FMHA Executive Director Jim Ayotte leads the board through its annual meeting.
Among the very earliest manufactured housing industry trade shows and meetings to convene in person, the Florida Manufactured Housing Association annual meeting, took place June 17-18 at the Hyatt Regency Sarasota.
Bobby Jacobsen, of Jacobsen Homes, accepts the Bill Turney President’s Award during the 2021 FMHA Annual Meeting in Sarasota.
The FMHA annual meeting was themed “We’re Better Together”, an ode to the post-pandemic re-emergence of public gatherings and industry meetings. FMHA Board of Directors met prior to the event, which kicked off with registration, an 11 a.m. Thursday morning coffee greeting, and a talk on “All Things COVID” covering topics from liability protection to policy and lawmaking. Manufactured housing professionals at the meeting toured the exhibit hall, and attended a 5-7 p.m. mixer sponsored by Lutz, Bobo & Telfair.
After breakfast Friday morning economist Elliot Eisenberg gave a talk, and there were a pair of workshops on labor and retention, and how automation can increase sales. Recipients of FMHA member award were announced during the Friday luncheon, and the main program continued with a marketing talk, and a session on legal topics in the industry.
Jim Hoekstra, of Sun Communities, won the Bill Hart Member of the Year Award. The Bill Turney President’s Award went to Bobby Jacobsen, of Jacobsen Homes, and David Eastman, the association’s general counsel, won the Williams-Olsen Award.
“We have many good years ahead of us in Florida and in this industry,” Jacobsen said in accepting the award. “I hope you enjoy the work as much as I have. It’s an honor to work in this industry.”
As far as I know, there’s no playbook for dealing with the aftermath of a pandemic.
Even as the experts struggle to find new adjectives to describe the unprecedented events we all experienced over the last 18 months, recent indications suggest that we may finally be nearing the threshold of a post-pandemic return to normalcy.
Vaccination numbers continue to rise. COVID cases, and the severity of those cases, are on the decline. Restrictions are being eased. Workers are returning to their offices. In-person events are on a comeback. While the safe bet may be to remain cautiously optimistic, the progress is certainly positive, if not a bit tentative.
But that’s how it’s been since the beginning. If there’s a trend that emerged in the past year, it’s uncertainty. Who would have ever expected that a potential economy-ending apocalypse would have resulted in the creation of historic consumer demand for housing? Yet despite all the unknown territory that we have collectively navigated, there is one undeniable truth that has emerged from all of this. The pandemic has fundamentally changed our business. And for many of us, far-reaching effects will persist long after the pandemic is behind us.
Consumer Expectations Have Changed
Some of the earliest adaptations we had to make as an industry were in response to rapidly shifting consumer preferences. This time the driver was more than convenience, it was health and safety. Physical showings and open houses were replaced by virtual tours and video walkthroughs. Walk-ins became scheduled video conferences. In-person closings went curbside. For many in our industry, this was uncharted territory. There was a lot of “figuring it out”. It involved changes to processes, procedures and our own comfort with technology.
Nowhere was the shift in preferences more apparent than MHVillage, where our website is on the front lines when it comes to identifying rapid changes in consumer sentiment. Like many companies, as the market pivoted we responded to the needs of our customers by developing a virtual open house product, supporting new virtual tour formats and making it possible to include more photos across our listing categories, all in record time. These changes were essential to serving the needs of our customers, so they could continue to serve their customers.
Even as the pandemic subsides, these enhancements are helping to make the consumer experience better. Much like online order pickup, same day delivery, and movies that stream the same day they hit movie theaters, many of the improvements companies made to to serve their customers during the pandemic are here to stay. They’re no longer optional. They’re expected.
The Concept of Home Has Changed
Because of our leadership position in housing affordability, manufactured housing has always been at the forefront of preserving the American Dream. That dream is more important than ever in a post-pandemic world. Home is security. Home is comfort. Home is uniquely individual.
The events of the past year have brought the concept of home into even greater focus as kitchen tables became classrooms and bedrooms transitioned into work spaces. What consumers want in a home has evolved. More space. More function. Multipurpose areas. Outdoor living. It goes beyond having a home office for those able to work remotely. For some, economic realities have necessitated adult children to move in with their parents. Likewise, many adult children have had to become caregivers to one or more of their aging parents. People have taken on new hobbies. Started home businesses. Turned that formal dining area into a fitness room. Retired earlier than anticipated.
