Note: this preface that will lay out some relevant concepts noted in the headline will be followed by the Manufactured Housing Institute (MHI) latest research in their own words. According to Oxford Languages, “The Stockholm Syndrome” is defined as “feelings of trust or affection felt in many cases of kidnapping or hostage-taking by a victim toward a captor.” Hold that thought and couple it with this one from earlier this year in a report linked here and reproduced as follows for the reader’s (i.e.: your) ease and convenience.
People and professionals are normally social creatures prone to certain behaviors. “The chains of habit are too light to be felt until they are too heavy to be broken.” Quote Investigator says that “…Warren [Buffett is] quoting the English philosopher Bertrand Russell, because his words so aptly describe the insidious nature of bad business habits that don’t become apparent until it is too late.”
According to Marcel Schwantes, Founder and Chief Human Officer, Leadership From The Core, who said via Inc. that “You’ll only be able to reach your full potential by breaking the habits that no longer serve you. Habits will either move us forward or holds us back.” Schwantes explained Buffett’s advice by quoting the Oracle of Omaha: “I see people with these self-destructive behavior patterns. They really are entrapped by them.” Buffett gave graduating students at the University of Florida a simple piece of advice: learn and practice good habits early on before it’s too late. He added: “You can get rid of it a lot easier at your age than at my age, because most behaviors are habitual. The chains of habit are too light to be felt until they are too heavy to be broken.”
Said Schwantes, “Truth be told, you can get rid of your most self-destructive habits at any age. The first step in any turnaround change process is the boldest: Self-confession. You must admit that you have a problem. You must address your blind spots with new awareness. And you must have a relentless commitment to practicing the new habits.” He goes on to speak about the importance and value of communications skills, ala Dale Carnegie, that Buffett said has also been important in his success.
Social Psychologist Jonathan Haidt talks about the power of social cohesion.
According to “Creating Social Glue in the Community: A Psychologist’s View* Donald C. Klein, Ph.D., with the Union Institute: “although we behave according to our own individual interpretations of our experiences, those interpretations are, for the most part, shared with others and shaped by the culture and the identity groups that are important to us.”
Applying those insights to the performance of the manufactured housing industry, and more specifically, the Manufactured Housing Institute, could provide valuable “lessons learned” inspired by Warren himself.”
Next, consider what Quote Investigator (QI) said about “The definition of insanity is doing the same thing over and over again and expecting a different result.” Their article also said: “It’s foolish to repeat ineffective actions. One popular formulation presents this point harshly.” QI went on to say that Albert Einstein apparently didn’t say that, but rather the earliest similar reference to that remark came from an Al-Anon meeting as part of their “twelve step” program to breaking free from an addiction.
While the thesis of their 2021 article has laughably turned against them, the Atlantic aptly noted in that same column explored this insight: “Why targets of deliberate deception often hesitate to admit they’ve been deceived.” That sentance is all too often true enough. Victims may not admit, even to themselves, that they have been taken advantage of by someone else.
For some people working in manufactured housing today, following old habits that are problematic at some level, or playing along with an increasingly obvious deception, may upon closer examination be closer to a survival technique.
For example. When someone is selling manufactured homes, they routinely need financing. As many industry pros know, often the typical avenues for financing a conventional house – via loans that access the so-called “secondary market” through Fannie Mae, Freddie Mac, Ginnie Mae, etc. – are limited or closed to manufactured housing. Instead, the largest lenders in manufactured housing are clearly associated with Berkshire Hathaway (BRK). They are 21st Mortgage Corporation and Vanderbilt Mortgage and Finance (VMF). 21st and VMF are sister brands to Clayton Homes, which is also wholly owned by Warren Buffett led Berkshire. These are statistical realities that the Consumer Financial Protection Bureau (CFPB) outlined in reports previously provided and unpacked at the links below.
