I had a call followed by a series of messages. It was from a man ready to invest his money in MH paper. But Dodd-Frank and it's impact is, of course, a stumbling block to navigate.

The fact that Stephen Wheeler and his associates have traction on syndicating manufactured home loans is another positive lending issue at play.

Other recent conversations have touched on the trend of renting manufactured homes in land lease communities. It isn't that MHC owners and professionals want to rent. Most manufactured home community owners would far prefer 'realistic' third party lending. Some that were carrying their own paper now feel that they have no choice but to rent if they are to fill vacant sites, given the complexities and practical costs of the SAFE Act and Dodd-Frank. That trend towards renting home in communities vs. homes being almost exclusively owner occupied is changing the dynamic and the long term premise of what made this an attractive asset class. That is a separate topic, but the common nexus is again, Dodd-Frank and SAFE as a background issue.

Local banks and regional lenders I have heard from say that the new federal regulations were supposedly designed to stop 'too big to fail' banking giants from causing a future economic melt down like the one in 2008. But I'm told that that the reality is that the playing field has tilted dramatically towards those giant lenders and away from the local or regional banks. The cost of federal compliance can be spread across a network of banks for the biggest boys, but the 'little guys' have to bear the legal and regulatory compliance alone.

Jason Boehlert at the Manufactured Housing Institute (MHI) briefed MHEC a little over a month ago in a conference call. The Manufactured Housing Executives Council (MHEC) is composed of the various associations execs from coast to coast. The conversation included some 'best practices' suggestions by seasoned state execs on how to line up support for HR 3849. Talking points and hand outs were provided to the execs by Boehlert that MHI has prepared to promote this legislative fix.

See the hot link above for more.

As reported in factory-built housing's Daily Business News, we have two states which have 100% of their delegation on board. We have bi-partisan support for HR 3849. This is strong evidence that this can be done.

This can happen, but only if enough pros like you, your peers and co-workers pick up the phone and call your congressman's office.

We have capital waiting on the side lines for manufactured housing finance. We have put together a single document that outlines why your congressman should get on board.

It took one personal meeting with my Congressman's housing/finance person and a few emails to get my representative on board. If you can't spend the time in a local office, please call and talk to your congress person's housing/finance staff member. Get their email address. Then email them the documents that either MHI, your state or that we have prepared on HR 3849.

It is axiomatic that the fear of loss can be stronger than the desire for gain. Don't look back a year from now and say, coulda, woulda, shoulda made that congressional advocacy effort. Don't expect your state association or MHI to do this alone. If they had the lobbying dollars to do it alone, believe me, we have other things to write about and do.

You can count on YOU for this. Then once you've acted, get your peers, and others you know to do the same. When enough of YOU do your part, guess what, like those two states that have 100% participation among their congressional delegation, it will happen.

Housing will boom again and our industry is rising already in new shipments for a variety of reasons. Let's make sure the oxygen for manufactured housing – finance – is made workable. Dodd-Frank needs amending, Barney Frank's own staff have said as much. Pick up the phone, do the meeting in person by phone. Email or send them the information that will get HR 3849 to become a reality. 2 states and dozens of congressional representatives prove this can be done, but only when you and others do our unique parts. ##

 

Post by
L. A. 'Tony' Kovach
www.MHProNews.com
www.MHMarketingSalesManagement.com or www.MHMSM.com
Innovation – Information – Inspiration for Industry Professionals

Office – 815-270-0500
latonyk@gmail.com or tony@mhmsm.com

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Whether you think you can or whether you think you can't, you're right. – Henry Ford