The demands on the home are greater and will shape the features and amenities we build into our product for years to come. And it’s not just the product. It’s also the location. Suddenly, people don’t have to live near where they work. They can live on a lake. Or in the woods. You’ve heard about the exodus away from the major urban centers. That trendy, pricey apartment near downtown became less appealing when everything was closed. Location has always been everything, and the pandemic has prompted consumers to evaluate where they live as much as how.
Interest in Manufactured Housing Has Changed
A new manufactured home from Clayton with residential design features now permitted in R1 and mixed-use districts of Panama City, Fla.
There’s a well known aphorism that “a rising tide lifts all boats”. One might say that’s true about the overall housing market and the manufactured housing industry.
As site-built housing inventories remain at all time lows and residential real estate prices continue to push the boundaries of sanity, let alone affordability, interest has slowly turned to manufactured housing as a potential solution. Whether it’s the desire for a more affordable alternative, a better method of building a second home or an accessory dwelling unit (ADU) as an income property, the pandemic may be the catalyst for sustainable heightened levels of interest in manufactured housing, at least as long as the residential real estate market continues its ascent.
Point2, a division of Yardi Systems, recently cited that 23 U.S. states have seen manufactured home searches increase by 50% or more according to Google Analytics data. This increased activity in consumer interest is mirrored by our internal data at MHVillage, which saw year-over-year increases in search volume ranging from 52% to 149% in many markets at various points during the pandemic.
While the roller coaster ride that was the early weeks of the pandemic has stabilized, the year-over-year increase in national search activity continues to hold in the 35 to 40% range and shows no signs of abating. Backlogs are evidence of that. Backlogs to get homes. Backlogs to get homes delivered and set. Backlogs to get on-site work completed. This may be the new normal for a while.
Our Embrace of Technology Has Changed
Our industry has historically not been one for early adoption of technology. When the day comes when manufactured home buyers want to pay for homes in cryptocurrency, I can assure you that MHVillage will be one of the first to support it, but as an industry, we tend to favor a more decided approach. We like what’s reliable, tested, proven. All things that tech advancements often are not.
That said, the industry has been on a technology trend. Pandemic-fueled business growth has necessitated changes to internal systems to support higher levels of activity. Months of travel restrictions put a renewed emphasis on everything from property management systems and online resident screening platforms to remote monitoring systems and apps where residents can submit concerns or maintenance requests.
We all seemed to take the opportunity to find better ways to run our businesses.
At the very least, perhaps priorities have shifted, affording time to tackle long standing projects that just never seem to progress among the usual gauntlet of in-person meetings, site visits and industry-related travel. Our technical team has done more integrations with third-party software on behalf of our clients in the past year than we’ve done in the five years previous. This isn’t going to go away. If anything, success with technology is going to accelerate these decisions.
The Cost of Doing Business Has Changed
One of my colleagues recently forwarded me an internet meme that read: “I have a sheet of thick plywood. Will trade for 2018 or newer Corvette. No lowballers. I know what I have”. Has anyone seen the price of lumber lately? Seriously, it’s no joke.
What goes up is supposed to come down, but sadly that never seems to be the case. At least not as quickly as anyone would like. Everything has gotten more expensive during the pandemic. Raw materials. Freight. Services. Labor. Labor, that is, if you can find it. I’ve read a number of articles recently that pretty much said the combination of heightened demand during the pandemic coupled with increased order volume for the impending recovery has created backlogs for everything, everywhere. Hot tubs. Generators. Pickles. Yes, pickles. Apparently they can’t get the jars.
I missed the boat on patio furniture last summer, so when the order I placed then finally arrived a couple weeks ago, I thought I was in good shape. Until I went to order another matching piece. Backordered until October. Oh well, maybe next year. I don’t think there’s anyone who hasn’t been affected by a shortage, surcharge or delay related to at least one aspect of their business. It takes a toll on productivity and on profits. From the looks of demand, it may be some time before there is any relief.
Ultimately, and perhaps most importantly, the way we do business has changed. It had to, and mostly for the better. As we near the turning point of the pandemic, we may all be able to finally breathe a sigh of relief and get back to the usual array of non-COVID challenges. We’re incredibly fortunate, as an industry, and as a company. I, for one, will do my best to never lose sight of that. There may not be a playbook for dealing with what comes next, but that’s the best part. It’s an opportunity to write the next chapter of our own future.
What’s The State of the Manufactured Housing Industry?
