trading Economics said that the seasonally adjusted annual rate (SAAR) of multi-family housing starts in May 2018 was 404,000. So multifamily alone is about 4 times the number of HUD Code manufactured housing units, based upon recent data.
Trading Economics also said that new construction is running at an eleven year high.
Facts are facts. Facts are neutral measures of reality. Once facts and their causes are understood, then the opportunities can be tapped. What the above data means is that the typical retailer could potentially be selling 10x (+/-) more manufactured homes. a typical market
Meanwhile, manufactured housing – while up from its bottom – is lagging far behind.
Manufactured housing is projected by some to finish around 107,000 (+/-) new home shipments in 2018.
Thousands of manufactured homes shipped today are for rental purposes in manufactured home land lease communities. While it’s a legitimate tool, ELS’ Sam Zell is among those who has said rentals ought to be managed well, and kept marginal.
When the U.S. needs 8.3 million additional, new affordable housing units (NAR), and conventional builders can’t keep up, nor match our price points, why does manufactured housing lag so badly?
MHProNews established the #1 audience in the industry by not shying away from tough topics. Thinkers come here, and then the doers get busy based upon new insights. We believed the MH Industry would respond to actionable reality over platitudes. Vision became reality.
- A lack of objective analysis and critical thinking as to the causes and cures for the industry’s low market penetration.
- A widespread failure to recognize what kind of thinking and behaviors led manufactured housing to this relatively low point. Think about the Einstein quotes, above and further below.
- Trusting in the wrong “leaders.”
Eternal principles matter. For those who make up their “own morality,” the result is inevitably chaos. Imagine if everyone made up their own “rules of the road” in driving. Driving would become far more hazardous and slow. A common set of authentic core principles is necessary in a just and productive society.
The prophet Hosea (in the “Hebrew Scriptures,” “Tanakh” or for Christians the “Old Testament” Scriptures) proclaimed “My people perish for a lack of knowledge!” (Hosea 4:6)
Another version of that same passage is translated as “My people perish for a lack of vision.”
Mutual victories is the essence of how progress occurs. By contrast, Win-Lose tends towards avoidable conflict.
MH Industry professionals and investors must become ever-more people of sound, authentic principles. The good of the customer and society ought to be the ultimate good for sellers and service providers. Mutual victories are how progress occurs.
There are needs for absolute principles in society, just as there are in math or science. Moral relativism doesn’t work in practice. The most just society imaginable would follow the 10 Commandments
Inspirational dissatisfaction is part of critical – analytical – thinking, and thus how advancement occurs.
Some people misunderstand the nuanced meaning of the word, “critical.”
Critical thought is analytical thought.
Analysis is born of the belief and desire that things can or should be better!
There is joy in the accomplishment of overcoming obstacles.
There is hope and excitement in facing challenges for the purpose of advancement.
What is leadership?
The quotes shared are like the facets of a diamond. Each cut of the diamond is necessary to give it that majestic look when the light hits it.
Landscapers prune trees and shrubs. Pruning is necessary for health and growth, as well as for beauty.
The thinking of the past roughly 15 years will not take manufactured housing to its potential. There are those who for whatever short-sighted or selfish reasons are content with how things are. Others posture a good talk, but if they routinely violate ethical principles, how can they be good role models or leaders?
Phase One is Understanding based upon Information, which is a form of Education. Phase One is ongoing, because understanding that flows from knowledge never stops.