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Things to think about with manufactured housing

Adam R.'s picture

Posted July 17, 2007

· One in six North Carolina households lives in manufactured housing.

· More than 5 million children live in manufactured housing in the United States.

To people who say that manufactured housing depreciates in value, a more accurate statement would be that most appreciation is actually a product of an increase in land value. Over time, most physical structures appreciate very little and require substantial reinvestment. The key to transforming the asset building experience of manufactured homeowners is to give them a means to enhance their control over the land where their homes are sited – either through nonprofit ownership of parks, resident-owned cooperatives, rent control, condominiums, or land-home packages.

· The current treatment of manufactured housing comes very close to the definition of redlining. Almost no community development financing exists for park acquisition and rehabilitation. More than half of all loans on manufactured housing are “high cost.” Almost no unit financing exists to buy a use home.  Think about how that affects long-term value of the home you own.  The secondary market for loans is small and only a few buyers compete for the loans. It is not uncommon for municipalities to zone manufactured housing outside of areas with full sewer and water service.

· Park closings are currently dropping the number of available spaces for manufactured homes. Closings are occurring in all parts of the country. Whenever a park closes, scores of low-income people are left without housing. Even worse, many must abandon their home because they either cannot afford to move it or cannot find another park willing to accept their home.