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Green Valley Initiative

The California Manufactured Housing Institute (CMHI) is a private non-profit trade and professional association whose member companies build, sell, install and finance factory constructed housing and develop manufactured housing communities.

The Institute was founded to advance the availability and ownership of quality, high value homes, marketed by licensed retailers, by promoting the purchase of factory constructed housing and the development of desirable sites and communities in California. The Institute's public, government and consumer relations programs are directed toward these goals.

Outlook 2007
The following prognostications come with all the normal caveats. Obviously, trends can take some unexpected changes in the economy and/or consumer preference. Here's what we see, barring significant changes in the economy and financing, for 2007:

  • Production/Shipments
    New Manufactured home shipments, including shipments into California from neighboring states, should be approximately 6,004 homes. About 4,803, 80 percent, of those homes will be produced in California’s factories. Additionally, deliveries of factory-built homes could add approximately 400 units to the total shipments of factory constructed homes.
  • Manufactured Homes as Real Estate
    In 2006, 32 percent of the new manufactured homes sold in California were sited in subdivisions, planned unit developments and on scattered urban and rural lots where the land and home are owned and financed as real estate. The real estate trend for manufactured housing will continue and could represent 33 to 35 percent of new sales in 2007.
  • Urban In-fill and Redevelopment
    With the introduction of two-story homes and architecturally compatible exterior treatments, coupled with on-site enhancements such as attached garages, porches and decking, factory constructed housing has become a viable and cost effective choice for local governments, redevelopment agencies and developers for urban in-fill and redevelopment projects. As the market niche is developed, bringing affordable housing to inner-city families, real estate sales of manufactured homes could reach 50 percent of total sales within five years.
  • Demographics
    The profile of those who have purchased factory constructed homes in the past decade demonstrates that significant changes are occurring in the characteristics of factory constructed homeowners. Recent purchasers are younger, more affluent, have larger families, have attained a higher level of education and are less likely to be retired than factory constructed homeowners as a whole. Most are siting their homes on private property as opposed to traditional land-lease communities. We expect the average household size for new manufactured homes to be more in tune with the states average of 2.7 for singlefamily homes as opposed to the 1.9 persons for the existing manufactured housing stock.
  • Federal Standards & Factory Inspection
    All manufactured homes built since June 15, 1976, must conform to the National Manufactured Home Construction and Safety Standards, a national, uniform building code commonly called the "HUD Code." This code is administered by the U.S. Department of Housing and Urban Development. The HUD Code regulates home design and construction, durability, fire resistance, energy efficiency, and the installation and performance of heating, plumbing, air conditioning, thermal and electrical systems.

    The HUD Code mandates that each factory adopt an approved quality control program. This includes a system for testing and inspecting each home constructed. This inspection system covers review of the blueprint of the home and the construction of the home as it moves through the factory. The U.S. Government enforces the HUD Code through a contract with the National Conference of States on Building Codes and Standards. Third-party engineering companies perform in-plant inspections. A final inspection of the home occurs when the state or local government issues a mandatory certificate of occupancy, which is an inspection of the installation of the home. The construction of all manufactured homes is backed by a one-year written warranty.

 
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