No matter how much some independent or other corporation may dislike doing business with Clayton-Berkshire’s 21st, in many cases in contemporary manufactured housing, professionals may feel that they have no practical choice. So, they hold their nose and do business with 21st. While some have reportedly accessed other financing options besides 21st for those with less than stellar credit, these other sources are not widely reported. Or those lenders may only be available in certain specific scenarios, or essentially by invitation, and other unique channels that are by definition not readily accessed. All that means that 21st benefits from the status quo.
In the Big newsletter to MHProNews dated 10.2.2022 provided by anti-monopolistic practices author Matt Stoller, Stoller remarked about an upcoming American Bar Association (ABA) panel discussion. That ABA panel will be about antitrust (i.e.: anti-monopoly) related issues in the Biden era, per Big. Stoller said in part the following.
In this case, the [AB A] panel has a title that indicates how some establishment feel about the Biden regime. It’s called ‘All Bark, No Bite? Antitrust Under Biden.’
I’m looking forward to it, because the wryness of the title speaks to the basic ideological discomfort involved in changing political economy regimes, an emotionally driven veering from panic to fear to contempt. For the first year of the Biden administration, the antitrust bar and their allies in Silicon Valley and Wall Street were a bit terrified, since Biden picked aggressive enforcers, Lina Khan and Jonathan Kanter, to run the agencies. But over the past year, they have watched the air seep out of the Biden balloon. Then the government lost antitrust cases involving Altria-Juul, U.S. Sugar, Booz Allen, and UnitedHealth Group. And so the forces of the status quo concluded that, well, there won’t be big changes, it’s business as usual.
They may well be right, but…”
Stoller essentially said he remains hopeful that something will change. Really? Even when the ABA is mocking the Biden-antitrust ‘efforts?’
As MHProNews has observed several times, it is unlikely that what Stoller called “the Biden regime” will bite the hands that put them in power.
A different way of saying it is that it is unlikely that someone will bite the hands that feeds them is this. From GoodReads by author Upton Sinclair: “It is difficult to get a man to understand something, when his salary depends on his not understanding it.” To the psychological points raised above, people who feel they must do something are remarkably able to close their eyes and objectivity and then just do it.
In just a few minutes of reading, the pragmatic and psychological issues related to the conundrum of what is occurring in manufactured housing are hereby exposed. This is an apparent part of what award winning author Harold Pinter called a “tapestry of lies” combined with the chains of habit, the Stockholm syndrome, and the pragmatic realization by those who may believe they have little or no choice.
That may seem like folly.
This vexing pattern may appear to be part of an inept, comedic or faux performance. Speaking of performance…
As EnglishLanguageFAQ said about Kabuki theatre: “Kabuki has entered general English as a synonym for theatrical. In the US, it is often used to describe politicians suspected of acting insincerely to please their supporters and/or attract maximum media attention.” When one follows the money trail, as the Capital Research Center (CRC) does, it is surprisingly easy to find big examples of “deception and misdirection” operating in the U.S.A. quite openly today. To maintain a hold on sanity or self-respect, someone may have to occasionally mock the system that forces good people into doing or behaving in a way that is contrary to their overall interests.
It is an apparent combination of the dystopian worlds of George Orwell’s Nineteen Eighty Four (1984) or Brave New World author Aldous Huxley. Laughing about it, satirically mocking the status quo, or trying to ignore what in practice can’t be ignored, are all part of the array of coping mechanisms professionals may find useful. That’s true for those who for whatever feel reasons are trapped by an obviously ‘rigged system.’ Furthermore, voices on the political left and right have openly and repeatedly said that they system is rigged. This isn’t some vague conspiracy theory or garden variety gaslighting. These are the cold, harsh realities for people in the manufactured home profession which university level research and third-party nonprofits have explored.
With that backdrop, consider what the Manufactured Housing Institute (MHI) via their Federates States Newsletter of 10.31.2022 said to manufactured housing industry member/readers.
Under “News From Washington,” the Arlington, VA based MHI (not in Washington, D.C., but rather is across the Potomac River from the nation’s capital) said in part the following.
