This evening’s featured focus will be a look at some conventional housing data, juxtaposed with the realities of manufactured housing.
Periodic readers of this business-nightly feature should note there are a few tweaks to some of the standard portions of our evening market/investing report. Read carefully as some changes of the ‘standard text’ that follows before our left-right headlines and also in other features near the end of tonight’s reports.
Every evening our headlines that follow provide snapshots from two major media outlets on each side of the left-right news spectrum that reflect topics that influence or move investor sentiment. In moments on this business evening report, you can get ‘insights-at-a-glance.’
This report also sets the broader context for manufactured housing markets, in keeping with our mantra, “News through the lens of manufactured homes and factory-built housing” ©.
We begin with headlines left-of-center CNN followed by right-of-center Fox Business. We share closing tickers and other related data courtesy of Yahoo Finance, and more. 5 to 10 minutes reading this MHProNews market report every business night could save you 30 minutes to an hour of similar reading or fact-gathering elsewhere.
Perhaps more important, you will get insights about the industry from experts that care, but also dare to challenge the routine narrative that arguably keeps manufactured housing underperforming during an affordable housing crisis.
Newsy, Peeling Back Media Bias, Manufactured Housing Sales, Investing, Politics, and You
Headlines from left-of-center CNN Business.
- Setting the record straight – Carlos Ghosn tells CNN Business he knew leaving Japan was illegal. Why he did it anyway
- Carlos Ghosn: ‘I did not escape justice, I fled injustice’
- Carlos Ghosn: I am here to clear my name
- Oil prices plunge as Trump speech eases Iran fears
- Stocks soar after Iran selloff
- Boeing faces more trouble after crash of a Ukrainian 737 jet in Iran
- Major airlines divert flights from Iranian airspace
- Tesla worth nearly as much as GM and Ford combined
- Shares of GrubHub jump on report that it may be for sale
- Perdue Farms’ new meat-packing foam dissolves in your sink
- Starbucks is bringing oat milk lattes to the Midwest
- Apple customers spent $1.4 billion in the App Store in one week
- Startup releases list of 7 biggest retirement mistakes people make
- Macy’s is closing 28 stores and a Bloomingdale’s store
- ClassPass is now a unicorn
- RollBot, a toilet paper-carrying droid developed by Charmin and Unit 9, carries a roll of toilet paper through a bathroom, Monday, Jan. 6, 2020, in Las Vegas.
- Charmin’s toilet paper delivery robot wants to ease your ‘poop anxiety’
- Vacation homes aren’t just for the very rich anymore
- Thinking of buying a home in 2020? Read this first
- The crackdown on secret real estate listings
- Why you might have to pay a ‘mansion tax’
- Want to save on a home? Buy it with some strangers
- Sony Interactive Entertainment CEO Jim Ryan at Sony CES 2020 press conference on January 6, 2020 in Las Vegas, NV.
- Here’s everything we know about Sony’s PlayStation 5
- Fortnite made $1.8 billion in 2019
- How Fortnite changed the video game business
- Nintendo Switch is coming to China
- How he makes $500,000 a month playing video games (2018)
Headlines from right-of-center Fox Business.
- Nasdaq soars to record high after Trump promises more Iran sanctions
- Investors appear confident that the US can manage Iranian threats.
- Trump chokes Iran’s economy after missile attack targets US military forces
- Oil craters after Trump emphasizes de-escalation with Iran
- Hunter Biden responds to latest twist in baby mama legal saga with ex-stripper
- ‘I was brutally taken’: Ex-Nissan chief goes off in fiery first appearance since escape
- WATCH: Delta CEO says ‘we want Boeing 737 Max to be up in the air’
- Boeing stock tumbles after horrific jetliner crash leaves dozens dead
- What you don’t know about your cyber attacker (but should)
- Bernie Sanders may be raking in huge donations despite ultra-rich crusade
- Retiree makes life-changing sacrifice to save state’s oldest weekly newspaper
- Victoria’s Secret beauties driving women to undergo major procedures
- CNN settles with Kentucky teen in MAGA hat made into national mockery
- Prince Harry and wife Meghan going ‘independent,’ split from Buckingham
- Troubled IRS late on sending refunds and answering calls, report shows
- Stripper hits back at J.Lo over ‘Hustlers’
- Tom Brady addresses NFL retirement rumors in Instagram post
- One breakthrough dropped America’s cancer death rate more than ever
- Diary giant’s ‘surprise’ and ‘destructive’ collapse sparks outrage from lenders
- Horrific Boeing 737 crash in Tehran raises questions, suspicions
- Rent money? California governor’s massive ask to help clean up state’s homeless crisis
- ‘Jeopardy!’ crowns historic winner after top 3 contestants battle for domination
- Defense stocks to take off ahead of 2020 election
- Macy’s slashing dozens of stores after ugly holiday sales surprise
- China pork tariffs ruined ‘opportunity of a lifetime’ for US farmers
- Bloomberg takes aim at Trump as he unveils new economic plan
- Harvey Weinstein attorney slams #MeToo as jurors are picked
- Carlos Ghosn attacks Japan’s judicial system in first appearance since escape
- Carlos Ghosn’s American family: Who’s who?
