“Detroit and Japan halt mid-sized, SUV and Luxury car production…” & California Dreamin’

 

Or worse still, what if the following where the headline:

 

 

 

"Insanity!" we might say, when the high end blasts the entry level, or if the reverse happened, or if any Toyota brand attacked another.

 

 

But isn't that something that people advocate in factory built housing on a daily basis?  Which is why we digitally penned "Builders of HUDs and MODs, can they get along?"

 

 

Some want to 'focus' on either the entry level or mid/upscale side of our industry only, which is fine for an independent retailer, builder, developer or community to do if they so chose.

 

But as an industry, we should not abandon one for the other.

 

 

I cut my teeth in this industry sellng hundreds of entry level HUDs, often in very down markets – post oil bust Oklahoma in the 1980s – where the team I was privileged to lead sold 196 homes in a year, in a rural town of 4500 souls that was an hour plus drive from Oklahoma City.  That record result during a time when 80% of retailers went out of business put us in what became Automated Builder Magazine's Top 100 Retailers in the U.S., and brought my first big speaking invite which was in Edmonton, Alberta.  More recently, we have had the privilege of marketing the most expense HUD Code homes in a market area, and set sales records doing it.  When I say, most expensive, the new lower priced product at one location was $79,900 for a single section 16×70 and went to $99,700 for a 16×80 single sectional. And the multi-sectionals could sell for $179,900.  We had site fees $300 a month higher than others in the same market. Part of how we did it was ignore the 'competition among HUDs and other land lease communities.  We focused on the site built customer and went after them!

 

 

While there were mistakes made by some and things could have been better, the numbers didn't lie.  Modest adjustments could have made this a historic outcome.  As it was, getting a Chicago media reported 75 closed contracts in 90 days, and 212 closed in one year was not bad outcome at all.

 

 

We can win at every level – entry, mid or upper end – if we market, serve and sell smarter than we have in the past.  Remember and think, KYP:

 

 

 

 

 

In our recent trip to see a client in the aptly nicked-named Golden State, we had the opportunity to see some more upscale product than the standard VOG entry level HUD code home. As noted above, I cut my teeth selling and marketing entry level HUD Code product.  We believe and know we can sell HUDs and MODs that run the gamut from single section entry level HUDs to the "15 box" multi-story Modular Mansion that builder's manager Tom Flynn told me was sold to a doctor in Indiana.

 

 

 

Our California trip included tours of various manufactured home community based sales centers.  The staff wee all pleasant and dressed professionally.  We identified ourselves as who we are and had a great conversation.

 

 

One particular property we saw was based in a land lease community that been burned out by a wild fire driven by Santa Anna winds some years before.  While this may have created a tragic but naturally caused urban renewal of the property, occupancy has clearly never recovered.  This meant the HUD Code prodcuct on the property was quite new. The setting was residential and visually appealing. In spite of the potential and appeal, with high priced conventional housing the rule in the area, near the community's entrance, perhaps 50% vacancy or more as far as once could see was evident.

 

 

 

 

The right marketing message and sales approach could do wonders in such a fine, appealing property.  Why?  Because site built homes go for a tidy sum, even by Chicagoland standards.

 

 

 

 

We as companies and as an industry need to do a better job of telling our story, and when we do, such properties can rapidly be filled – yes – even with higher site fees.

 

 

 

The product we saw included Silvercrest Homes by Champion, Skyline Homes and Golden West product.  These homes had residential styling and finishes, high ceilings. upgrade appliances, and numerous special treatments. The homes were well staged. The roof pitches tended to be low, but many of the conventional houses in the area had low roof pitches too. If you blind folded a consumer who hated "mobile homes" and brought them across the threshold, and unmasked them once inside, they would be pleased with the quality and wowed with the price.

 

 

Ladies and Gents, that is part of the secret we need to tap into!

 

 

The main time in California was spent with a visionary team who have a bold vision for using MODs and upscale, residential HUDs to tap into numerous opportunities in their market.  With everything from modest "back yard homes" to an elegant and expansive multi-module home all on their planned agenda, one can only wish them the best in their pursuit of a noble and achievable dream; the dream of serving others with quality affordable lifestyle creation.

 

 

 

 

Next week, we will be in New York, for my first trip to the Empire State.  It will be good to see Nancy Geer on her home territory. I'm looking forward to observing the New York Housing Association's fine line up of topics and speakers.  For those of you who attend, please say hi after taking part in our Dominate Your Local Market 2 marketing and sales building Workshop.

 

 

In Indiana the following week, it will be good to see Mark Bowersox and the IMHA team!  Again, a fine line up of protection and promotion topics to defend and build the business of retailers, communities, builders, developers, lenders and suppliers. Please say hi after my How to Attract More Customers with Good Credit business building workshop.

 

 

All of these topics tie together.  We must stand together, be smarter and tell a better story.  We need to realize we have the opportunity for growth, but we have to re-evaluate what we have done, and make positive changes in order to advance once more. # #

 

 

(Editor's note: Read unCommon Sense and see the new supporters of the MH Alliance info updates🙂