“We are not building enough housing for everyone who needs a place to live” is a key cause of the sharp rise in rents, said real estate platform Redfin’s Daryl Fairweather to CBS News’ 60 Minutes in the video posted below. Fairweather is the chief economist of Redfin, she was previously an economist for Amazon. Fairweather pointed to too few homes built during the 2010s as part of the backdrop to the current affordable housing crisis. As long-term and detail-minded readers of MHProNews know, that timeframe coincided with the crash of the manufactured home industry to record lows. That historic crash in manufactured housing production and sales was apparently brought on by Berkshire Hathaway (BRK) owned 21^st Mortgage Corporation pulling retail and wholesale financing for those not selling Clayton Homes products in 2009.

 

Clayton-21st Storm Watch – Sinatra’s Summer Wind Blows Early? – Manufactured Housing Moat Breach – Manufactured Home Values Increasing Faster than Site-Built – Case for Something New in 2022

Home construction didn’t recover when the economy rebounded after the housing/finance crisis, said CBS’ correspondent Lesley Stahl. “Lack of new construction and corporate landlords contributing to skyrocketing rent,” proclaimed their post on 3.20.2022 teasing the 60 Minutes video below.

 

Fairweather said that in some markets, Wall Street corporations are buying nearly 30 percent of the single-family housing available for investors’ use as rentals. 60 Minutes’ interview included Gary Berman, the CEO of Tricon Residential. Tricon owns nearly 30,000 single family housing units in the U.S, said Berman. Berman said on any given week, they have about 200 to 300 homes available.

Tricon get 10,000 rental inquiries weekly, said Berman.

That contrast between 200 to 300 units available vs. 10,000 calls for rentals weekly illustrates the stark contrast between supply and demand.

Tricon is seeking 800 houses monthly to purchase. But other firms like Invitation Homes are larger still, with nearly 80,000 rental houses. American Homes rental housing, said Stahl, has close to 60,000 units. Berman claims corporate landlords are only 2 percent of all rental housing. Be that as it may, the Motley Fool reported on 12.8.2021 “Single-family homes make up 74.4% of all the investor purchases, the highest percentage on record.”

The Fool further said in that report that almost 1/5^th or 20 percent of all single-family housing purchases.

Redfin’s data on 11.24.2021 said the following.

• Investors purchased a record $64 billion worth of homes as growing housing and rental prices boosted prospects for returns.
• Single-family homes made up nearly three-quarters of investor purchases—an all-time high.
• Real estate investors bought a record 18.2% of the U.S. homes that were purchased during the third quarter of 2021, up from a revised rate of 16.1% in the second quarter and 11.2% a year earlier.

What pair of words were missing in the Redfin or 60 Minutes reports? “Manufactured homes” or “manufactured housing,” or even ‘mobile home’ didn’t make their respective cuts.

“Increasing home prices fueled by an intense housing shortage have created opportunities for investors to reap big profits,” said Redfin Senior Economist Sheharyar Bokhari. “Those same factors have pushed more Americans to rent, which also creates opportunities for investors because investors typically turn the homes they purchase into rentals and can now charge higher rents.”

Per Redfin’s graphic, the 90,000 units purchases by investors in the 3^rd Quarter of 2021 would be nearly equal to the entire production in 2021 of all manufactured homes for the year.

Stahl said that since many investor purchases are all cash and occur shortly after a house is listed, those seeking starter homes are at a severe disadvantage. The house ‘is gone’ – i.e.: sold – before it can be toured in person by a first time or other home buyer.

“Homeownership is increasingly out of reach,” states Tricon’s investor pitch. Berman claimed many millennials don’t want to own, but the couple Stahl interviewed said that the American Dream is to own a home, to “have your own dirt.”

The wealth from the ownership of that house, said Fairchild, is flowing to the investors rather than to the single-family housing seekers who would otherwise have purchased it.

Berman said you can’t rent the American Dream. If that claim from the Tricon CEO sounds disturbingly similar to what the World Economic Forum (WEF) video on the Great Reset that said “you will own nothing and be happy,” it may be that Berman and others deep pocket investors got that memo.

As a flashback, Tricon sold its interest in manufactured home communities. Blackstone purchased them, as the report below reflected.

Blackstone Brilliantly Bets Big On Manufactured Housing, Enters Manufactured Home Communities Contest

 

In a related report, CBS News said on 3.24.2022 that there are in America some “120 million renters. With the cost of rent, transportation and utilities all rising at double-digits, many households are forking over last year’s pay increases, and then some, just to make ends meet.