NEWS FROM WASHINGTON
MHI Releases New Study: “Manufactured Housing Market Trends During Recession Periods and Market Outlook”
MHI commissioned a study to examine how the manufactured housing market performed during recessionary periods over the last 40 years. The study found that manufactured housing shipments have generally declined during recessions, but that decline has been less severe than the decline in site-built housing as measured by overall housing starts. As there remains the possibility of a recession in the near-term, likely to be exacerbated by rising interest rates, high inflation, and a contracting housing market, this research is important for industry participants to understand the threat posed by economic headwinds and the historical impacts of prior recessions on the manufactured housing market as a whole. Click here to read the full analysis.”
As a click on that “click here” reveals, that link takes someone to their member only login. As MHProNews has repeatedly pointed out, MHI is infamous for hiding much of their research behind members-only paywalls, and then ‘releasing’ only the information that they want people to latch onto.
That noted, here is the continuation of MHI’s apparent Kabuki style ‘posturing and paltering for effect’ missive to the trusting and do not yet ‘get it,’ or to those readers who well may realize to some extent that they are being played by MHI and their corporate masters, but they don’t think they have a choice in the matter.
Per MHI:
“Key findings from the study include:
- The rate of decline for manufactured housing shipment has been less severe than the decline in site-built housing (measured by housing starts) during four of the six recessions that have occurred over the last forty years: 1980-82 (two recessionary periods), 1990-1991, and 2008-2009. From January – May 2022, a year when the housing market has weakened amid rising interest rates, manufactured home shipments continued to increase faster than total housing starts.
- The Great Recession of 2008-09 was triggered by the collapse of the housing market when rising interest rates led to unaffordable mortgage payments and home foreclosures. Manufactured housing shipments contracted by 48% in 2009 compared to 2007 and housing starts fell even more by 59%. With a steeper decline in housing starts, however, the share of manufactured housing to total housing new supply increased to 8.2% from 6.6% in 2007.
- The primary impact of the COVID-induced recession in 2020 was the broad, and ongoing, disruption of supply chains. With this short recession, the level of manufactured home shipments was essentially unchanged during the whole year of 2020 from the level in 2019 while housing starts rose 7%.”
That deft bit of paltering and posturing fails to mention that manufactured housing in the later part of the 21st century was several times the percentage of new housing starts that it is today. See the chart linked below, courtesy of the National Association of Realtors (NAR) researcher Scholastica “Gay” Cororaton.
Additionally, MHI’s shameless big lie style of chutzpah fails to mention the research of an apparently objective third-parties, such as was obtained by MHProNews from James A. “Jim” Schmitz, Jr.
MHI dare not admit that they are playing a game that is apparently intended to result in the steady consolidation of the industry into ever fewer hands. Those fewer hands are routinely members of MHI. See how this scheme is played?
For all their self-proclaimed and so-called “clout,” MHI has succeeded in proving that they have access to the top echelons of the U.S. government. Fine. That’s real enough. But in proving that access, MHI are then logically accountable for what happens in the aftermath of those face-to-face meetings.
MHI’s messages are outrageously redundant. Repetitive. They would make a fine exhibit of the popular definition of insanity, because MHI keeps doing and saying the same tired, worn out ‘tall tales’ Kabuki style ‘big lies.’ It is what the Manufactured Housing Association for Regulatory Reform (MHARR) aptly called “The Illusion of Motion.”
Per left-leaning Wikipedia: “The term illusory motion, also known as motion illusion, is an optical illusion in which a static image appears to be moving due to the cognitive effects of interacting color contrasts, object shapes, and position.”
Paraphrasing now apparently loyal, but once questioning and skeptical Sam Landy, J.D., with UMH Properties was overheard saying to members of his own team at an MHI meeting several years ago, ‘MHI meets a number of times a year, but there seems to be no actual progress on the matters that are being discussed.’ Quite so! It’s the illusion of motion! Its doing ‘something’ with others acting as if that ‘something’ matters, when that something is just part of an apart con, what MHARR has called “a shell game.”