This post provides MHInsider readers with the full manufactured housing industry statistics and trends infographic published in the May/June 2021 “State of the Industry” edition of MHInsider magazine. MHInsider is the leading source of manufactured housing industry news and information.
Manufactured Housing Industry Statistics and Trends Infographic
Need More Manufactured Housing Industry Trends and Statistics?
The Manufactured Housings Consensus Committee will meet June 10 from 10 a.m. to 5 p.m. EST, and will take input from the public on its agenda and discussion.
MHCC is a statutory Federal Advisory Committee that makes recommendations to the HUD secretary on the revision and interpretation of the manufactured home construction and safety standards as well as related procedural and enforcement regulations. The committee also is charged with developing proposed model installation standards for the manufactured housing industry. By regulation, HUD has included the MHCC in the process of revising the Manufactured Home Model Installation Standards, Installation Program Regulations, and Dispute Resolution Program regulations.
Members of the public who wish to ask a question or comment on the MHCC agenda must register in advance. The comment period for the coming meeting closed June 3. Questions and comments may be submitted for future MHCC meetings by contacting the Administering Organization Home Innovation Research Labs.
Manufactured housing professionals and the general public can join the meeting by calling (301) 715-8592 or (646)558-8656. The public meeting also is available via Zoom.
MHCC Meeting Agenda for the June 10, 2021
I. Call to Order—MHCC Chair & Designated Federal Officer (DFO) Roll Call—AO
II. Opening Remarks—MHCC Chair & DFO
Introductions:
i. MHCC Members
ii. HUD Staff
iii. Guests
Administration Announcements— DFO & AO
III. Approval of draft minutes from January 7, 2021 MHCC special meeting on the Advance Notice of Public Rulemaking on Minimum Payments to the States.
IV. Public Comment Period—15 minutes
V. Report from the Technical System Subcommittee to the MHCC and Review of Current Log & Action Items
A House bill introduced in 2020 to address discriminatory housing practices with reporting requirements tied to Community Development Block Grant funding has been brought back for consideration in both chambers of Congress.
The “Yes In My Backyard (YIMBY) Act” was re-introduced in the House by Rep. Trey Hollingsworth, R-Ind., and Rep. Derek Kilmer D-Wash. The measure was brought to the Senate by Senators Brian Schatz, D-Hawaii, and Todd Young, R-Ind.
The YIMBY bill passed in the House in March 2020 but never made it to the Senate.
Under the bill, local governments applying for federal housing development funds would be required to report whether they have enacted policies to reduce counterproductive regulations that may affect affordability.
Language in the YIMBY bill calls for “allowing manufactured homes in areas zoned primarily for single-family residential homes.”
“Our nation had challenges with housing before this pandemic — and those challenges have only been exacerbated by it,” Rep. Kilmer said. “We need more workforce housing, more senior housing, more homeless housing, and more affordable housing. We need more housing units, period.
“That’s why I’m leading bipartisan legislation to help communities in our region and across the country reduce barriers to housing construction and build more affordable housing for the folks that need it the most,” he said.
The YIMBY measure is endorsed by nearly 200 organizations, including AARP, Up for Growth Action, the American Planning Association, Habitat for Humanity International, the Manufactured Housing Institute, the Mortgage Bankers Association, the Commercial Real Estate Development Association, the National Apartment Association, the National Association of Home Builders, the National Low Income Housing Coalition, and dozens of state, regional and local groups.
“Across the country, there are countless examples of state and local zoning, planning, and development restrictions that either severely limit or outright prohibit the placement of a manufactured homes, a primary source of affordable housing,” Manufactured Housing Institute CEO Lesli Gooch said. “MHI is a strong supporter of the YIMBY Act, which gives HUD a constructive role in solving discriminatory land use policies and removes barriers that prevent the development of needed housing in communities throughout the United States – a top priority for MHI. The YIMBY Act is just one example of MHI’s strong ongoing advocacy efforts with Congress and the administration to help alleviate state and local impediments to manufactured housing.”
George Allen, a longtime manufactured housing industry community owner and consultant, founded the Roundtable.
EducateMHC has announced plans for the final Networking Roundtable, an annual event for nearly 30 years that has brought together manufactured housing industry professionals in cities across the nation.
Manufactured housing industry professionals talk during a mixer at a recent Networking Roundtable in Indianapolis.
The Networking Roundtable was founded by George Allen, MHInsider’s contributing editor and the author of the Allen Legacy column. Allen has been a community owner, trainer, and consultant, state and national industry advocate, book author, and educational presenter during his time in the industry.
