The new manufactured home production and shipment data for April 2022 is in. To appreciate what is occurring, the new facts should be framed against broader U.S. housing data. Just days ago, Tobias Peter for the American Enterprise Institute’s respected AEI Housing Center told MHProNews the following. “Purchase volume for week 20 is down 16% and 1% over 2021 and 2019, respectively, and home price appreciation (HPA) is projected to moderate in June. However, unless supply increases, we expect y-o-y HPA to remain high until mortgage rates are at 6% or more.” Further below, are insights from the National Association of Realtors (NAR) and the National Association of Home Builders (NAHB). Additional pieces of the puzzle that compose the ‘big picture’ of U.S. housing that manufactured homes are a part of are provided by our exclusive report and analysis on Cavco Industries latest quarterly earnings call.
Against that brief introduction is the following from the Manufactured Housing Association for Regulatory Reform (MHARR).
FOR IMMEDIATE RELEASE Contact: MHARR
INDUSTRY PRODUCTION INCREASES IN APRIL 2022
Washington, D.C., June 3, 2022 – The Manufactured Housing Association for Regulatory Reform (MHARR) reports that according to official statistics compiled on behalf of the U.S. Department of Housing and Urban Development (HUD), HUD Code manufactured housing industry year-over-year production increased in April 2022. Just-released statistics indicate that HUD Code manufacturers produced 10,165 homes in April 2022, a 10% increase over the 9,244 new HUD Code homes produced during April 2021. Cumulative production for 2022 now totals 39,835 homes, an 11.5% increase over the 35,723 homes produced during the same period in 2021.
A further analysis of the official industry statistics shows that the top ten shipment states from the beginning of the industry production rebound in August 2011 through April 2022 — with cumulative, monthly, current year (2022) and prior year (2021) shipments per category as indicated — are:
The April 2022 data results in no changes to the cumulative top-ten shipment list.
The Manufactured Housing Association for Regulatory Reform is a Washington, D.C.-based national trade association representing the views and interests of independent producers of federally-regulated manufactured housing.
— 30 –
Manufactured Housing Association for Regulatory Reform (MHARR)
1331 Pennsylvania Ave N.W., Suite 512
Washington D.C. 20004
Phone: 202/783-4087
Fax: 202/783-4075
Email: MHARR@MHARRPUBLICATIONS.COM
Website: manufacturedhousingassociation.org
Additional Information, More MHProNews Analysis and Commentary in Brief
Each of the linked reports connects several dots involving manufactured housing industry controversies. Several of these reports are set in the context of what is occurring in other segments of the U.S. housing market.
Tobias Peter – American Enterprise Institute Housing Center – Insights on Concerns Over Housing Bubble and Related New Data; plus Sunday Weekly Headlines Review
Tobias Peter, Ed Pinto, American Enterprise Institute Housing Center, AEI Housing Center, National Association of Realtors, Manufactured Housing Institute, Manufactured Housing Association for Regulatory Reform, Insights, Concerns Over Housing Bubble, Related New May 2022 Housing Data; plus Sunday Weekly Headlines Review,
NAR’s Yun – ’55 Percent Increased Payment Cost’ YoY Same Home, Housing Sales Dip Continues – Yun Fingers Biden – May 2022 Housing, Economic, Forecasts Data Pros Need; Plus MHMarket Update
In the National Association of Realtors (NAR) Chief Economist Lawrence Yun, Ph.D., PowerPoint Presentation found further below, he used a same home comparison cost, interest, and monthly payment in 2022 vs. 2021. “Monthly Mortgage Payment for Same House … One year ago vs.