MHI’s Federated States newsletter for 10.31.2022 goes on to make much the same tread worn claims that their other emails have. MHI asks their members to: “Help MHI By Continuing to Support These Efforts” adding “Join your more than 850 industry professionals to call for more cosponsors for H.R. 7651, “The Manufactured Housing Affordability and Energy Efficiency Act” …” Then they list a tiny sliver of the number of lawmakers needed to actually do what they claim they want done. IBIS World and ZoomInfo say that: “Clayton Homes Inc. is a public company headquartered in Tennessee with an estimated 20,000 employees.”
Stop and think! If MHI honestly thought more emails to members of Congress would work, then leading MHI member Clayton Homes could have asked – pressed – each employee to take 5 and send an emailed message to their member of Congress. If all at Clayton Homes did as that, that would be about 23.53 times the number of emails that MHI has managed to obtain after months of making the same inane, go-nowhere, silly, posturing, vain or outright stupid on MHI’s part request (take your pick).
Clayton is just one of several large brands involved at MHI. If Clayton can’t be bothered with this apparent kabuki ploy, this illusion of motion, why should anyone else do so?
The sad answer is that some may feel compelled to follow the folly because they depend on something that an MHI member – for example, 21st Mortgage Corporation – provides.
Summing Up
- MHI can posture all they want to for their members/readers.
- MHI can pretend MHARR no longer exists.
- MHI can pretend that Sam Landy didn’t once say that all of those MHI meetings and emailed messages were going nowhere.
- MHI can pretend that their large companies that are steadily consolidating the manufactured housing industry aren’t violating antitrust, RICO, or other regulations.
As the top of this article reflected, there are any number of possible reasons why some innocent victim of this rigged system in MHVille may play along.
But if MHI is taken seriously, then their folly is also ever more obvious. If MHI is taken as a “shell game” – a con job – then they logically aren’t going to admit that such is the case, as that could lead to prison time for several people involved in “The Institute” that MHI like to occasionally use, because it sounds so impressive and important.
MHI is all BS, save for the winners who are profiting off of the independence, who are often thus losers.
As an MHI member told MHProNews, consider the following.
MHI can attempt to hide or shield themselves from their critics.
MHI corporate and staff leaders can pretend that researchers and watchdogs aren’t calling out their con game in their rigged system.
But their own behaviors and claims ultimately come back to haunt them. Since millions just dressed up and pretended to be something other than who they are on Halloween, perhaps a new name should be given to MHI? The Manufactured Halloween Institute?
Logic, evidence, and even farce all reveals that MHI is a tool in the hands of corporate leaders designed to separate investors and independent companies from their rightful returns on investment.
You can’t make this stuff up.
But you can see what is occurring and do what you can to shield yourself from this pernicious paltering, posturing, preening forces operating a crony capitalist system that is NOT free enterprise. Who says so? How about Joe Biden, who said that capitalism without competition is not capitalism.
Even the ABA said it:
- ‘All Bark, No Bite? Antitrust Under Biden.’
When it comes to MHI:
- ‘All Show and No Go? The Shell Game, the Illusion of Motion, as Consolidation Continues – Thanks in Part to the Paltering, Posturing, Preening Professionals at MHI.’
MHI is asking for emails in support of a bill “H.R. 7651, “The Manufactured Housing Affordability and Energy Efficiency Act” that has no Democratic co-sponsors, while Democrats are currently in charge. Either madness or poorly planned posturing. Take your pick.
MHI is asking for support of a bill that has no Senate companion bill. The clock is running down. MHI has recently formally asked DOE in writing for more time, even though MHI supported this very measure on the sly for years, per MHARR’s evidence-based research. MHI has a simple solution. Put their attorneys to work by launching effective lawsuits.
That’s either madness, poorly planned posturing, or a shell game that has been exposed and no longer has any apparent logic to it.
