Let’s take a fresh look at them. Better known in the south as mobile homes, the manufactured home industry has been down in the dumps as of late. Is it about to emerge? Are good investing times just ahead or will it stay stranded beside the road to nowhere?
Forget the old images. Today’s mobile homes can be right nice after all. There’s even a mobile home park in California with million dollar mobile homes. But that’s not why we’re interested.
Here’s a very brief history
1962- Around 123,000 units shipped
1998- 370,000 units shipped
2006- 123,000 units shipped
What does that tell us? Does m-a-t-h spell g-l-u-t?
Where we are now
Manufactured homes are expected to rebound. I don’t see how it can be happen otherwise. The industry has already hit bottom. Up is the only direction it’s got left to go in.
The primary reason is the market had to work itself through the over-population of repossessions. Now that interest rates are rising, more people will be forced to live in manufactured homes. They won’t be able to trade up.
The Absolute Most Important Sign to Look For
Here’s today’s tip. If a bill passes in 2007 freeing up Fannie Mae and [tag-ice]Freddie Mac[/tag-ice] loans for mobile homes the manufactured home market will take off like, well, a house afire. That’s because financing will be more readily available.
If you’re contemplating another good way to get into real estate this may be one of your answers. 2007 may be the [tag-tec manufactured homes ]year[/tag-tec] to get mobile.