The median rent around the U.S. reached a record high $1,792 last month, according to Realtor.com — a 17% jump from the previous year and the 10th month in a row rents had increased by double-digits. In 14 U.S. cities, the typical rent is no longer affordable, far surpassing the 30% of income that personal-finance experts recommend as a maximum.”

 

Additional Information, More MHProNews Analysis and Commentary in Brief

Among the disputable points in the CBS report is the claim that the housing shortage is just 4 million units. Sources and data on this vary, as MHProNews has previously reported. Some sources say the shortage is more like 5+ million units, as an example is the report below, on June 29, 2021.

Revealing! NAR Releases “Housing is Critical Infrastructure: Social and Economic Benefits of Building More Housing” – Highlights, Manufactured Home Hits/Miss Analysis; plus Manufactured Housing Stock Updates

But other credible sources have said that the shortfall in housing units could be over 8 million units – and climbing.

Mark Weiss, Inspector Renault, Casablanca, and Freddie Mac’s Affordable Housing Shock CEO Manufactured Housing Association for Regulatory Reform (MHARR) Unpacks GSE Admission

Given that building has not kept up for over a decade, it is difficult to explain how the National Association of Realtors (NAR) Chief Economist Lawrence Yun could have said a few years ago that the need was for some 8.3 million new homes. But akin to Redfin’s Fairweather, Yun said that builders have to get really busy for the rising cost of housing to be abated.

All such reports on the high demand and need for more single-family starter homes should signal a tremendous opportunity for manufactured housing.

But as MHProNews has often reported, manufactured housing has only slowly managed to achieve construction of over 100, 000 new manufactured homes in 2021. A noteworthy share of those were for rentals going into communities, per publicly traded company information and Manufactured Housing Institute (MHI) data.

MHI can’t dodge the fact their own prior-president and CEO, Richard “Dick” Jennison, publicly said on video that the industry could be producing 500,000 new manufactured homes annually. Okay, then why aren’t we doing so? What are those ‘leaders’ at MHI doing? Or do they like the status quo for similar reasons that investors in single family housing like the shortage of rental housing?

MHI CEO Dick Jennison’s Pledge – 500,000 New Manufactured Home Shipments

The industry is underperforming at a time when it could be achieving new highs. Who said? How about Cavco Industries (CVCO) William C. “Bill” Boor?

 

Infographic, Manufactured Housing Association for Regulatory Reform (MHARR), Manufactured Housing Institute (MHI) Statements-2021 Manufactured Housing Data, Related Issues – plus Sunday Weekly MH Headlines Recap

Facts are stubborn things. The word for crisis in Chinese is formed by two characters that mean risks – danger – and opportunities.

 

The case can be made that the industry’s post-production sector is failing badly.

Why is housing through the roof? Simple. There are not enough HUD Code manufactured homes being produced.  Why aren’t there enough manufactured homes being produced when Congress enacted good laws to support even more affordable manufactured home sales? See the related reports to learn more.

Next up is our daily business news recap of yesterday evening’s market report, related left-right headlines, and manufactured housing connected equities.

The Business Daily Manufactured Home Industry Connected Stock Market Updates.  Plus, Market Moving Left leaning CNN and Right-leaning (Newsmax) Headlines Snapshot. While the layout of this daily business report has been evolving over time, several elements of the basic concepts used previously are still the same. For instance. The headlines that follow below can be reviewed at a glance to save time while providing insights across the left-right media divide. Additionally, those headlines often provide clues as to possible ‘market-moving’ news items.

 