The day and evening will be a celebration of the event’s decades-long history and a retirement party for Allen. He will provide a state-of-the-industry address, and other keynote presentations are in the works. The final Networking Roundtable also will have an afternoon mixer, industry exhibitors, and a very special presentation to cap the evening. Registration information, as well as sponsorship and exhibit opportunities, are available at the EducateMHC site.
Datacomp has published the June 2021 JLT Reports for mobile home rent comps, occupancy, and other vital data from Iowa, Nebraska, South Carolina, and Virginia manufactured home communities.
JLT Market Reports provide detailed research and information on communities in 186 major housing markets throughout the United States. These include the latest rent trends and statistics, marketing programs and a variety of other useful management insights.
Datacomp publishes the JLT Market Reports and is the nation’s #1 provider of market data for the manufactured housing industry. JLT Market Reports are recognized as the industry standard for manufactured home community market analysis.
June 2021 manufactured housing market data published in JLT Market Reports for Iowa, Nebraska, South Carolina, and Virginia include information on 180 “All ages” and “55+” manufactured home communities.
Altogether, the reports from Iowa, Nebraska, South Carolina, and Virginia manufactured home communities include data representations for 32,990 homesites.
Regional Trends in Manufactured Housing Community Rent and Occupancy
Midwest region manufactured home communities show a year-over-year 1.2% increase in occupancy and a 4.2% increase in adjusted rents.
Northeast region manufactured home communities show a year-over-year 0.3% increase in occupancy and a 3.2% increase in adjusted rent.
South region manufactured home communities show a year-over-year 0.5% increase in occupancy and a 4.1% increase in adjusted rent.
“One of the states represented in the June publications of the JLT Market Reports shows occupancy has dipped slightly in all but one market,” Datacomp Co-President and Chief Business Development Officer Darren Krolewski said. “Manufactured home community lot rents increased across the board, including double-digit jumps in a pair of South Carolina markets.”
More About JLT Market Reports
Each JLT manufactured home community rent and occupancy report from Datacomp has detailed information about investment grade communities in the major markets. The detailed information includes:
Number of homesites
Occupancy rates
Average community rents, and increases
Community amenities
Vacant lots
Repossessed and inventory homes, and much more
JLT Market Reports also include management insights that rank communities by number of homesites, occupancy rates, and highest to lowest rents. Established reports show trends in each market with a comparison of June 2021 rents and occupancy rates to June 2020, as well as a historical recap of rents and occupancy from 1996 to the present date in most markets.
The June 2021 JLT Market Reports for manufactured home communities in Iowa, Nebraska, South Carolina, and Virginia are available for purchase and immediate download online at the Datacomp JLT Market Report website, or they may be ordered by phone in electronic or printed editions at (800) 588-5426.
Each fully updated report for mobile home communities is a comprehensive look at investment grade properties within a market, enabling owners and managers, lenders, appraisers, brokers, and other organizations to effectively benchmark those communities and make informed business decisions.
Changes to the tax laws are coming. The question now is to what and by how much.
Kevan Enger, a seller-focused broker for manufactured housing communities.
Just a few weeks ago, the federal government provided a clearer picture of where and what the focus of those changes will be with the release of the American Families Plan Fact Sheet on April 28 of this year. For commercial real estate and mobile home park owners, the stakes couldn’t be higher.
Anyone even remotely connected to commercial real estate knows that there’s been a great deal of apprehension, discussion, and anxious buzz around the proposed tax changes. Much of that comes from the uncertainty of what’s to come while the rest stems from knowing that the pockets of commercial property investors are getting primed to feel some pain.
Let’s tackle the first part of that… uncertainty.
Many commercial real estate investors, analysts, and talking heads have been speculating about the coming tax changes for over a year. But not until just a few weeks ago did we have a clear picture of the scope of the proposal. The official brief released on April 28 of this year, shed some much-needed light on the topic.
And the scope of potential tax changes is wide and extensive.
The Facts on Potential Tax Changes
In March of this year, the federal government signed into law the American Rescue Plan. The plan sent approximately 161 million payments of up to $1,400 per person and put into play a plan for school re-openings and vaccinations.
Following that plan, the government proposed two additional initiatives: the $2.65 trillion American Jobs Plan and the $1.8 trillion American Families Plan. The White House describes the goal of these programs as follows:
The American Jobs Plan will create millions of good jobs, rebuild our country’s physical infrastructure and workforce, and spark innovation and manufacturing here at home.
