Trends 2010 Questionnaire - Doug Gorman

1. Factory-built housing-wise, what would you like to see happen in 2010?

I would like to see improved financing and an improved appraisal process. If our government will reasonably implement the Duty to Serve obligation that our Congress intended and if we can see an enhanced application of the revised FHA Title I financing we could see an increase in retail sales.

2. What are the challenges and the paths needed to move forward?

Availability of money for inventory and retail financing. The appraisal process is also stacked against manufactured housing. As an industry we face a very real challenge of becoming irrelevant. We have statutes on the books now that indicate that GSEs have a "Duty to Serve" the lower end housing markets. We should pursue that requirement through our congressional delegations. The industry has done some positive work with Fannie Mae and with some recent changes from Fannie Mae, the MH Select program may gain some viability.

3. If a national 'Go-RVing' style image campaign isn't achieved, would you favor state or regional level image and marketing campaigns as an alternative? Do you think that such an effort could in some ways be more effective than a national campaign? If so, why?

I like the idea. I just don't know who has enough money to fund it. I have seen some very general proposals and liked some parts and didn't like other parts. One proposal I saw included some unfair advantages for part of the industry. Ultimately retail drives the machine (with appropriate financing). If we drive up retail sakes all else will follow.

4. Does this industry need natural disasters (i.e. hurricanes) to survive or thrive? Explain your position on this point.

They may for the moment. With industry shipments at an all time recorded low, the shipments would be even lower without the sales brought about by the increased need for housing in places like Louisiana.

5. What can consumers expect from your sector of the industry in 2010?

6. What can your sector of the industry do better? How can that be achieved?

In addition to the points made in the previous question, we can seek ways to improve the delivery, installation and warranty fulfillment processes for our clients. By involving the manufacturer in the walk-through the manufacturer is positioned to see that no punch list becomes a sticking point for the home owner.

7. Any other thoughts or encouragement you'd like to share with our Industry Readers?

We are a great industry staffed with outstanding people. I have been privileged to meet many of those fine people over the past 38 years. We do need to make sure that our shipment numbers don't get so low that HUD makes a decision to close down the manufactured housing division. To be successful, we have to increase our focus on our clients and make sure we are providing them value.

Please provide your:

Doug Gorman
President
Home-Mart, Inc.
9516 East Admiral Place
Tulsa, OK 74115
918-835-0500

What Industry segement are you in? (Check "X" all that apply)
X Retail