I'm not aware of any manufactured home communities in Africa, much less on the islands off the African coast. So you can image my surprise when a client called me last week during the MHI/NCC annual Congress and Expo with a question about something he read; and the call came from off the coast of Africa. That sounds like a lead-in to a true to life adventure!
While domestic U.S. readers can log in from around the world to our MHProNews, we know that readers from Africa, Latin America, Asia, Oceania and Europe are regulars here too. Canadian readers roughly equal that of the rest of the non-U.S. readers. Odds are just better than 9 out of 10 that if you are a regular reader, you hang your hat (when not traveling abroad) somewhere in the United States. Factory building is the wave of the future world-wide, and it is also a here and now reality!
I was reading a comment from a successful pro on LinkedIn that made me realize anew that some owners, executives, managers and the rank and file are being limited in their expectations by the other media and certain "expert" opinions. The (accurate) comment this successful pro posted was that some prognosticators believe our industry will be in the 60,000 to 70,000 new HUD Code manufactured home shipment range in the next few years. Yes, that is one school of thought. That would represent a rise from the recent level of 54,500 shipments.
But another viewpoint shared by contacts (plural) in a major MH builder have told me they see that new home shipments reaching 170,000 annually in 3-5 years. There is also talk about opening currently shuttered production factory built home production facilities.
Then there is a comment by Sam Landy, of UMH fame, in his recent interview with us, that he sees new manufactured home sales rising to 300,000 to 400,000 shipments a year. I found his comments to be fascinating, because for those of you who have attended one of my live presentations, I've often said in the past two years that we can achieve those levels – or more – using resources and methods available today.
So Mr. Landy and I independently came to a similar conclusion just by looking at certain key facts. Here's another “secret.” I guarantee you we are not alone in this perspective.
I realize that those 'beat up' survivors of the long manufactured housing downturn may not see that yet, but it is doable. In fact, a long, private message received by a respected industry analyst also suggests that our Industry has indeed turned the corner and is looking up.
Let me take some snipets – without naming the source(s), but with the respected writers OK – from recent messages:
- "We have a modular builder in northern LA that I've heard specializes in USDA loans and does well."
- "By doing your more creative marketing and sales process, we are seeing steady growth in traffic and closings. At the current pace, we expect to have a record year, relative to the past 5 or so years."
- "Chattel is 45% of fundings" with the balance of their sales coming from land home and cash.
So the point is that there are success stories, and if others can, it suggests you can too.
Let's look deeper at perceptions. Because the quotation found on many of my emails:
Whether you think you can or whether you think you can't, you're right.
– Henry Ford
just happens to be the truth. Only those who believe something can be done, and then do what it takes to make it happen, are likely to achieve that 'next level' breakthrough.
Cooked in a Squat?
Zig Ziglar, who before going onto his eternal reward last year kindly shared dozens of articles with us, had a saying he used years ago that stuck with me. It is “Don't get cooked in a squat.”
The meaning of this delightfully Southern expression is, don't limit yourself through thoughts or actions that "cook you" in a "squat," which is not your fully upright position!
“You don't have to be great to start,
but you have to start to be great.”
– Zig Ziglar
We all decide by our actions if we fall on our face, take a knee or "squat," or are stooped over, or stand up straight and tall. Just look at the FACTS presented in some of our Industry in Focus reports. If you read those reports and 'read between the lines,' you'll see that our industry's new home production potential is unquestionably 300,000 to 400,000 or greater.
Yes, I'm talking about in this economy, and with this regulatory scheme, not some more ideal future dream economic or other circumstances. I decry the economic malaise, with its avoidable high unemployment, bloated budgets and regulatory overreach; but let's be clear. The sad decline in incomes and purchasing power means we as a nation have an ever growing need for quality, eco-friendly affordable homes.
The need for modern manufactured homes has never been greater.
Success Stories. Today
At Tunica, I chatted with a retailer using some of the federal loan programs. They are routinely doing 20 sales a month at a single location. 12 or so typically are coming from government backed mortgage loans. This is a message we preach and teach at events such as Louisville, Tunica state association meetings, with clients and here on MHProNews.com.
A different client than the one noted above tells me they are on track for 600-700 closed in 2013. This will be a record year for them. They have a 'can do!' attitude that starts at the top and is taught throughout their organization. No wonder they are leaders in their market.
For the skeptics, neither of these operations are in "oil boom" or other similar "high growth" areas. In fact, one of these is in an area that is struggling economically.
And that is part of the point! No matter what the economy is doing, a true MH marketing and sales pro can always position manufactured housing in a way that can respond positively to the current economic conditions.
More Coffee?
Speaking of our popular A Cup of Coffee with… interviews, we have a number of new interviews "in the works." I can't say at this moment if we will
have one (or more?) ready for our May Featured Articles, but June looks to be a lock! As always, we will have lots of good reading and info in our monthly Featured Articles.
The post MHI-NCC "Congress and Expo" buzz has been overall positive. There was a total of some 830 attendees, up 16% over last year. Most expressed guarded to significant enthusiasm for the future of our Industry.
Just the Facts
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Wall Street is once again paying more attention to manufactured housing.
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On public panel discussions during the NCC Forum or the main MHI Congress and Expo (C&E), we witnessed companies represented that are selling or leasing more homes.
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Off the grid discussions before, during and after C&E indicate the rising tide and improving attitudes, much the same as shipping statistics have the last two years too.
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The financial markets have returned big time to finance the MHCommunities real estate sector.
Beyond the above bullet points,
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I know of two 'new' operations getting/growing into MH chattel finance and/or servicing and another looking to expand.
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There are non-profits who have considerable interest in how our homes can benefit millions of Americans.
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Shipments are up some 20% since we hit bottom two years ago.
Do you and your colleagues see the current and emerging trends in the proper light?
Because opportunities truly are all around us. Affordable housing is a necessity.
Are there head aches like Dodd-Frank or image issues MH pros need to navigate? You bet. But MHI in concert with MHARR and state/MHC associations are working on the issues in DC. There are whispers that some respected non-profits, who see the need and value of manufactured housing, may be ready to join hands on some topics and help us with legislators and regulators.
So we are growing already, and our potential is only increasing.
Let me implore you and ask you to pass onto others. Don't get cooked in a squat!
Do what it honestly takes to earn the kind of income that will take your travels to off the coast of Africa, or wherever in the world your heart would lead you. For me and mine, I'm ready to plan a return to the Big Island. I've heard there were some HUD Code manufactured homes shipped there, right about the time we visited! That would mean that all 50 states now have our homes.
Palm trees, sunny beaches and all the other sites on the Big Island would be on my beloved's and my mind, just as African Coast or other adventures appeal to our diverse industry as rewards for our service to a public that needs what we offer.
Spring is here. Make the balance of 2013 count. Invest in your operations training and marketing and watch your bottom line grow too. Together, yes we can build a bigger, smarter better manufactured housing industry. ##
PS: Check our many Exclusive and Red Hot Featured Articles for April and see the
other new stories at MHLivingNews.com too.
L. A. "Tony" Kovach
MHLivingNews.com=Re-Discovering and Spotlighting the MHLifeStyle
MHProNews.com = MHMSM.com = Industry News, Tips and Views Pros can Use
Services:B2BandB2CAds, Proven MH Marketing & Sales Systems, Websites other Industry Solutions.
Office –815-270-0500
latonyk@gmail.com or tony@mhmsm.com
http://www.linkedin.com/in/latonykovach= connect with me on Linkedin.
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Whether you think you can or whether you think you can't, you're right. – Henry Ford
