George Allen / EducateMHC Blog Mobile Home & Land Lease Community Advocate & Expert

Blog Posting # 813; Copyright 4 October 2024. EducateMHC

Know this! HUD-Code manufactured housing (‘MH’) is federally-regulated, performance-based, affordable-attainable, factory-built housing (a.k.a. another type of offsite construction). And land lease communities (a.k.a. manufactured home communities & ‘mobile home parks’), comprise the commercial real estate (‘CRS’) component of MH! EducateMHC is the online advocate, official historian, trade term & trend tracker, as well as information resource for both business models, and to a lesser extent the recreational vehicle (‘RV’) industry. Access EducateMHC via (317) 881-3815; email: gfa7156@aol.com, and via www.educatemhc.com, to purchase Community Management in the Manufactured Housing Industry and SWAN SONG – a history of land lease communities & official record of annual MH Productions totals since 1955. And my autobiography, From SmittyAlpha6 to MHMaven, describes personal combat adventures in Vietnam as a USMC lieutenant, a 45 year entrepreneur business career in MH & community ownership, as well as freelance consultant and author of many nonfiction texts.

George Allen is the sole emeritus member of the Manufactured Housing Institute (‘MHI’), a founding board member of MHI”s National Communities Council (‘NCC’) division, an RV/MH Hall of Fame enshrinee, and MHInsider magazine’s ‘Allen Legacy’ columnist & editor at large. He’s a Vietnam combat veteran, retired lieutenant colonel of U.S. Marines, author/editor of 30 books and chapbooks on MH, communities, business management prayer & figures of speech.

‘Upside Down in a Mobile Home Park’

By

George Allen

The title ‘Upside Down…’ caught my eye as I browsed among art films in a local video store. Rented the film, took it home, and here’s what we viewed.

The movie’s setting is unclear. It could easily have been in New England, the Southeast, or the Pacific Northwest, though I’ve seen similar manufactured home communities in the rural Midwest. No question however, this was an upscale land lease community installing new multisection manufactured homes onsite at the turn of the century.

Central characters were a young couple, George & Carolyn, buying their first home. Both employed, no children or pets, and two older cars. And there was H. ‘Itch’ Balle, the retail sales center salesman/manager. Film begins with George reading a classified ad:

‘L(.)(.)K

New Homes for Sale in Sherwood Forest Estates’

What catches his eye, besides the nearby location, is the $4,000 move-in incentive offer! George phones; he and Carolyn visit; really like what they see, and buy! Their new home, already sited, but not yet landscaped, is an $80,000 multisection HUD-Code manufactured home. (Remember, this is back around year 2000).

Everything seemed to be going their way! Originally expecting to have to come up with $4,500.00 down payment, they only paid $500.00! How so? The $4,000.00 ‘move-in incentive’ was graciously applied ty the retailer/developer, to improve their homesite with shrubs, porch, and carport. Then that amount was added to the balance they’d be financing.

Even financing arrangements were a steal! Mr. Balle arranged for them to avoid paying ‘10% over 30 years’ term (That’d mean $733.13/month payments.*1), and got them a variable rate loan of only ‘9% over 30 years’ with maximum possible increase of 2% (or two points) after one year. Their first year rate was only $672.18/month*2 on their new home mortgage!

And the Good News did not stop there! At the point in the movie when George & Carolyn suggest they might ‘shop around’ before committing to buy at Sherwood Forest, ‘Itch’ announced the entire first year’s rent of $285/month would be waived if they signed the sales contract that very day!

Now, that was a ‘no brainer’ decision if ever there was one. They’d already saved $4,000.00 on the housing down payment (Somehow they thought they’d be paying off less than $83,500.00 though…); were saving $60.95/month on the loan payment or $731.40 per year; and now, a ‘signing bonus’ (Just like a pro athlete!), they were saving yet another $3,420.00 in rent during the first year of being a resident at Sherwood Forest Estates. This was all too good to be true! No question, they signed!

Then the movie fast-forwarded a year and a month into the future. The euphoric sales center scene of 13 months ago is now a distant bittersweet memory. During the past year, Carolyn had become pregnant and was no longer working. And with the extra money from the ‘house deal’ – more than $4,000.00 in down payment and mortgage savings, waived rent, and no security deposit (forgot to mention that little gem earlier), they’d bought an expensive new Ford SUB on payments.

It was bill-paying day and George & Carolyn were out of money. Their variable rate mortgage payment had just jumped from $672.18/month to almost $800.00/month*3 – not including property taxes and homeowner insurance commitments. And a previously unknown notice had just arrived, a monthly site rent bill of not $285.00/month, but $300.00/month, due to an annual rent increase. Where in the world were they going to come up with at least an extra $400.00/month, on just one salary, to pay rent, mortgage, payments on the new car, with a baby on the way?

As the movie ended, this couple was, in effect, completely upside down in their financial commitments and responsibilities – with no way out, but to walk away from their new dream home. The epilogue, through a voice-over by a moderator listed the winners and losers in this housing transaction mishap.

’Winners. Commissioned salespersons selling new homes. Lenders providing high interest chattel mortgages. Developers intent on filling new communities within a year, then flipping to the highest bidder. Homeowner/site lessee during the first year of residency.

Losers. The HUD-Code manufactured housing industry’s image and reputation! Lenders risking repossession and losing money, but able to resell and originate new loans. Salespersons setting homebuyers up for failure will likely suffer consequences somewhere, somehow, along the line. And developers earn a reputation for profiteering.

As I contemplated an appropriate moral, lesson learned, or summary, for ‘Upside Down in a Mobile Home Park’ several came to mind: a little Latin, a slang expression, a Biblical admonition, and a quote from the late Gub Mix’s popular column, ‘From My Soapbox’.

• Caveat emptor…”Let the buyer beware!”

• ‘A sucker is born every minute’

• The Golden Rule: ‘Do unto others as you would have them do unto you.’ Matthew 7:12. Some would add this Gold Rule: “He who has the gold rules!”

• “…manufactured housing industry devotes an extraordinary amount of its’ resources to sell homes to people who really aren’t qualified home buyers. Why? Because they allow us to sell the ‘old mobile home way’…it’s easier than attempting to sell to qualified buyers who require a lot more effort. Manufactured housing may be the only industry in America that ignores the customer’s desires in their marketing practices. Unfortunately for us, potential buyers are much more savvy these days and appear to be abandoning us in droves.” June 2000

Hmm. Perhaps that’s why, 15 years after enduring our industry’s worst production year ever (i.e. 2009 = 48,789 new MHs), we continue to find it difficult to consistently reach and exceed the aforementioned industry standard of 100,000 new HUD-Code manufactured homes produced per year.

End Notes.

