Mobile homes have become a cause of revolution in the housing market in Florida and around the country. Homebuyers are transitioning from purchasing traditional houses to buying manufactured houses. Their dream of homeownership is being given wings in the factories.
But will things stay the same way in the post-pandemic world?
Will manufactured homes still be the most affordable way to chase and achieve the American dream of home ownership?
As the real estate industry was reaching the zeniths of success, the COVID-19 pandemic hit the planet. From production to delivery, there was a change in every aspect of the industry. The production rate was sluggish as companies found it difficult to find employees. Everybody stayed indoors, and the factories shut down.
Because of production delays, the shipment was delayed as well. While the pre-pandemic delivery date was 6 to 8 weeks, it extended to 6 to 8 months due to the pandemic!
We hope everyone out there is staying safe!
Recently, we here at The Mobile Home Dealer, have been asked if the current Covid-19 Delta Variant has affected mobile home sales throughout the Sarasota area.
What we can on the front end of this question is, yes it has.
As we can all agree, business is not ever going to be run the same after Covid-19 has come about nearly 18 months ago.
This can be seen by the dramatic rise in takeout done at your favorite restaurant. Just last week, we were here at the office, went to our favorite lunch spot in Sarasota to, and had to wait, what seemed like forever to place our order. After getting to the front of the line we noticed that the problem wasn’t that the workers weren’t working hard, no, the delay was because of the massive amount of takeout orders other customers were making which backed up the rest of the line.
This is only one of several examples that we have all seen over the past several months as we all try to do our best to get back to normal after the worldwide pandemic of Covid-19.
Throughout the Sarasota area, we have changed our way of selling mobile homes as a direct result of the pandemic.
It is commonplace now that most of our homes are sold virtually to town Buyers instead of physically meeting them in person to see the home. To accommodate this, we have been utilizing virtual tours, Zoom Calls, and online videos so that all of the Buyers have a great idea of exactly what they are looking at when we discuss their new home purchase with them.
Mobile home sales throughout Sarasota have stayed constant throughout the time of Covid-19 as well.
What we have not seen, however, is a dramatic rise in mobile home prices which has happened to single-family homes, condos, and other real estate properties. Mobile homes on leased land within mobile home parks do not carry the same dramatic rises and falls as other real estate asset classes see so prices continue to stay just about the same across the board regardless of if the real estate market is hot, cold, or indifferent throughout the Sarasota Florida area.
Covid-19 has changed everyone’s lives and it would be a reasonable statement to say that nothing will ever be the same as it was before the pandemic began.
With every change comes opportunity and we feel that, although the mobile home buying process may have changed the same great service continues to be offered to each and every Buyer!
Low-income households make up a key demographic for mobile homes. Many low-income households have been affected by job losses or reduced working hours during the pandemic. Consumers who purchase mobile homes typically purchase the home and lease the land. Some lenders have made it increasingly difficult to secure home-only financing which could have an effect on demand for manufactured homes.
Operators of mobile home communities have seen lower sales during the pandemic however many anticipate that demand will return as lockdown restrictions are eased and more people return to work. The industry is also predicted to see increased demand from consumers looking to downsize as well as from those considering purchasing a vacation home as a potentially safer alternative to hotels and resorts.
What does the post-pandemic manufactured housing industry look like? Like all other industries, COVID-19 hit the manufactured housing industry as well. But surprisingly, the demand for manufactured homes never decreased. Though home buyers were aware that they would not get their dream home anytime soon, they were adamant about shifting to a factory-built house only.
What does this mean for the entire housing industry?
One thing is clear: people are embracing the mobile home lifestyle. And post-pandemic, new buyers in the market will still prefer to buy and own a mobile home.
This is because the prices of traditional homes have soared. There has been an increase of 14.1% in the prices of the site-built houses. The cost does shatter the middle-class’ dream of homeownership. But, thankfully, mobile homes have come to the rescue, and even people with meager incomes can dream of homeownership.
Besides, modern manufactured homes are equipped with all the facilities that people need. They are outfitted with both the necessary as well as luxurious features. Thus, people do not feel the need to buy a stick-built house when mobile homes are equally well-equipped and affordable.
This is Mark Kaiser with The Mobile Home Dealer and we help mobile home Buyers and Sellers get to a better place in life.