The American Families Plan is an investment in our children and our families–helping families cover the basic expenses that so many struggle with now, lowering health insurance premiums, and continuing the American Rescue Plan’s historic reductions in child poverty.
Reducing uncertainty is about obtaining the facts. I encourage everyone to read through both fact sheets.
The goal of the proposed tax changes is partially to finance these two plans. Of most importance to manufactured home community owners are those potential tax changes to Section 1031 of the IRS Code (IRC) which stipulates the following per the Internal Revenue Service’s own Fact Sheet.
IRC Section 1031 provides an exception and allows you to postpone paying tax on the gain [of a commercial property] if you reinvest the proceeds in similar property as part of a qualifying like-kind exchange. Gain deferred in a like-kind exchange under IRC Section 1031 is tax-deferred, but it is not tax-free.
What this means is that park owners can sell their communities and defer the taxes on the gain. These gains, especially for long-term holders, can be considerable and often in the tens of millions of dollars.
By deferring the taxes on the gain, owners can save millions of dollars in taxes which —per the 1031 exchange rule — they must reinvest in like-kind property. This reinvestment pumps money back into communities in the form of:
New jobs as contractors, carpenters, electricians, and plumbers are hired to fix, update, and remodel properties
The acquisition of properties in assets or areas where growth has stagnated or reached a plateau
New capital infusions that create new opportunities, new jobs, and more investment
How Does The 1031 Process Work?
If an owner bought a community for $5 million 10 years ago and they can now sell it for $15 million, the 1031 rule would allow them to reinvest the complete $15 million in sales proceeds minus some other taxes that may account for about 10%. Instead of buying one property, they could now buy two reinvesting almost three times the original amount.
Without the 1031 rule, the seller would have to pay somewhere in the range of 50% on the gain (federal, plus others). This means that they now only have $10 million to reinvest.
That’s a big difference. That’s why the proposed tax changes matter.
Here’s how they’re laid out in the American Families Plan Fact Sheet:
The President would also end the special real estate tax break–that allows real estate investors to defer taxation when they exchange property–for gains greater than $500,000, and the President would also permanently extend the current limitation in place that restricts large, excess business losses, 80 percent of which benefits those making over $1 million.
From an analytical point of view, the plans aim to help the residents of manufactured home communities. In fact, in the industry, we know that the payments have helped maintain high rent collection levels. However, the plans are also targeting the very investment incentives that could improve living conditions through reinvestment in communities, job creation, and new supplies of capital infusion.
The Impact of the 1031 Rule and Proposed Tax Changes
The majority of the mobile and manufactured home sales transactions in the industry would be impacted by changes to the 1031 exchange since most properties will have achieved greater gains of $500,000.
Here’s how I think the proposed tax changes will play out as word gets out from the industry to investors, property owners, and buyers:
Spike in sales
The first thing that will happen is that there will be a wave of properties being put up for sale in anticipation of this change. Demand has heretofore outstripped supply many times over, so I don’t expect prices to take a hit, at least at first.
Many investors are buying for the cash flow, recession-proof stability, and to balance their portfolios. However, investors are still investors, and the capital gain is always part of the formula.
Moreover, as time passes and stimulus spikes and checks begin to run out, collections may take a hit. This will further impact returns, and thus, value.
Demand will drop
As more owners get word of the potential tax changes, short- and medium-term investors will begin to look at other asset classes outside of real estate for less expensive gains and bigger opportunities. As a result, prices will begin to drop as supply begins to overtake demand.
Less Capital Flow and Decline
Fewer sales would mean that manufactured housing communities would be held much longer, reducing new capital infusion. Many properties would be held beyond the period during which the existing ownership could continue to add value, benefit the mobile home park itself as well as the surrounding community, and as a result, reach a point of decline. This will especially be the case if the surrounding area isn’t benefiting from new capital infusion as previously described.
While the proposed tax changes are just that — a proposal — and will likely be revised before passing. The fact of the matter is that amid all the uncertainty, one thing is certain… changes are coming to the tax code.
What that means for community owners is that if you had plans to sell in the next five years, that timeline has shortened considerably. Don’t wait to see what’s going to happen to start looking at your options. If you wait too long, you could end up with a property that is worth less than what you could sell for now, and a huge tax bill.
Save the dates JAN. 19 – 21, 2022 for the Louisville Manufactured Housing Show, the Midwest’s premier event for manufactured housing professionals, in Louisville, Ky., at the Kentucky Exposition Center South Wing.