1. $80,000 (-) $500 DP + $4,000 add back = $83,500 (or 83.5) X 8.78 loan factor = $733.13/month

• $83,500 (or 83.5) X 8.05 loan factor = $672.18/month

• $83,500 (or 83.5) X 9.52 loan factor = $794.92/month

Know what? If, as an industry, we’re not careful to produce a quality home at an affordable-attainable price, ‘others out there’ might well drive our national market share lower. Here’re two examples:

Amazon.com now markets an entire line of attractive foldable homes on line, beginning at $19,000.00 apiece. Check it out.

And Volferda Capsule Houses are emerging in several markets. Not my desire or interest, but surely designs and features attractive to others, particularly young homebuyers.

If you’d like to share your thoughts on this panoply of housing matters, reach me via gfa7156@aol.com

George Allen

Blog Posting # 812; Copyright 27 September 2024. EducateMHC

Know this! HUD-Code manufactured housing (‘MH’) is federally-regulated, performance-based, affordable-attainable, factory-built housing (a.k.a. another type of offsite construction). And land lease communities (a.k.a. manufactured home communities & ‘mobile home parks’), comprise the commercial real estate (CRS’) component of MH! EducateMHC is the online advocate, official historian, trade term & trend tracker, as well as information resource for both business models, and to a lesser extent the recreational vehicle (‘RV’) industry. Access EducateMHC via (317) 881-3815; email: gfa7156@aol.com, and via www.educatemhc.com, to purchase Community Management in the Manufactured Housing Industry and SWAN SONG – a history of land lease communities & official record of annual MH production totals since 1955. And my autobiography, From SmittyAlpha6 to MHMaven, describes personal combat adventures in Vietnam as a USMC lieutenant, a 45 year entrepreneur business career in MH & community ownership, as well as freelance consultant and author of many nonfiction texts.

George Allen is the sole emeritus member of the Manufactured Housing Institute (‘MHI’), a founding board member of MHI’s National Communities Council (‘NCC’) division, an RV/MH Hall of Fame enshrinee, and MHInsider magazine’s ‘Allen Legacy’ columnist and editor at large. He’s a Vietnam combat veteran and retired lieutenant colonel of U.S. Marines, and author/editor of 30 books & chapbooks on MH, communities, business management, prayer & figures of speech.

No Formal Blog Posting This Week

Spencer Roane and I were in Elkhart, IN., most of this past week attending the annual RV industry Supplier’s Show at the RV/MH Hall of Fame. This was a first time experience for both of us, with me looking for ‘story ideas’ and Spencer, for tips and features to improve the recently concluded SECO Conference in Atlanta, GA. We found both.

But let me tell you, it was one Big Surprise as we turned off Indiana Route # 17 onto Executive Parkway. Across Route # 17 from the industrial park were several new RVs on display. As we drove the half mile long entrance drive to the RV/MH Hall of Fame, we saw dozens and dozens (hundreds?) of all types of recreational vehicles produced by a host of different manufacturers. And once on the RV/MH Hall of Fame campus – which displayed only homes from THOR Industries family of companies, ALL recreational vehicle types were present: travel trailers, fifth wheels, toy haulers, destination trailers, camping trailers, truck campers, park models, Class A, B & C motorhomes.

There were actually two shows going on at the same time. The Supplier Show already mentioned, and the Dealer Show for THOR Industries independent (street) RV retailers. Well, we registered and started walking and walking and walking. The Supplier Show was 100% indoors, filling both the huge brand new exposition center and half of Ingram Hall. The THOR Show was mostly outdoors, with the RV/MH Hall of Fame’s large outdoor covered pavilion serving as central meal area and protection from the intermittent rain showers.

On the drive back to Indianapolis we agreed the shows had been very worthwhile to visit. I have much to write about during the months ahead (e.g. Park Model RVs as affordable housing), and Spencer was excited about several ideas he’ll be transferring from this experience to the next SECO Conference during fall 2025.

So, what else is new? Not much worth mentioning here. Perhaps when I get through the accumulated mail and social media posts something else will surface.

George Allen

Blog Posting # 811; Copyright 20 September 2024. EducateMHC

Know this! HUD-Code manufactured housing (‘MH’) is federally-regulated, performance-based, affordable-attainable, factory-built housing (a.k.a. another type of offsite construction). And land lease communities (a.k.a. manufactured home communities & ‘mobile home parks’) comprise the commercial real estate (‘CRS’) component of MH! EducateMHC is the online advocate, official historian, trade term & trend tracker, as well as information resource for both business models, and to a lesser extent the recreational vehicle (‘RV’) industry. Access EducateMHC via (317) 881-3815; email: gfa7156@aol.com, and via www.educatemhc.com, to purchase Community Management in the Manufactured Housing Industry and SWAN SONG – a history of land lease communities & official record of annual MH production total since 1955. And my autobiography, From SmittyAlpha6 to MHMaven, describes personal combat adventures in Vietnam as a USMC lieutenant, a 45 year entrepreneur business career in MH & community ownership, as well as freelance consultant and author of many nonfiction texts.

George Allen is the sole emeritus member of the Manufactured Housing Institute (‘MHI’), a founding board member of MHI’s National Communities Council (‘NCC’) division, an RV/MH Hall of Fame enshrinee, and MHInsider magazine’s ‘Allen Legacy’ columnist and editor at large. He’s a Vietnam combat veteran and retired lieutenant colonel of U.S. Marines, and author/editor of 30 books & chapbooks on MH, communities, business management, prayer & figures of speech.

MH2X update, Better DEI, Project 2025, & RV book

MH2X. As I pen this week’s blog posting, the annual SECO Conference, in Atlanta, GA., is underway. I believe this is the 12^th year for this seminal national gathering of owners/operators of small to mid-sized land lease communities (a.k.a. manufactured home communities & ‘mobile home parks’).

Not only is this year’s SECO Conference the most heavily attended to date, it is also the public platform where the MH2X initiative will gain major traction. As you likely know, the MH2X initiative encourages community owners/operator to buy many new HUD-Code manufactured homes for infill and upgrading of their properties – with the end goal being the doubling of MH production by year end 2025! During year 2023 the industry produced and shipped only 89,169 new HUD-Code homes. The 2025 goal? As just stated: 180,000 new HUD-Code manufactured homes!

How will this goal be accomplished? In addition to outright encouragement at the annual SECO Conferences, this year (2024) will see a new ShowSearch phone application introduced to the industry. Already, more than 150 manufactured housing plants across the U.S. have been entered into the ShowSearch database, and there’s room for more, via mountuswork@gmail.com How’s ShowSearch work? Community owners/operators interested in buying new manufactured homes for placement within their properties, and elsewhere, access the phone app to identify manufactured housing plants within 300 miles of their location. That way they likely have more choices from which to buy new HUD-Code homes!

A Better DEI. Some U.S, citizens, but not all, believe the quasi-political organizational framework known as DEI = Diversity, Equity, Inclusion, has gone too far in some arenas, e.g. higher education, various business models, and elsewhere. Well, a few pundits now suggest a new characterization of DEI, as being Discipline, Excellence, Intelligence! Robert Henry is the first public voice I heard voice this recommended change. How ‘bout you? A good idea or not?

