Don posted a very cool web site showing actual mobile homes shipped to each State last year. The site is:
This shows State by State shipments and it is very interesting. Texas, NC, SC, Florida (the usual suspects) seem to be shipping the most new homes.
2008 will probably end up lower than 2007.
Lots of talk right now about the changing markets…do me a favor and re-read DOW.
This book is as informative and current as the day it was written. For me it is so easy to fall into the negative spaces we read about each day in the newspaper, but i try to see opportunity in this declining market.
There will always be a market for affordable housing. Our job is to tweak the marketing of these homes in a changing market.
For rentals we have gone to first month rent free…last month rent and deposit to move in. We’ve gone to 4X4 wooden, painted signs on corner property (our property) locations. We have advertised 50% more and will show homes 7AM- 9 PM every day. We are at 81% occupancy. Our $750 per month are now $695 per month. $600 per month are now $575 per month. We hope to be 90% again by September 1 (school start).
For cash sales we are dying…price sells homes right now and we just won’t go below a respectable profit margin…we add 'em into rental portfolio. We are having no luck selling on Note with the huge surplus of spec homes being sold very cheaply.
We are finding improved lots for mobiles for 1999 prices and are considering buying 30-40 for when the market rebounds. My thoughts are a 10K Option for the bunch for a 2 year Option at 13K per lot…if market does not improve, let the Option expire or excercise if things are back to normal. These lots would sell for 30-34K in 2004.
This is a cycle… one very interesting thing Don brings up is the zero sum game of pulling homes from one Park to improve another nearby. This has been happening in PA, MI< and NY forever…
Annual Shipments to States: 2001 - 2008
(2008 YTD: Through March)
Dist. of Columbia0002794000
Dest. Pending *4,4303,8832,5511,9023,9722,0461,541372
- Destination Pending represents those units that have not been allocated to a specific state.
** Total figures may include shipments to Canada or Puerto Rico.
Source - Institute for Building Technology & Safety