Texas Real Estate Research Center Releases Latest Research, Improvements in Material Costs, But ‘Long Run Challenges Persist’ – TMHA’s Ripperda Confirms MHProNews Reports; plus MHStocks Slide
Texas Real Estate Research Center, Updates Latest Texas Manufactured Housing Research, Improvements in Material Costs, HUD Code Manufactured Homes, But “Long Run Challenges Persist”, Texas Manufactured Housing Association, TMHA’s VP Rob Ripperda, Confirms MHProNews Reports; plus Broad MHStock Slide Continues, 5.9.2022, REITs, manufactured home, production, factories, retail, dealers, finance, brokers, suppliers,
Clock Starts-Manufactured Housing Association for Regulatory Reform Provides Latest Facts, Options, and Planning to Stop Advancing Dept of Energy Manufactured Housing Energy Rule; plus MHStock Update
Clock Starts-Manufactured Housing Association for Regulatory Reform Provides Latest Facts, Options, and Planning to Stop Advancing Dept of Energy Manufactured Housing Energy Rule; plus MHStock Update, 5.31.2022, REITs, manufactured home, communities, factories, dealers, retailers, production, suppliers, finance, brokers, mobile home park investing,
‘Record Results’ – Cavco Industries 2022 Q4 Results, CEO Bill Boor Said ‘Dramatic’ Rate Increases Means ‘Decreased Affordability,’ ‘Many Hopeful Buyers’ Left Out, ‘Fundamental Undersupply Remains’
Cavco Industries (CVCO) William “Bill” Boor, CEO relates below two distinct types of ‘records’ in describing their corporate results. Both are eye opening. One is record corporate results, which this article will provide. Another is his reference to being a bit of a ‘broken record.’
As the linked reports above detail, national conventional existing home resales and new site-built housing unit volumes are buffeted by rising costs, rising rates, and decreased affordability. The manufactured home market’s buyers are impacted too, because the most marginal buyers are being ‘priced out.’ A year from now, barring some successful action that halts the Department of Energy’s (DOE) energy rule for manufactured housing, even more manufactured home prospects will be lost. Who says? Manufactured Housing Institute (MHI) CEO Lesli Gooch, Ph.D.
Exploring HousingWire Editor Sarah Wheeler, Manufactured Housing Institute CEO Lesli Gooch Op-Ed, Support MHI Claims But Affordable Housing, Manufactured Home Industry Woes Mount
On 9.7.2021, HousingWire’s editor Sarah Wheeler authorized and published an opinion column (op-ed) by Manufactured Housing Institute (MHI) CEO Lesli Gooch at this link here. This MHLivingNews editorial viewpoint will lay out several facts that shed light on why manufactured housing is underperforming during an affordable housing crisis.
Bill Boor said it in a prior quarterly earnings call. There is an opportunity for manufactured housing to ‘catch up’ with conventional building.
But will one or two of the big three at MHI, perhaps in league with some of MHI’s independent producers, break ranks from Clayton Homes and move toward authentic growth potential? Recall this potent observation that MHProNews spotlighted from a Skyline Champion (SKY) earnings call. RBC Capital Markets Managing Director Mike Dahl raised a point that MHProNews has raised in reports like the one linked below his quoted comment.
MHI award winner Marty Lavin, J.D., isn’t the first to say words like the following, but he is certainly among the most prominent manufactured housing industry members who have stressed similar points.
MHProNews has said for years that 500,000 total new manufactured shipments should be the industry’s ‘floor.’ The topside potential is apparently around 1 million+ new homes produced annually. Even at that lofty pace it would take years to ‘catch up’ to the needs of a growing U.S. population.
What that means in practical terms is that there are retailers and producers of HUD Code manufactured homes that could – in theory – witness growth of 4 to 8 times (400% to 800% growth) from their current levels.
Independent business owners, investors in publicly traded manufactured housing firms, affordable housing advocates, and others should be using these facts to press the ‘gatekeepers’ at MHI who are arguably throttling manufactured housing sales, as some conventional builders admit they have done with site-built housing. The insights from MarketPlace are less than a year old and are still relevant.
Board members and corporate officials have fiduciary and other duties to an organization. Failure to act in the best interest of all, as MHProNews has explored previously, opens up such board members and officials to potential liability. While that may have seemed like a distant risk a couple of years ago, the Securities and Exchange Commission suit vs. Cavco et al, coupled with a legal action launched by private attorneys may well portend for a new era ahead that could break the big-boys club up that has limited industry growth.
Follow up reporting with additional new facts will elaborate on these issues. In the meantime, reading or re-reading the linked reports in the light of this new data will paint what is apparently the most accurate and complete picture of what the reality of the manufactured housing industry market is in. Stay tuned for more. ##
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Stay tuned for more of what is 'behind the curtains' as well as what is obvious and in your face reporting that are not found anywhere else in MHVille. It is all here, which may explain why this is the runaway largest and most-read source for authentic manufactured home “News through the lens of manufactured homes and factory-built housing” © where “We Provide, You Decide.” © ## (Affordable housing, manufactured homes, 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.com.
Tony earned a journalism scholarship and earned numerous awards in history and 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.
Connect on LinkedIn: http://www.linkedin.com/in/latonykovach
Related References:
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