As usual, I’d like to know your thought(s) on the matter. Gfa7156@aol.com

Project 2025. Yet another controversial topic. Project 2025 is a proposed ‘2025 Presidential Transition Project’ articulated by the conservative Heritage Foundation – but disavowed by presidential election candidate Donald Trump. In the most summary fashion it’s been described as a plan to cut federal spending and fire supposedly unfireable federal bureaucrats. In a more detailed fashion, some posit Project 2025 as a practical and timely means of 1) Securing our borders, 2) Dismantling the bloated administrative state, 3) Eliminating the Department of Education, & 4) Unleashing American energy. For more information, visit project2025.org 

Again, your thoughts on the matter? Gfa7156@aol.com

RV Book. ‘Visions in Leisure and Business’, an international journal of personal services, programming, and administration, researched and published in 2024 by the Journals at ScholarWorks@BGSU. The editor of this 200 pages work is David Groves (dgroves@bgsu.edu). In the front material he credits the RV/MH Hall of Fame, in Elkhart, IN., as a collaborator, with particular gratitude directed toward Mike Green and Kelsey McDaniel. Here’s a summary of the content of this scholarly work:

‘The Origins of the Vintage Trailer Movement, Vintage Camper Trailers’ by Dal Smilie

This work is dedicated to Al Hasselbeck, retired curator and historian at the RV/MH Hall of Fame for 20 years; his contribution here: ‘The Birth & Growth of RVing as a Lifestyle’

‘RVs as Affordable Housing’ by George Allen, RV/MH Hall of Fame enshrine & hostorian

‘Our RVing Experience, a Short History of RVing, and Its’ Future’, by Carol Colborn

‘Life Style: RV Consumer Issues’, by Mike Wendland

‘RVing: A Simpler Life Style’, by Daniel Maul

‘Developing an RV Destination for Tomorrow’s Guest’, by Ed O. Bridgman

‘How Growing-Up Camping Became a Family Business’, by Steve Ruth

‘Trailer Restoration’, by Tim Heintz

‘My Lifetime RV Adventure’, by Mark Nemeth

‘RVing Data: A Review’, by David L. Groves & Kathleen Munger

‘Annotations of RV Sources with Comments’ by Margaret Bobb

The 200 page book ends with information regarding subscription to Visions in Leisure and Business, via Bowling Green State University, 615 Pasteur Ave., Bowling Green, OH. 43402

I’ve placed a copy of this book in the George Allen Collection at the RV/MH Hall of Fame Library in Elkhart, IN.

George Allen

Blog Posting # 810; Copyright 13 September 2024. EducateMHC

Know this! HUD-Code manufactured housing (‘MH’) is federally-regulated, performance-based, affordable-attainable, factory-built housing (a.k.a. another type of offsite construction). And land lease communities (a.k.a. manufactured home communities & ‘mobile home parks’) comprise the commercial real estate (‘CRS’) component of MH! EducateMHC is the online advocate, official historian, trade term & trend tracker, as well as information resource for both business models, and to a lesser extent the recreational vehicle (‘RV’) industry. Access EducateMHC via (317) 881-3815; email gfa7156@aol.com and via www.educatemhc.com, to purchase Community Management in the Manufactured Housing Industry and SWAN SONG – a history of land lease communities & official record of annual MH production totals since 1955. And my autobiography, From SmittyAlpha6 to MHMaven, describes personal combat adventures in Vietnam as a USMC lieutenant, a 45 year entrepreneur business career in MH & community ownership, as well as freelance consultant & author of many nonfiction texts.

George Allen is the sole emeritus member of the Manufactured Housing Institute (‘MHI’), a founding board member of MHI’s National Communities Council (‘NCC’) division, an RV/MH Hall of Fame enshrinee, and MHInsider magazine’s ‘Allen Legacy’ columnist and editor at large. He’s a Vietnam combat veteran and retired lieutenant colonel of U.S. Marines, and author/editor of 30 books & chapbooks on MH, communities, business management, prayer & figures of speech.

The ‘Whole U.S. Housing Story: July 2024’

With each passing month I gain confidence I’m ‘onto something significant’ where U.S. housing starts statistical reporting is concerned. As most readers of this weekly blog know, I’ve been tracking monthly and annual HUD-Code manufactured housing production for many years.*1 And during the last decade or so, I’ve reported on Wall Street stock market performance of five HUD-Code manufacturers and five publicly-owned portfolio owners/operators of land lease communities.*2 Well, starting this year (2024) I broadened this statistical reporting horizon to research and collectively  report all forms of new single family residential housing starts nationwide. This has not been easy or without error. To the best of my knowledge this inclusive perspective has never before been explored. So, here’s where I am with the project to date.

First, what types of single family residential housing comprise the ‘Whole U.S. Housing Story’? Well, largest category is what the US Census Bureau refers to as privately-owned, single family site-built housing. Parenthetically, this includes HUD-Code manufactured homes sited on permanent foundations and owned fee simple. In July that housing start category total numbered 1,238,000 units (seasonally annualized), and when divided by 12 months = 103,166/month of July.*3 But that’s not all. There’s now what is known as offsite construction.

Offsite Construction, a fairly new inclusive housing trade term, is comprised of 1) modular & panelized (a.k.a. ‘prefab’) housing, 2) HUD-Code manufactured housing or MH, & 3) Park Model recreational vehicles (i.e. Today oft cited as housing, especially in Sunbelt regions of the U.S.).

In the first instance, as there are no formal data ‘trackers’, it is suggested one calculate 2% of the 1,238,000 for estimated annual volume of modular & panelized housing units or 24,760 units; then divide by 12 months to calculate 2,063+/- such units during July 2024.  

Institute for Building Technology & Safety (‘IBTS’) supplies HUD-Code manufactured housing totals, e.g. for July = 7,896 units, of singlesection and multisection configurations.

And, RVIA News announces Park Model production totals monthly, e.g. 337 for July 2024.  Now, those three totals together (10,296) comprise the estimated total volume of offsite construction; again, being modular & panelized; HUD-Code MH; and, Park Model RVs.

When the 10,296 units of offsite construction are added to the monthly residual of 1,238,000 housing starts (i.e. 1,238,000 divided by 12 months & minus 2,063 mods & panelized = 101,104 units); suggesting a grand total of 111,400 ‘whole U.S. housing starts’ during July 2024.

Bottom line? 111,400 ‘whole U.S. housing starts’ during July 2024, annualized (but not seasonally adjusted), suggests an total of 1,336,800 units by year end 2024; 97,800 more than the 1,238,000 seasonally-adjusted housing starts suggested by the U.S. Census bureau in July, but  664,200 units fewer than the estimated 2,000,000 housing starts needed annually to meet U.S. housing needs!

