Manufactured Housing
Meeting Today’s Housing Challenges
What is Manufactured Housing?
Homes built in a factory to the Federal
Manufactured Home Construction & Safety
Standards (the “HUD Code”).
The HUD Code is the only federally-regulated
building code.
Manufactured homes are built on a steel
frame and may be single- or multi-section.
They are substantially complete from the
factory.
The modules are transported to the site and
installed.
What is Manufactured Housing?
The federal standards regulate
manufactured housing design and
construction, strength and durability,
transportability, fire resistance, energy
efficiency and quality.
Manufactured homes can only be
single-family dwellings.
The Industry’s Business Model
Manufacturers, many of which are
large national companies, build homes
in factories.
The manufacturer sells homes to
manufactured home retailers that own
and operate professional home sales
centers.
Consumers visit retail sales centers
and purchase homes in inventory or
custom order homes to fit their specific
wants and needs.
The Industry’s Business Model
Homes in inventory at the retail
sales center and custom ordered
homes are often financed through
specialized national lenders.
When the home goes to closing,
the inventory lender and the
retailer are paid for the home
through the customer’s financing.
Industry Need for Inventory Financing
The current instability in the capital
markets has caused the interruption of
inventory financing from the large
national finance companies that
specialize in this line of business.
Industry Need for Inventory Financing
Many retailers in the industry
already work with local banks to
provide part or all of the financing
they need for inventory.
Additionally, those retailers that
have not worked with local banks
to provide financing for their
customers, are looking to them for
permanent home financing as well.
Quick Facts from 2008
18 Million people live in
manufactured homes.
Average household size is 2.8
persons.
74% of new manufactured homes
are sited on private property and
the remaining are sited in landlease communities.
Quick Facts from 2008
Age of Household Head
Less Than 30
30-39
40-49
50-59
60-69
70 and older
8%
20%
25%
25%
16%
8%
Quick Facts from 2008
Annual Household Income
Less Than $10,000
$10,000-$19,999
$20,000-$29,999
$30,000-$39,999
$40,000-$49,999
$50,000 and over
5%
14%
21%
18%
16%
27%
New Manufactured Homes –
Size & Cost:
Average square footage: 1600 sq. ft.
• Single-section 1100 sq. ft.
• Multi-section 1775 sq. ft.
Average sales price:
$65,100
(structure only)
• Single-section $37,200
• Multi-section $74,100
Today’s Manufactured Home
Has So Much to Offer!
Manufactured homes offer the
same interior and exterior design
options as site-built – often with
greater customization than
production site-built.
Common features of today’s
homes include…
Large living & family rooms with built-ins
Hardwood floors, drywall throughout, and features like fireplaces
Tray ceilings in bedrooms, living rooms and dining rooms
Spacious customizable kitchens and stainless steel appliances
…with hardwood cabinets and solid surface counter tops
Large multipurpose spaces
Large master bedrooms
….and spacious bedrooms for the entire family
Spacious master baths
On the exterior - porches, garages and steeper roofs
Today’s Manufactured Home
Today’s Manufactured Home
Today’s Manufactured Home
Today’s Manufactured Home
Is aesthetically compatible with
many existing neighborhoods.
Results in cost savings due to
factory efficiencies.
Shortens construction time
significantly.
Delivers the home that home
buyers want.
Manufactured Homes Offer:
Home costs of 10-35% less than sitebuilt homes.
Same features and amenities as site
built.
More flexible, affordable, customization
than comparable site-built homes.
Same building materials and quality
engineered design.
Home warranties equal to or better than
site-built homes.
Can We Work Together to:
Meet the demands of affordable
housing needed today.
Ensure the continued operation of the
retail sales center business model
through inventory financing.
Provide home financing needed by
manufactured home buyers.
Explore opportunities for other
relationships with retailers and/or home
buyers, such as real estate finance,
credit cards and other types of personal
and business financial services.