Meanwhile, Cavco Industries has announced that they now want to consolidate, acquire, buy out – pick your favorite phrase – one of the few remaining independent producers of manufactured homes. Solitaire Homes.
Tick, tock, tick tock.
The clock is counting down to either MHI’s insane madness, or their exposed hypocrisy, take your pick.
As a political independent writing this column, one might fairly ask, ‘Why vote Republican?’ Simple. They too have boxed themselves in. The Democrats have gone in with the corporate and billionaire powers who play the crony capitalist – satirical WMAL pundit Chris Plante calls them fascists – that are in bed with each other.
Republican have had to turn to smaller donors as a result.
If Republicans failed to deliver, who will they turn to next?
So long as voters vote Republican, and then hold the GOP (i.e.: Republicans) to their pledges, change can come because Republican have run out of runway politically otherwise.
Then, pray, pray, pray because God can move some soul to turn state’s evidence, can cause a leak of documents that makes these obvious allegations totally black and white, or could cause some other unforeseen way of bringing this corruption to a just end.
That’s your Wacky Wednesday look at Wacky MHI’s methods and the Topsy Turvey World of MHVille. The bottom line is this for the short term. If you haven’t already done so, do as the sign says, vote Red (Remove All Democrats) because change will obvious not occur during what Stoller called “the [Democratic] Biden regime.”
Daily Business News on MHProNews Markets Segment
NOTICE: Based on feedback, a modification of our Daily Business News on MHProNews recap of yesterday evening’s market report is provided. It will still include our left (CNN Business) and right (Newsmax) ‘market moving’ headlines. The macro market moves graphics will provide context and comparisons for those invested in or tracking manufactured housing connected equities.
Reminder: several of the graphics on MHProNews can be opened into a larger size. Click the image and follow the prompts in your browser or device to OPEN In a New Window. Then, in several browsers/devices you can click the image and increase the size. Use the escape or back key to return.
Headlines from left-of-center CNN Business – from the evening of 11.1.2022
- Jaw-dropping profits
- Lawrence Summers, president emeritus and professor at Harvard University, speaks during the Institute of International Finance (IIF) annual membership meeting in Washington, DC, US, on Friday, Oct. 14, 2022.
-
Biden suggests tax penalties for oil companies making billions. Larry Summers pushes back
- BP announces $2.5 billion share buyback after profit soars
- Elizabeth Warren to Jerome Powell: Just how many jobs do you plan to kill?
- The number of job openings rose unexpectedly in September
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- SpaceX’s Falcon Heavy rocket returns to flight after three years
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- Workers flee China’s biggest iPhone factory over Covid outbreak
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- Why America’s job market hasn’t imploded
- This bond pays nearly 7%. Here’s what you need to know
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- Some McDonald’s will now sell Krispy Kreme donuts
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Headlines from right-of-center Newsmax 11.1.2022
- SCOTUS Rejects Sen. Graham’s Bid to Block Georgia Subpoena
- The Supreme Court on Tuesday lifted a temporary hold on Sen. Lindsey Graham’s testimony in a Georgia investigation of possible illegal interference in the 2020 election by then-President Donald Trump and his allies in the state. [Full Story]
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- Libertarian Ends Ariz. Senate Bid, Endorses Masters
- Herschel Walker Denies Dems’ ‘Lie’ About Abortion
- Newsmax TV
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Pelosi Attacker Was Progressive and Mentally Ill, Says Ex-Girlfriend
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- Get a Free Memory Screening This November
===================================
- NOTE 1: The 3rd chart above includes the Canadian stock, ECN, which purchased Triad Financial Services, a manufactured home industry lender
- NOTE 2: Drew changed its name and trading symbol at the end of 2016 to Lippert (LCII).
- NOTE 3: 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.
- Note 4: some recent or related reports to the equities named above follow.
2022 …Berkshire Hathaway is the parent company to Clayton Homes, 21st 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.
Disclosure. MHProNews holds no positions in the stocks in this report.
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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.