That is indeed the ‘bottom line’ reason for calculating monthly, then annual, ‘whole U.S. housing starts – to gauge how well – or poorly, the whole housing market is performing in behalf of the U.S. citizenry. Today it is not performing well at all! Why? It all has to do with housing finance; the availability and cost of traditional housing mortgages as well as chattel capital (a.k.a. personal property loans or ‘home only loans’) for MHs sited in land lease communities nationwide!

So, where do we go from here? Again, assuming I continue to research and publish this ‘Whole U.S. Housing Starts’ data each month, working out kinks along the way, this report gives us a better, more accurate view of housing start volume in the U.S. month to month and annually.

Your observations, comments, and recommendations are welcome here: Gfa7156@aol.com

GFA

End Notes.

1. For annual MH production totals dating back to 1955, read SWAN SONG, a history of land lease communities, to see the roller coaster this industry has been on for 50 years. This text available for purchase directly from www.educatemhc.com

• Land lease communities, a.k.a. manufactured home communities, and before that, ‘mobile home parks’.

• Census.gov/construction/nrc.pdf/newresconst/pdf (Reminder: Use monthly data)

Blog Posting # 809; Copyright 6 September 2024. EducateMHC

Know this! HUD-Code manufactured housing (‘MH’) is federally-regulated, performance-based, affordable-attainable, factory-built housing (a.k.a. another type of offsite construction). And land lease communities (a.k.a. manufactured home communities & ‘mobile home parks’) comprise the commercial real estate (‘CRE’) component of MH! EducateMHC is the online advocate, official historian, trade term & trend tracker, as well as information resource for both business models, and to a lesser extent the recreational vehicle (‘RV’) industry. Access EducateMHC via (317) 881-3815; email: gfa7156@aol.com, and via www.educatemhc.com to purchase Community Management in the Manufactured Housing Industry and SWAN SONG – a history of land lease communities & official record of annual MH production totals since 1955. And my autobiography, From SmittyAlpha6 to MHMaven, describes personal combat adventures in Vietnam as a USMC lieutenant, a 45 year entrepreneur business career in MH & community ownership, as well as freelance consultant & author of many nonfiction texts.

George Allen is the sole emeritus member of the Manufactured Housing Institute (‘MHI’), a founding board member of MHI’s National Communities Council (‘NCC’) division, an RV/MH Hall of Fame enshrinee, and MHInsider magazine’s ‘Allen Legacy’ columnist and editor at large. He’s a Vietnam combat veteran and retired lieutenant colonel of U.S. Marines, and author/editor of 30 books & chapbooks on MH, communities, business management, prayer & figures of speech.

It’s Been Awhile…

On occasion I like to share a potpourri (‘mixture of eclectic factoids’) of observations, definitions, and information accumulated over a period of time, I hope will be of interest to readers. Here goes:

Let’s begin by picking up where we left off in last week’s blog posting (#808), relative to best features to include when spec’ing a new HUD-Code manufactured home. One of our loyal blog readers sent me his list of additional recommended features:

Heat Pumps – 15 SEER or better

House fans throughout the house

Dehumidifier hook up

Hybrid heat pump water heaters

Crown molding throughout

Wired and braced for ceiling fans in all rooms

Wired and braced for outside motion security lights

Supply cutoff valves on all sinks and toilets

OSB wrapped

And, of course, this list could go on, but you get the idea. When asked why he recommends these features, this land lease community owner/operator says: “The more energy upgrades we add to the home, the lower the power bill for our homeowner/site lessee. And since we plan on seeing these residents daily for the next 20-30 years, we want them to have a quality built home in which to live!”

Did you know the trendy word WOKE can be thought of as an acronym? I didn’t either. Knew it started out as ‘alertness to racial prejudice and discrimination’; then broadened to include identity politics of the American Left. Well some pundits of late, disillusioned with controversial societal interlopers like DEI and CRT, opine that WOKE has shifted camps, and now as an acronym, ‘Willfully Overlooks Known Evil’ of contemporary liberal politics and social mores.*1

There’s a new type ADU (accessory dwelling unit) seeking traction in the affordable-attainable housing discussion. It’s called a BUNKIE. What’s a Bunkie? It’s a small cabin (oft sold as kits) ranging in size from 99 – 220 square feet, and in price from $6,000-20,000. In Canada it’s referred to as a livable shed. So we now have Bunkies, Park Model RVs, Tiny Houses, converted steel shipping containers, and other variants as ADUs. It’s one reason I hope to journey to Grand Rapids, MI., on 25 September, to take in the annual ShedBuilder EXPO at the DeVos Place. While it hasn’t happened yet (that I know of), I fully expect some shed builders to raise their product to the next level of sophistication and start turning out something akin to ‘shed homes’ (Need a much better marketing term; maybe Sophished?), as their answer to the shortage of affordable-attainable housing in the U.S. today.

Skeptical Inquirer magazine, in a recent promotional piece, suggests using the acronym SLACK to combat pervasive, persuasive conspiracy theories in one’s news resources:

S. ‘Does the news attempt to scare or shock?’ Then ‘watch out’!

L. ‘Does the news rely on complicated logistics?’ Be wary!

A. ‘Does the news revolve around A-list celebrities?’ Check it!

P. ‘Does the news demonstrate prejudice? Run!

OK, so now for some interesting ‘Aging by the Numbers’, citing U.S. Census Bureau statistics:

“More than 10,000 people turn 65 every day in the U.S.”

“By 2060, the U.S. is projected to have 88.8 million citizens over the age of 65.”

“As of 2020, females comprised a slightly higher share of the U.S. population than males.” 168.8 million Or 50.9% vs. 162.7 million or 49.1%

“According to the 2020 census, 1 in 6 people were 65 or older.”

“Baby boomers are those defined as being born between 1946 & 1964. The first baby boomers turned 65 in the year 2022.”

“The United States population, as of August 2024, is 336,851,169.”

“The world population is 8,063,791,098.”

And finally, a couple book reviews:

J.D. Vance’s ‘memoir of a family and culture in crisis’, Hillbilly Elegy, was first published in 2016, well before he was named as former President Donald Trump’s VP running mate in this year’s presidential election.  IMHO, this is an autobiography (i.e. a collection of life memoirs) that deserves to be read by every American! Why? Because it introduces the ‘whole man’ who might well be our next vice president. Many folk with a humble and troubled childhood like his would not deign to share it with the U.S. public at large – but JD does. And it is so encouraging to read how he worked and fought to put much of his past behind him, by joining the U.S. Marines and serving overseas, then graduating from college and Yale Law School. It’s a fairly easy ‘read’ and certainly engaging from beginning to end. Let me know what you think of the book? Gfa7156@aol.com

Just finished Kristin Hannah’s epic tale of women (mainly nurses) who served in the Republic of Vietnam (i.e. Vietnam War) during the 1960s & 1970s. The book, titled The Women, is hard to put down at times, especially during action sequences. I lost interest only when the main character engaged in opposing that conflict (via Vietnam Veterans Against the Vietnam War & protest marches). But as she battles back from her personal emotional battles, the reader is again immersed in a gripping narrative. I particularly appreciated the descriptions of causes, manifestations and consequences of PTSD (Post Traumatic Stress Disorder). In my case, after returning from Vietnam, I battled an inability to cry or show emotion for ten years, and being mirthful whenever in the presence of death among family members and friends. All that’s behind me now. But reading the book certainly stirred long suppressed emotions, but in a healthy fashion. So, if you have friends or family who were involved in the Vietnam era, and even if you don’t, The Women makes for an engaging and worthwhile ‘read’!