- Stocks spike as Trump promises more Iran sanctions
- Target to sell fake beef from meatless turkey maker Tofurky
- Billionaire Larry Ellison’s company in talks to buy electric grid on Lanai
- Patients push limits for clues to chronic fatigue syndrome
- Saudi Aramco shares hit another new low following missile attack
- Takata recalls 10M air bag inflators in possible end to epic error-filled saga
- Rob Lowe brings experience with 1st responders to Fox series
- Avalanche at Idaho’s Silver Mountain Resort, 2nd skier found
- Consequences for Iran severe if Trump ramps up economic warfare, experts say
- Iraq’s missle attacks: A look at the al-Asad Airbase
- US judge: Survivors can sue National Parks Service over deadly Tennessee fire
- Private sector job growth surges in December, ending decade on strong note
- Ray Dalio’s most prominent fund suffers first annual loss since 2000
- Girl Scouts turning heads with ’empowering’ new cookie
- Facebook wouldn’t take down edited Nancy Pelosi video under new ‘deepfake’ rules
- Trump addresses nation: ‘Iran appears to be standing down’
- Dem contender Bloomberg’s gun control group helps city sue firearms-maker
- Consequences for Iran severe if Trump ramps up economic warfare, experts say
- PG&E’s California blackouts also knocked out cell phone service
10 Market Indicator Closing Summaries – Yahoo Finance Closing Tickers on MHProNews…
Featured Focus – Where Business, Politics and Investing Meet
Tonight’s report will follow this plan. First, key factoids from a new report by CNBC and related videos. That will be followed by MHProNews commentary and analysis that’s manufactured housing focused.
- The supply of homes for sale was 12% lower compared with December 2018, according to realtor.com. The decline was much steeper than the 9.5% annual drop in November.
- “The market is struggling with a large housing undersupply just as 4.8 million millennials are reaching 30-years of age in 2020, a prime age for many to purchase their first home,” wrote George Ratiu, realtor.com’ senior economist in a release.
“The supply of homes for sale was 12% lower compared with December 2018, according to realtor.com. The decline was much steeper than the 9.5% annual drop in November. Buyer demand is so strong, that whatever is on the market is going quickly,” said CNBC.
They added that “The shortage of homes for sale is worst on the low end of the market, but the supply drain is actually accelerating across all price tiers, including the most expensive homes.”
In the video above, an analyst says he expects conventional builders to work harder at building entry level housing. While it is unlikely that they will come too close to manufactured housing price-points, the entire narrative begs the question, why is MHI’s Clayton backed plan falling so flat?
- During December 2019, the supply of entry-level homes priced under $200,000 fell 18.1% annually, a larger drop than the 16.5% decline in November.
- The supply of homes priced between $200,000 and $750,000, dropped 10.2% annually, compared with November’s decline of 7.4%.
- At the higher end of the scale, the number of homes for sale priced over $1 million fell 4.4%, compared with November’s 2% decline.
“The market is struggling with a large housing undersupply just as 4.8 million millennials are reaching 30-years of age in 2020, a prime age for many to purchase their first home,” wrote George Ratiu, realtor.com senior economist, in a release. “The significant inventory drop we saw in December is a harbinger of the continuing imbalance expected to plague this year’s markets, as the number of homes for sale are poised to reach historically low levels.”
The overall supply drop in December represents a loss of about 155,000 listings compared with the previous December, stated CNBC.
- New listings are declining.
The reasons for that are manifold:
- Older Americans are often choosing to age in place.
- Higher prices are keeping potential move-up buyers from listing their properties.
- Investors turned about 5 million homes into single-family rentals, so those homes are essentially out of the for-sale pool now.
Short supply signals higher prices ahead.
Mortgage rates are still very low, giving buyers more purchasing power and fueling that demand further.
The nation’s conventional homebuilders are ramping up production, but it is unlikely to be enough. New construction comes at a price premium to existing homes. There are builders pivoting to lower-priced products, but the bulk of building continues to be in the move-up and higher end of the market.
Let’s start with the obvious, a recent statement by the Manufactured Housing Institute (MHI).
Then let’s reflect regional and national level data.
What these demonstrate beyond a reasonable doubt is that MHI’s claims of promoting the industry are clearly failing. To learn more about the case for those concerns, see the reports linked below. The industry’s investors are being short-changed in the short-to medium run, unless they are backing consolidation?
Related Reports:
Manufactured Double Talk? Analyzing New Land-Lease Manufactured Home Community Developments
Manufactured Housing Industry Investments Connected Closing Equities Tickers
Some of these firms invest in manufactured housing, or are otherwise connected, but may do other forms of investing or business activities too.
-
-
-
-
- NOTE: The chart below includes the Canadian stock, ECN, which purchased Triad Financial Services, a manufactured home industry lender
- NOTE: Drew changed its name and trading symbol at the end of 2016 to Lippert (LCII).
-
-
-
Winter 2020…
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.
Enjoy these ‘blast from the past’ comments.
MHProNews. MHProNews – previously a.k.a. MHMSM.com – has now celebrated our tenth anniversary.
Learn more about our evolutionary journey as the industry’s leading trade media, at the report linked below.
· For expert manufactured housing business development or other professional services, click here.
· To sign up in seconds for our industry leading emailed headline news updates, click here.
Disclosure. MHProNews holds no positions in the stocks in this report.
(Image credits and information are as shown above, and when provided by third parties, are shared under fair use guidelines.)
Submitted by Soheyla Kovach, co-managing member of LifeStyle Factory Homes, LLC and co-founder for MHProNews.com, and MHLivingNews.com.
Connect with us on LinkedIn here and here.