Market Indicator Closing Summaries – Yahoo Finance Closing Tickers on MHProNews…

Headlines from left-of-center CNN Business – from the evening of 3.24.2022

• Under pressure
• Alejandro Galindo, left, and Sarah Ibarra exercise their horses near an oil pumpjack pulling oil from the Permian Basin oil field on March 13, 2022 in Odessa, Texas.
• Gas prices are high. Oil CEOs reveal why they’re not drilling more
• Gas rationing, food vouchers and hunger: Economic pain from Russia’s war is getting real
• Russia is breaking market rules left and right
• Opinion: Russia’s days as an energy superpower are coming to an end
• Putin wants ‘unfriendly’ countries to pay for Russian gas in rubles
• Qatar will stand ‘in solidarity’ with European countries during energy crisis
• Nearly half of foreign businesses in Hong Kong are planning to relocate
• Weekly jobless claims fall to a nearly 53-year low
• Here’s why gas is $6 a gallon in California, even as prices fall elsewhere
• Sports betting stocks are no slam dunk, even during March Madness
• Good news for the economy can be found in these 20 stocks
• Tax penalties are a waste of your money. Here’s how to avoid them
• Amazon scores legendary broadcaster for ‘Thursday Night Football’
• NEW YORK, NEW YORK – MARCH 09: Blackrock Chairman and CEO Larry Fink visits “The Claman Countdown” at Fox Business Network Studios on March 09, 2022 in New York City.
• BlackRock says Russia’s war in Ukraine is the end of globalization
• A taxi drives down Times Square on March 26, 2020 in New York City.
• Uber strikes a deal to list New York City taxis on its app
• A single-family home for sale in Washington, DC, USA, 18 February 2022.
• Mortgage rates keep climbing