***

End Notes.

1. DEI = Diversity, Equity, Inclusion, & CRT = Critical Race Theory.

George Allen

Know this! HUD-Code manufactured housing (‘MH’) is federally-regulated, performance-based, affordable-attainable factory-built housing (a.k.a. another type of offsite construction). And land lease communities (a.k.a. manufactured home communities & ‘mobile home parks’) comprise the commercial real estate (‘CRE’) component of MH! EducateMHC is the online advocate, official historian, trade term & trend tracker, as well as information resource for both business models, and to a lesser extent the recreational vehicle (‘RV’) industry. Access EducateMHC via (317) 881-3815; email: gfa7156@aol.com, and via www.educatemhc.com to purchase Community Management in the Manufactured Housing Industry and SWAN SONG – a history of land lease communities & official record of annual MH production totals since 1955. And my autobiography, From SmittyAlpha6 to MHMaven, describes personal combat adventures in Vietnam as a USMC lieutenant, a 45 year entrepreneur business career in MH & community ownership, as well as freelance consultant & author of many nonfiction texts.

George Allen is the sole emeritus member of the Manufactured Housing Institute (‘MHI’), a founding board member of MHI’s National Communities Council (‘NCC’) division, an RV/MH Hall of Fame enshrinee, and MHInsider magazine’s ‘Allen Legacy’ columnist and editor at large. He’s a Vietnam combat veteran and retired lieutenant colonel of U.S. Marines, and author/editor of 30 books & chapbooks on MH, communities, business management, prayer & figures of speech.

HUD-Code Housing Features

One land lease community portfolio owner/operator, who regularly markets and sells new HUD-Code manufactured homes onsite, offers potential homebuyer/site lessees no fewer than three dozen features to consider, in addition to those which are standard fare with most manufacturers. Here they are broken down into two lists; the first are ‘Preferred features, but not necessary’, and the second one ‘Strongly preferred features’. Perhaps this is something you should consider offering your customers.

Preferred features, but not necessary

• Upgrade rear door and light panels
• Ensure insulation (approx. R30, R11 & R22) within ceilings, walls and floors
• Improve with thermos-pane and tilt-in windows
• Upgrade roof venting; especially in overhangs, and certainly ridge vents
• Add dormer over front entrance
• Use Fiberglass and porcelain showers, tubs and sinks
• Prefer flat ceilings throughout
• Consider an electrical connection near end of house, away from hitch
• Prefer sheetrock in living room and kitchen
• Use attractive durable kitchen cabinets, longer & taller when possible
• Ensure Internet & USB ports in kitchen, living room or foyer
• Have a garbage disposal unit
• Install cabinets & shelves in laundry room
• Have separate shower & tub in master bedroom

Strongly prefer features:

• Use transom windows in living room, bedrooms and hallway
• Upgrade the front door
• Upgrade exterior lights at both entrances
• Ensure shutters on all windows
• Include deadbolt & knob locks all keyed to same key
• Installed windows closer to corners and not in middle of the wall
• 2” blinds throughout the home
• Panel interior doors
• Have lights over mirrors in master bathroom
• Upgrade lighting package to include ceiling lights throughout home
• Use 40 or 50 gallon hot water heater
• Install a water shutoff valve for entire house
• Wall switches for closets – on the outside of closet
• Linoleum or panel flooring in all areas of house, but carpet in bedrooms
• Ensure kitchens are ‘eye candy’, e.g. island or breakfast bar preferred
• Include dishwasher, and refrigerator with ice maker
• Finish interiors of all cabinets; no raw USB or plywood surfaces visible
• Prefer canned or pendulum light fixtures in the kitchen
• For attractive view across living room & kitchen, install front door on opposite wall from kitchen sink
• To improve living room ‘eye candy’, consider wainscoting
• Put ceiling fans in living room, master bedroom, and on front porch ceiling
• Ensure large mirror and double vanities in master bedroom
• Put frames around bathroom mirrors
• Install a 200-amp electrical panel
• Use overhead A/C ducts and vents
• A/C ‘A’ coil installed in furnace (air handler)
• Put an electrical outlet on front porch

So, what do you think? Too many options, or frankly, what our manufactured housing customers deserve to have in their dream home? What different features do you offer that are not on either of these two lists? Let me know via gfa7156@aol.com

George Allen

Blog Posting # 807; Copyright 23 August 2024. EducateMHC

Know this! HUD-Code manufactured housing (‘MH’) is federally-regulated, performance-based, affordable-attainable factory-built housing (a.k.a. one type of offsite construction). And land lease communities (a.k.a. manufactured home communities & ‘mobile home parks’) comprise the commercial real estate (‘CRE’) component of MH! EducateMHC is the online advocate, official historian, trade term & trend tracker, as well as information resource for both business models, and to a lesser extent the recreational vehicle (‘RV’) industry. Access EducateMHC via (317) 881-3815; email: gfa7156@aol.com, and via www.educatemhc.com to purchase Community Management in the Manufactured Housing Industry, and SWAN SONG, – a history of land lease communities & official record of annual MH production totals since 1955. And my autobiography, From SmittyAlpha6 to MHMaven, describes personal combat adventures in Vietnam as a USMC lieutenant, a 45 year entrepreneur business career in MH & community ownership, as well as prolific nonfiction author and freelance consultant.

George Allen is the sole emeritus member of the Manufactured Housing Institute (‘MHI’), a founding board member of MHI’s National Communities Council (‘NCC’) division, an RV/MH Hall of Fame enshrinee, and MHInsider magazine’s ‘Allen Legacy’ columnist and editor at large. He’s a Vietnam combat veteran and retired lieutenant colonel of U.S. Marines, and author/editor of 30 books & chapbooks on MH, communities, business management, prayer & figures of speech.

Is This on the NCC Division Agenda?

Recent ‘Concord Monitor’ (newspaper) headline: ‘It’s Borderline Criminal’ – ‘Manufactured housing was an affordable homeownership option. Now, Investor-owned parks are pricing residents out’ This is such a sad story, one that casts our land lease community real estate asset class in the most negative light, for consumers and prospective homebuyers/site lessees alike!