For more than 60 years, The Louisville Show has brought together the latest manufactured home designs, tech specialists and a top network of suppliers in the manufactured housing industry. The 2020 Louisville Show attracted a near-record 3,536 attendees from 1,130 companies.
“Manufactured housing professionals are eager to get out to see the latest trends and opportunities in the industry after missing more than a year of this kind of interaction,” Louisville Show Chairman Byron Stroud said. “While the trade show circuit has been quiet since early 2020, industry development has continued in an impressive fashion, from home design to materials, not to mention progress in community lifestyle, and then there’s the multiple cycles of new products and services to catch up on.”
Additionally, The Louisville Show offers an array of educational and networking opportunities, all at a convenient location near the airport and across the street from the host hotel.
“Louisville exhibitors display products and services at the KEC, where qualified industry buyers come for ideas and inspiration,” Show Coordinator Trisha Le said. “And January is an optimal time to understand customer wants and needs as they prepare for the spring selling season.”
Exhibitor Opportunities Open Soon
Exhibit space will sell fast, so join The Louisville Show mailing list to keep up on the latest event news including reminders on deadlines for exhibit entry, sponsorship, registration, and activities.
For 2022, The Louisville Show will operate with a new floor plan that places supplier exhibitors in a more central location among the manufacturer exhibitors.
“We believe the layout with service and supply professionals set up within greater proximity to all of the homes will increase attendee access and traffic flow more evenly through the show,” Le said.
General registration details for Louisville 2022 will be announced in the coming months.
Each year, The Louisville Show is organized and presented by The Midwest Manufactured Housing Federation, which represents the states of Kentucky, Indiana, Ohio, Michigan, and Illinois. As an industry trade event, the 2022 Louisville Show is not open to the public. For more information, visit The Louisville Show website at www.thelouisvilleshow.com.
Dr. Lesli Gooch, the CEO of the Manufactured Housing Institute, provides input on behalf of the manufactured housing industry regarding the need for support in chattel lending during a virtual meeting on March 25, 2021.
The Federal Housing Finance Agency has published the proposed Underserved Markets Plan for Fannie Mae and Freddie Mac for 2022-2024.
The Duty to Serve underserved markets identified are manufactured housing, affordable housing preservation, and rural housing.
FHFA asks for and will take public input on the 22-24 proposed plans within a 60-day period that ends July 19.
MHI believes FHFA should not allow Fannie Mae and Freddie Mac to abandon efforts to meet the needs of manufactured home buyers.
“Chattel loans represent the vast majority of manufactured home loans but the GSEs have been going backwards when it comes to their statutory Duty to Serve manufactured housing,” Gooch said. “Now, Freddie Mac has abandoned the effort completely and Fannie Mae only promises to ‘consider’ the viability of a chattel loan pilot program. This was not the intent of Congress for meeting the affordable homeownership needs for the manufactured housing market.”
Gooch said Fannie Mae and Freddie Mac need to re-affirm their previous commitment to buying – and ultimately creating a flow and securitization program – for chattel loans. And FHFA needs to hold them accountable to that.
“MHI has been pleased to see the efforts that Fannie Mae and Freddie Mac have taken and plan to continue to take on increasing the volume of manufactured home real estate loans, including the creation of programs for the industry’s new class of manufactured homes – CrossMod Homes,” she said.
Dr. Lesli Gooch, MHI’s CEO, met with FHFA Director Dr. Mark Calabria on December 12, 2018, to talk through his nomination and DTS activity.
Enterprises’ Focus on Manufactured Home Loans Essential
The focus of DTS credit should remain on secondary market support for the financing of homes within land-lease communities (chattel financing) as opposed to the commercial financing of the communities themselves, Gooch said.
“Further, DTS should not favor one form of community ownership over another. Professionally managed communities provide high satisfaction levels of land-lease homeowners,” she said. “Residents of these communities say they are less likely to pay additional maintenance fees and value professionally managed amenities over those found in other forms of community ownership. In fact, research shows these communities provide a preferable lifestyle for many.”
Gooch said incentivizing one form of ownership over another will be a disservice to those in need of safe, decent, quality attainable homeownership opportunities.
“FHFA must hold Fannie Mae and Freddie Mac accountable for meeting their statutory Duty to Serve manufactured housing,” Gooch said.
In August, the RV/MH Hall of Fame will celebrate the 2025 class of inductees, five from each industry.
“Our selection committees held meetings to review...