Headlines from right-of-center Newsmax – evening of 3.24.2022

• Pres. Trump Sues Hillary Clinton, Read More
• Trump Sues Hillary Clinton Over 2016 Russian Collusion Allegations
• (AP)
• Biden in Brussels
• Biden: US Would Respond If Russia Uses Chemical Weapons
• Nuclear War Possibility Looms Over NATO Talks
• NATO Chief Stoltenberg Warns China of Aiding Russia
• West to Bolster Ukraine Aid
• Ukraine Refugees Plead for Protection Amid Summits
• Stoltenberg to Serve a Year Longer at NATO’s Helm
• NATO Head Tells Russia It Cannot Win Nuclear War
• NATO: Up to 15,000 Russians Killed in Ukraine
• More Biden in Brussels
• Russian Invasion of Ukraine
• EU Agrees on Russia Sanctions So Far, but Energy Divides
• Ukraine Says It Has Destroyed a Large Russian Landing Ship
• Russian Defense Minister Resurfaces After Disappearance
• Zelenskyy to NATO: ‘Give Us 1%’ of Your Arsenal
• Coalition Backs War Crimes Probe of Russia
• Dutch PM: EU Summit Won’t Bring New Russian Sanctions
• Parents Fear for Kids’ Future in War-Blasted Ukraine City
• US to Expand Russia Sanctions, Accept 100K Ukraine Refugees
• Zelenskyy Makes Plea for Full Membership of EU
• UN to Vote on Blaming Russia for Ukraine Crisis
• To Pressure Europe, Putin Demanding Gas Payments in Rubles
• Russian Losses in Ukraine Exceed Soviet Losses in Afghanistan
• Pope Plans ‘Consecration’ of Russia, Ukraine on Friday
• More Russian Invasion of Ukraine
• Newsmax TV
• Van Drew: ‘Tough Time Being Confident’ in Biden on Ukraine | video
• Tenney: Biden Must Start Acting Like ‘Wartime President’ | video
• Paul: Fauci ‘Misinterpreting the Data’ on New COVID Variant | video
• Buck: War Crimes Charge ‘Changes World Opinion’ | video
• Garbarino: Biden’s Cyber Warning to Russia Not Enough
• Swimmer’s Father: ‘NCAA Missed the Point’
• Rand Paul: Jackson ‘Part of the Problem’ If She ‘Can’t Define Women’ | video
• More Newsmax TV
• Newsfront
• Arizona Legislature OKs Ban on Gender-Reassignment Surgery
• The Arizona House voted Thursday to prohibit gender-reassignment surgery for minors and was scheduled to vote later on a bill banning transgender athletes from playing on girls sports teams.Arizona appears poised to join a growing list of Republican-controlled states…… [Full Story]
• Related Stories
• Arizona Legislature Approves 15-week Abortion Ban
• LA’s 176,000 Population Drop 2nd Largest in US ’20-’21
• The first full year of the COVID-19 pandemic caused the Democrat-run [Full Story] | video
• Trump Sues Hillary Clinton Over 2016 Russian Collusion Allegations
• Donald Trump sued Hillary Clinton and several other Democrats [Full Story]
• Trump’s Mo Brooks Un-endorsement Shows He Only Wants Fighters by His Side
• Republican congressman and Alabama Senate hopeful Mo Brooks learned [Full Story] | Platinum Article
• Senate Committee Wraps Up Hearings on Jackson’s Nomination
• Legal experts praised Judge Ketanji Brown Jackson in her final day of [Full Story]
• Surprise Democrat Could Be Sanders’ Successor, Challenge Biden
• California political strategists describe Democrat congressman Ro [Full Story] | Platinum Article
• SCOTUS Mum on Thomas’ Health
• The Supreme Court had not released an update on Associate Justice [Full Story]
• Ted Cruz Posts Concerns About Jackson Over 1619 Project, Critical Race Theory
• Ted Cruz, R-Texas, on Thursday again expressed concern over [Full Story]
• ACLU Sues Over Questions About Muslim Faith at Border
• Three U.S. citizens have accused immigration authorities of stopping [Full Story]
• Biden Fires Dr. Oz From Fitness Council
• S. Senate candidates Dr. Mehmet Oz and Herschel Walker on Wednesday [Full Story]
• Related
• Herschel Walker: Biden Afraid of My Senate Run
• Marjorie Taylor Greene Latest Target of Liberal Election Activists
• Liberal activists who sought to try to block Rep. Madison Cawthorn, [Full Story]
• NYC Mayor Lets Unvaccinated Athletes Play Home Games
• New York City’s mayor exempted athletes and performers from the [Full Story]
• Pope Rebukes Increased Defense Spending ‘Madness’
• Pope Francis on Thursday criticized increased defense spending by [Full Story]
• White House Urged to Lift COVID-19 Travel Restrictions by US Travel Industry
• The White House was urged on Tuesday to lift COVID-19 travel [Full Story]
• Uber to Put New York City’s Iconic Yellow Taxis on App
• Uber Technologies Inc said it will list New York City’s yellow taxis [Full Story]
• Nuclear War Possibility Looms Over NATO Talks
• President Joe Biden and NATO allies met in Brussels on Thursday with [Full Story]
• Federal Judge Reviewing Responses in Lawsuit Over Florida Election Law
• Attorneys for the state of Florida are arguing that a new Florida [Full Story]
• Unemployment at Lowest Since 1969
• The number of Americans applying for unemployment benefits last week [Full Story]
• US States Seek to Ease Inflation Burden With Direct Payments
• With inflation raging and state coffers flush with cash, governors [Full Story]
• Report: Biden Not Attacking Trump on Ukraine
• The White House is signaling former President Donald Trump will not [Full Story]
• Motorists Flock to Chicago Gas Stations for $1M in Free Fuel
• Long lines of cars stretched for blocks near Chicago-area gas [Full Story]
• Texas Loses High Court Case Over Prayer During Executions
• The Supreme Court on Thursday sided with a Texas death row inmate [Full Story]
• Issa: New Iran Nuclear Deal Includes ‘Quid pro Quo,’ Enriches Russia
• Darrell Issa, R-Calif., said President Joe Biden’s new nuclear [Full Story]
• Biden, Western Allies Open 1st of 3 Summits on Russian War
• President Joe Biden and world leaders opened a trio of emergency [Full Story]
• White House Condemns North Korea ICBM Test
• North Korea conducted what is thought to be its largest [Full Story]
• Trump to Urge Court to Block House From Getting His Tax Returns
• An appeals court on Thursday will debate whether a congressional [Full Story]
• Korea Fires Possible Ballistic Missile Off East Coast
• North Korea fired what may be at least one ballistic missile toward [Full Story]
• High from Hemp: States Wrestle with Chemically Made THC
• Over the past few years, Jonny Griffis has invested millions of [Full Story]
• Census: Major Cities Lost Population in 2021 – Slowest Year of Growth in US History
• After returning to metro San Francisco following a college football [Full Story]
• Kids Return to School Shows Growth in Test Scores, Amidst Poor Performance
• A new report from Renaissance Learning indicates that test scores are [Full Story]
• Play Ball: NYC to Let Unvaccinated Athletes Play Home Games
• New York City’s mayor will announce Thursday that he’s exempting [Full Story]
• More Newsfront
• Finance
• Motorists Flock to Chicago Gas Stations for $1M in Free Fuel
• Long lines of cars stretched for blocks near Chicago-area gas stations on Thursday, signaling that a businessman who has made repeated runs for local and national office was footing the bill for motorists to top off their tanks for a second time…. [Full Story]
• Two Men Arrested for $1 Million NFT ‘Rug Pull’ Scheme
• NYC Amazon Workers Try to Unionize, in Historic First
• Goldman Sachs to Lead SoftBank’s $60B Arm Ltd. IPO
• Ned Johnson, Who Made Fidelity a Fund Titan, Dies at 91
• More Finance
• Health
• Moderna Says Its Lower-dose COVID-19 Vaccine Works in Babies and Young Children
• Moderna says its lower-dose COVID-19 vaccine works in babies and young children….. [Full Story]
• Dental Therapists Charge Half the Price of Dentists for Many Procedures
• Pressured by Patients, FDA Expected to Approve ALS Drug With Modest Data
• What You Should Know About COVID Vaccines For Little Kids
• Population Dropped in 73 Percent of US Counties in 2021 Due to Pandemic