Read the story yourself at https://www.concordmonitor.com/Belmont-manufactured-housing-park-rent-increases-56287780

What you just read has been frequently-shared email fare among, as one portfolio owner/operator describes them, ‘community owners who provide a strong value proposition for homeowners’,  and who are offended by ‘people who take advantage of the land and homeownership structure characteristic of this land use’. MHI was alerted to this travesty (on 11 August), in the hope of seeing this serious matter placed on the agenda of the National Communities Council at MHI’s upcoming annual meeting, with an eye to resolute corrective action!

Will this happen? On one hand, I sure hope so. However, given the council’s characteristic quietude on controversial matters to date, I doubt we’ll hear/read much of anything from that quarter. No, it appears someone else, somewhere along the history line of land lease community advocacy will have to step forward and take appropriate action. Might that be the rapidly growing influencer, the national SECO Conference for small to mid-sized community owners/operators? Next one is scheduled for 16-19 September in Atlanta, GA. Or, as I’ve heard  of late, via the industry’s scuttlebutt (‘rumors’), other parties are studying the pre-history (i.e. 1993-1996) of the NCC, as described in the late Bruce Savage’s book, ‘The First 20 Years’ – available for purchase via www.educatemhc.com Do not be complacent! As a realty asset class, thanks to greedy predatory landlords new to land lease communities, we are on the dangerous cusp of increased site rent regulation at multiple levels via landlord-tenant legislation. Your thoughts on this timely matter? Reach me best via gfa7156@aol.com

You Too Can Attend a Manufactured Housing Consensus Committee (‘MHCC’) Meeting!

That’s right, this MHCC Meeting will occur on 11-12 September, in Elkhart, IN., to discuss proposed updates to the HUD-Code. To make comments at this meeting, register on or before Wednesday, September 4, 2024, by contacting Home Innovation Research Labs: Attention, Kevin Kauffman at 400 Prince Georges Blvd., Upper Marlboro, MD. 20774, or email him via mhcc@homeinnovation.com, or phone (888) 602-4663. Written comments encouraged. There will also be an opportunity for public comment ono specific matters before the MHCC.

Have you attended a previous MHCC meeting? I have, during the Louisville MHShow ‘years ago’. And it was a worthwhile educational experience from start to finish. I may attend this one.

George Allen

Blog Posting # 806; Copyright 16 August 2024. EducateMHC

Know this! HUD-Code manufactured housing (‘MH’) is federally-regulated, performance-based, affordable-attainable factory-built housing (a.k.a. one type of offsite construction). And land lease communities (a.k.a. manufactured home communities & ‘mobile home parks’) comprise the commercial real estate (‘CRE’) component of MH! EducateMHC is the online advocate, official historian, trade term & trend tracker, as well as information resource for both business models, and to a lesser extent the recreational vehicle (‘RV’) industry. Access EducateMHC via (317) 881-3815; email gfa7156@aol.com, and via www.educatemhc.com to purchase Community Management in the Manufactured Housing Industry, and SWAN SONG – a history of land lease communities & official record of annual MH production totals since 1955. And my autobiography, From SmittyAlpha6 to MHMaven, describes personal combat adventures in Vietnam as a USMC lieutenant, a 45 year entrepreneur business career in MH & community ownership, as well as prolific nonfiction author and freelance consultant.

George Allen is the sole emeritus member of the Manufactured Housing Institute (‘MH’), a founding board member of MHI’s National Communities Council (‘NCC’) division, an RV/MH Hall of Fame enshrinee, and MHInsider magazine’s ‘Allen Legacy’ columnist and editor at large. He’s a Vietnam combat veteran and retired lieutenant colonel of U.S. Marines, and author/editor of 30 books & chapbooks on MH, communities, business management, prayer & figures of speech.

Seven Land Lease Community Historic Perspectives

Eight land lease community historic perspectives were initially identified and published during year 2020, as part of an introduction to the Manufactured Housing Manager (‘MHM’) professional property management certification program administered by EducateMHC. That number has been reduced to seven perspectives by combining two previously separate views.

What makes these seven unique historic perspectives worthy of revisiting here, is how each has changed, even during the short span of five or so years. Read, ponder and apply these pithy perspectives to your land lease communities and operation thereof.

Evolving terminology. From the ‘mobile home park’ of the 1970s to manufactured home community of 1980s & 90s, to land lease community since the turn of the century. Why the most recent evolution? Because today we count at least a half dozen different shelter types as increasingly commonplace throughout this income-producing property type: new and resale HUD-Code homes of various configurations, Park Model RVs, larger recreational vehicles used as homes, stick-built homes looking like MHs (only in FL after hurricanes), accessory dwelling units (‘ADUs’) like Tiny Homes, even modular homes. For that matter, terminology wise, think of how lots, pads, spaces and stalls as increasingly referred to as rental homesites; and, tenants thought more of as residents or homeowners/site lessees.

Improved rent collection, from ‘then to now’. During 1970s, monthly rent due date was often the anniversary date of one’s move onto the property and rental homesite, and said rent was collected in cash on-site. No more. Today, everyone has the same anniversary date, and site rent is paid via check, credit card, debit card, and other electronic means – rarely cash. This means no more money laundering, as was the case ‘back then’ in Chicago suburbs.*1

Published operating performance standards. Prior to the real estate investment trust (‘REIT’) wavelet of 1994, ‘seat of one’s pants’ performance measures were commonplace. Then Wall Street analysts insisted on documentation and standardization of emerging operating expense ratios (‘OERs’), resident and home turnover, and ‘cap rate’ (i.e. income capitalization) measures for community portfolios ‘going public’. This task was accomplished via national research conducted by the industry trade magazine, at the time, Manufactured Home Merchandiser. Results? An Industry Standard Chart of Operating Accounts based on Institute of Real Estate Management (‘IREM’) Experience Exchange annual surveys, and an industry Standard Operating Expense Ratio of 40+/-%, compared to conventional, garden-style apartments at 55%.Why the significant difference? Apartments’ higher turnover and costly ‘make ready’ and greater marketing expenses. *2

National advocacy. Prior to 1993, was effected at the Manufactured Housing Institute (‘MHI’) via a committee of volunteers. Then, during the next three years, the National Communities Council (now a division of MHI) emerged with much enthusiasm and fanfare; not so much today. Manufactured Housing Association for Regulatory Reform continues, since 1985, to be our industry’s Washington Watchdog, in regards to pending legislation and regulatory affairs.

