Don Vedeen featured in MHN: Despite a slow start, manufactured housing continues to grow
MINNEAPOLIS, MINN. (April 19, 2022)—According to Northmarq's recently released MH report featured in MHN, 2022 ended well for supply and demand in the manufactured housing sector. Regardless of delivery and investment activity slowing in Q422, the national manufactured housing market had a strong year, with a national occupancy rate recorded at a 40 bps increase at the end of Q422.
“Although there is still an incredible appetite for MHC acquisitions in the market, we are still seeing a delta between what sellers are willing to accept versus what buyers can offer," said Don Vedeen, vice president for national manufactured housing investment sales with Northmarq. "The return metrics have been severely affected by the increase in interest rates.”
We can expect total shipment volumes for 2023 to draw near the average levels between 2018 and 2020, according to Vedeen. “The drop will be more associated with a slowing pace of economic growth and new household formation in 2023," he said. "But the factors that support demand for manufactured housing—specifically the elevated costs of rental and for-sale housing—are expected to remain in place throughout the remainder of this year.”
Some topics featured in the report include:
- Employment trends
- Supply growth
- National and regional occupancies
- Rents by region
- Sale prices by state
Northmarq is a full-service capital markets resource for commercial real estate investors, offering seamless collaboration with top experts in debt, equity, investment sales, loan servicing, and fund management. The company combines industry-leading capabilities with a flexible structure, enabling its national team of experienced professionals to create innovative solutions for clients. Northmarq's solid foundation and entrepreneurial approach have built an annual transaction volume of more than $39 billion and a loan servicing portfolio of more than $76 billion. Through the 2022 acquisition of Stan Johnson Company and Four Pillars Capital Markets, Northmarq established itself as a provider of opportunities across all major asset classes. For more information, visit: www.northmarq.com.