 

MHProNews has pioneered in our profession several reporting elements that keep our regular and attentive readers as arguably the best informed in the manufactured housing industry. Among the items shared after ‘every business day’ (when markets are open) is our left-right headline recap summary. At a glance in two to three minutes, key ‘market moving’ news items are covered from left-of-center CNN Business and right-of-center Newsmax. “We Provide, You Decide.” ^© Additionally, MHProNews provides expert commentary and analysis on the issues that others can’t or won’t cover that help explain why manufactured housing has been underperforming during the Berkshire era while an affordable housing crisis and hundreds of thousands of homeless in America rages on. These are “Industry News, Tips, and Views Pros Can Use” ^© features and others made and kept us the runaway #1 in manufactured housing trade publisher for a dozen years and counting. 

 

Manufactured Housing Industry Investments Connected Equities Closing Tickers

Some of these firms invest in manufactured housing, or are otherwise connected, but may do other forms of investing or business activities too.

• • • • • • • • • • • • • • NOTE: The chart below includes the Canadian stock, ECN, which purchased Triad Financial Services, a manufactured home industry lender
                          • NOTE: Drew changed its name and trading symbol at the end of 2016 to Lippert (LCII).
                          • NOTE: Deer Valley was largely taken private, say company insiders in a message to MHProNews on 12.15.2020, but there are still some outstanding shares of  the stock from the days when it was a publicly traded firm.  Thus, there is still periodic activity on DVLY.

Manufactured Home Communities (a.k.a. ‘Mobile Home Parks’ – SIC) – Exploring UMH Properties; Fellow Manufactured Housing Institute Member Yes! Communities Suits and Settlements; plus MH Markets Updates

Clayton-21st Storm Watch – Sinatra’s Summer Wind Blows Early? – Manufactured Housing Moat Breach – Manufactured Home Values Increasing Faster than Site-Built – Case for Something New in 2022

• 

  • 2022 …Berkshire Hathaway is the parent company to Clayton Homes, 21^st Mortgage, Vanderbilt Mortgage and other factory-built housing industry suppliers.
    · LCI Industries, Patrick, UFPI, and LP each are suppliers to the manufactured housing industry, among others.
    · AMG, CG, and TAVFX have investments in manufactured housing related businesses. For insights from third-parties and clients about our publisher, click here.
    Enjoy these ‘blast from the past’ comments. MHProNews. MHProNews – previously a.k.a. MHMSM.com – has celebrated our 11th year of publishing and have completed over a dozen years of serving the industry as the runaway most-read trade media.

Sample Kudos over the years…

It is now 12+ years and counting…

Learn more about our evolutionary journey as the industry’s leading trade media, at the report linked below.

· For expert manufactured housing business development or other professional services, click here.
· To sign up in seconds for our industry leading emailed headline news updates, click here.

Disclosure. MHProNews holds no positions in the stocks in this report.

That’s a wrap on this installment of “News Through the Lens of Manufactured Homes and Factory-Built Housing” © where “We Provide, You Decide.” © (Affordable housing, manufactured homes, stock, investing, data, metrics, reports, fact-checks, analysis, and commentary. Third-party images or content are provided under fair use guidelines for media.) (See Related Reports, further below. Text/image boxes often are hot-linked to other reports that can be access by clicking on them.)

By L.A. “Tony” Kovach – for MHProNews.
Tony earned a journalism scholarship along with numerous awards in history. There have been several awards and honors and also recognition in manufactured housing. For example, he earned the prestigious Lottinville Award in history from the University of Oklahoma, where he studied history and business management. He’s a managing member and co-founder of LifeStyle Factory Homes, LLC, the parent company to MHProNews, and MHLivingNews.com. This article reflects the LLC’s and/or the writer’s position and may or may not reflect the views of sponsors or supporters.