Print & online resources. These range from nearly none during the 1970s to now books, trade publications, standardized forms, even professional property management (‘PM’) training and certification programs (Circa 1980 and on into the 21^st Century). Two case bound texts, on land lease community development and commercial investment were published by J. Wiley & Sons during the early 1990s and are today classics. Trade magazines and newsletters have ‘come & gone’ over the decades, with MHInsider prevailing today. Standardized PM forms continue to be available in Community Management in the Manufactured Housing Industry, available from www.educatemhc.com  Unfortunately, PM training and certification continue to take a backseat in this real estate asset class. Manufactured Housing Educational Institute (‘MHEI’) offers an online Accredited Community manager (‘ACM’) program, and IREM lists slightly more than 100 of its’ Certified Property Manger members as claiming affinity for land lease community management. But that’s all!

Consolidation of HUD-Code housing manufacturers into a few large firms; and heretofore standalone land lease communities into one of more than 500+/- property portfolio firms. Specifically, there were 25 HUD-Code housing manufacturers in 1977; today mainly the Big 3-C firms (i.e. Clayton Homes, Inc., Skyline Champion Corporation, & Cavco Industries), garnering 75+% of national market share. And while only 25 known community portfolio firms in 1987, this number has blossomed to 500+/- such firms today. Attrition, for various reasons, has depleted the ranks of independent (street) MHRetailers and independent chattel capital firms (i.e. home-only lenders) nationwide.

Industry-changing paradigm shift, between year 2000 and now. Some call it a New Era, where new HUD-Code home distribution is spread equally among independent (street) MHRetailers, ‘company stores’, and on-site selling and seller-financing of new homes within land lease communities. In the latter instance, where only 15-20% of new HUD-Code homes were shipped directly into communities at the turn of the Century, that percentage has increased to 40+ percent. How so? First there was the introduction of the Community Series Home (‘CSH’) for placement in communities, then community-focused sales training and seminars where need be, e.g. since 2016, IMHA/RVIC’s annual ‘two days of plant tours & home sales seminars in Elkhart, IN; also the annual SECO event in Atlanta (for 12 years), and now the growing MH2X movement (i.e. goal to increase annual MH production twofold by year end 2025).*3

And there are other perspectives along the way. One in particular has to do with the growing, in size and influence, RV/MH Heritage Foundation in Elkhart, IN. Founded in 1972, the RV/MH Hall of Fame museum, library, and exhibit halls – following a period of financial struggle – have blossomed during the past decade. Today, besides the library and spacious meeting facilities, the facility boasts two large, world class collections of historic manufactured homes and recreational vehicles, open to public view. And to date, nearly 500 industry pioneers and notables have been inducted into the RV/MH Hall of Fame as enshrinees!

End Notes.

1. Read DOUBLE DEAL, by  Michael Corbill, 2003. Mobster Joey Testa at Sterling Estates, IL.
2. Read SWAN SONG, History of Land Lease Communities. Available via educatemhc.com
3. For a FREE package containing the 5X7” plastic wallet card containing ‘Four Steps’ & ‘Six Right Ps of Marketing’ new homes within communities, and the ‘Ah Ha! & Uh Oh! Formulae Worksheet for calculating housing price points, based on AIM & AGI, request it via gfa7156@aol.com Be sure to include your preferred postal mailing address in the request.

George Allen

Blog Posting # 805; Copyright 9 August 2024. EducateMHC

Know this! HUD-Code manufactured housing (‘MH’) is federally-regulated, performance-based, affordable-attainable factory-built housing (a.k.a. offsite construction). And land lease communities (a.k.a. manufactured home communities & ‘mobile home parks’) comprise the commercial real estate (‘CRE’) component of MH! EducateMHC is the online advocate, official historian, trade term & trend tracker, as well as information resource for both business models, and to a lesser extent, the recreational vehicle (‘RV’) industry. Access EducateMHC via (317) 881-3815; email: gfa7156@aol.com, and via www.educatemhc.com to purchase Community Management in the Manufactured Housing Industry, and SWAN SONG – a history of land lease communities & official record of annual MH production totals since 1955. And my autobiography, From SmittyAlpha6 to MHMaven, describes personal combat adventures in Vietnam as a USMC lieutenant, a 45 year entrepreneur business career in MH & community ownership, as well as prolific nonfiction author and freelance consultant.

George Allen is the sole emeritus member of the Manufactured Housing Institute (‘MHI”), a founding board member of MHI’s National Communities Council (‘NCC’) division, an RV/MH Hall of Fame enshrine, and MHInsider magazine ‘Allen Legacy’ columnist and editor at large. He’s a Vietnam combat veteran and retired lieutenant colonel of U.S. Marines, and author/editor of 30 books & chapbooks on MH, communities, business management, prayer & figures of speech.

The ‘Whole U.S. Housing Story’ for June 2024!

It’s common knowledge the U.S. needs 2,000,000 new housing starts per year to adequately accommodate its’ citizenry. This month’s estimated total of U.S. housing starts of 123,851+/-

X 12 months = approximately 1,486,212 new homes during 2024, a shortfall of 513,788 units!

Components of the ‘Whole U.S. Housing Story’ include theses categories:

8,509 new HUD-Code manufactured homes produced during June 2024. Source: IBTS

+2,255 modular & panelized 9i.e. ‘prefab’) housing units estimated during June 2024

+337 new Park Model recreational vehicles (‘RVs’) produced during June 2024.

=11,101 subtotal of three above factory-built, offsite construction production totals

+112,750 US Census Bureau’ estimated # of single-family site-built housing starts during June

=123,851+/- estimated Grand Total of offsite & onsite US housing starts during June 2024

What you just read here is the first and only researched and published monthly estimate of the total, or ‘Whole US Housing Starts’ overview for the month of June 2024. If you’d like to know how each of the housing types was researched (e.g. using IBTS, RVIA, US Census Bureau, etc.), request a free copy of the ‘Whole U.S. Housing Story’ from gfa7156@aol.com

More About the 8,509 HUD-Code Homes!

The ‘MHShipment Volume & Stock Market Report’ has been researched and reported monthly since January 2015. Here are a few key stats from the June 2024 edition of the ‘MHShipment volume report & 6 August 2024 Stock Market report’.

June’s 8,509 units are fewer than the 9,408 new homes produced during May, but above the 8,169 homes produced a year ago during June 2023. So the MH production trend continues to fluctuate.

Furthermore; Year to Date (‘YTD’) production totals? As of June 2024, we’ve produced 51,165 new HUD-Code homes, compared to only 43, 388 a year ago during the same time period. Does that mean we’ll eclipse 102,330 units by the end of this year? Let’s hope so!

Economic Impact. Using Dr. Stephen C. Cooke’s decade-old estimated production value of new HUD-Code homes @ $43, 126/unit, suggests June’s new MHs = $366,000. And YTD, the 51,165 new MHs = $2.21 billion value! When will our national salaried and elected leaders see and understand the value of knowing and ballyhooing our entire industry’s (and realty asset class’) economic impact on our national economy? An interested party (e.g. legislators, etc.) await us!

Relative to the Stock Market report for 6 August 2024. Stock prices, among the ten public firms (i.e. ½ housing manufacturers & ½ = portfolio firms), were all up except for one land lease community owner/operator. And the Composite Stock Index (‘CSI’), including all but one of the ten public firms, increased from July 2024!

A TIMELY REMINDER!

Hope to see YOU at the RV/MH Hall of Fame induction banquet the evening of 19 August 2024, in Elkhart, IN. Then and there you will find the crème-de-la-crème, among pioneers and leaders of the manufactured housing & recreational vehicle industries, as well as land lease community owners/operators. I plan to attend. For info & to register visit the RVMHHall of Fame website or phone (574) 293-2344.

George Allen

Blog Posting # 804; Copyright 2 August 2024. EducateMHC

Know this! HUD-Code manufactured housing (‘MH’) is federally-regulated, performance-based, affordable-attainable factory-built housing (a.k.a. offsite construction). And land lease communities (a.k.a. manufactured home communities & ‘mobile home parks’) comprise the commercial real estate (‘CRE’) component of MH! EducateMHC is the online advocate, official historian, trade term and trend tracker, as well as information resource for both business models, and to a lesser extent, the recreational vehicle (‘RV’) industry. Access EducateMHC via (317) 881-3815; email: gfa7156@aol.com, and via www.educatemhc.com to purchase Community Management in the Manufactured Housing Industry, and SWAN SONG – a history of land lease communities & official record of annual MH production totals since 1955. And my autobiography, From SmittyAlpha6 to MHMaven, describes personal combat adventures inVietnam as a USMC lieutenant, a 45 year entrepreneur business career in MH & community ownership, as well as prolific nonfiction author and freelance consultant.

George Allen is the sole emeritus member of the Manufactured Housing Institute (‘MHI’), a founding board member of MHI’s National Communities Council (‘NCC’) division, an RV/MH Hall of Fame enshrinee, and MHInsider magazine ‘Allen Legacy’ columnist and editor at large. He’s a Vietnam combat veteran and retired lieutenant colonel of U.S. Marines, and author/editor of 30 books & chapbooks on MH, communities, business management, prayer & figures of speech.

MH2X Workshop a Success; Onto Next One!

The inaugural MH2X ‘Infill & Upgrade Workshop’ for land lease community owners/operators was an unqualified success! So much so, the hosts have already scheduled a second workshop to occur on Wednesday, 21 August 2024, with a community tour the following day. Both will, again, be in the Atlanta, GA. area. Maximum attendance has been upped to 50, and there’ll be added time during which HUD-Code housing manufacturers present will address attendees. How can you not want to attend this $175.00 event? For more information and to register, visit Alexandra@secoconference.com or phone (706)252-5745.

As you already know, earlier that same week, on 20 & 21 August, but at the RV/MH Hall of Fame in Elkhart, IN., the IMHA/RVIC (Indiana association) will host its’ seventh annual ‘two days of plant tours and sales seminars’ to pretty much the same ends as MH2X: ‘To double new manufactured housing production nationally, during years 2024 & 2025!’

Do you see what’s happening here? We’ve known, as an industry and realty asset class, since the turn of the century – when we lost easy access to chattel capital (a.k.a. personal property and home-only loans) and 10,000 independent (street) MHRetailers exited the business, that community owners/operators would have to fill their own vacant rental homesites and rental homes going forward! And they have been! First there were Community Series Homes, then manufacturers relying on Business Development specialists (i.e. salesmen), and most recently, specialized education teaching community owners/operators HOW TO ‘spec’ new homes, buy them direct from factories, install, market and sell them onsite to prospective homebuyers/site lessees! And that’s where we are today! Now need to have the MH2X concept gain traction in other regions of the U.S. If you’re in one of those regions sans training, and want to know how to go about doing so, contact me directly via gfa7156@aol.com

So, what are the Steps to Selling & Financing New Homes Onsite within Land Lease Communities? Here they are:

1. Getting Ready! Effect max curb appeal, fresh on & offsite signage, appropriate advertising, ensure capable staffing, policies & procedures in place, and have a good handle on one’s homebuyer/site lessee profile, and be sure needed licenses are in place.

• Buying Homes! What size & quality homes needed & wanted in the local housing market? Community Series Homes available? What support is available from nearby factories? Is Frost Free Foundation allowable in one’s local area?

• Selling Homes! (&) Lifestyle! Just selling or is leasing a desirable option? Property & product USP (i.e. Unique Selling Proposition)? Apply the Six Right Ps of Marketing! Go with traditional and or online ads? Ensure community is where folk really want to live!

• Financing Homes! What $ resources in and near the local housing market? – including cash, lease-option & contract sales. Redouble the importance of pre-qualification of would be homebuyers/site lessees, and ensure compliance all along the way!

But all that’s not the whole story! Next, get a good personal and corporate handle on the aforementioned Six Right Ps of Marketing’ New Homes Within Land Lease Communities! Here they are:

Right Product = model, home size & configuration, appearance, floor plan, features & amenities e.g. Community Series Home with durability enhancing features & a WOW factor!

Right Place = or location within the community, and how oriented to the sun & wind, and ensure good drainage, among other factors.

Right Price = per type deal (Is site & housing rent in sync with other forms of affordable housing in the same local housing market?), Use Customer’s Annual Gross Income or AGI; local housing

market’s Annual Median Income or AMI; and, keep in mind the 30% Housing Expense Factor!

Right Promotion = per USPs (i.e. Unique Selling Propositions – of house & property), e g. Energy Star & front porch loaded; using print & online advertising; new signage on and offsite; resident referrals.

Right People = based on anticipated sales volume & # of vacant homes & rental homesites to fill; then capable, experienced, motivated, as well as trained & supervised sales professionals.

Right Process = includes corporate planning & procedures to ID & meet shelter needs/wants of target audience & mix in specific local housing market.

Yes, these are the basic formulae needed to fill vacant rental homsites in land lease communities, as well as rental units (i.e. homes owned by the property per se) therein. If you’d like a FREE plastic 3”X5” wallet card containing the two lists shown above, simply request it via gfa7156@aol.com  And if professional property management of your land lease community (ies) is important to you, be sure to visit www.educatemhc.com and purchase a copy of Community Management in the Manufactured Housing Industry. This is the 8^th edition of the classic HOW TO community management text first published in 1988 and updated every few years since then. The text is 8X11 page size and spiral bound, enabling easy copying of dozens of community-tailored property management forms. Best such text available anywhere!

Know what? Here’s a thought for you. Wouldn’t it signal to the rental housing industry, that ‘manufactured housing has truly arrived’, IF the MH2X Workshop was the training centerpiece at the next Manufactured Housing Congress in Las Vegas? And that the ‘four steps’ and ‘Six Right Ps’ cited above, were taught to land lease community owners/operators from throughout the entire US of A? Think about it, get on board, and suggest this to the salaried leaders of our industry and realty asset class!

George Allen