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 one of the largest privately held commercial real estate firms in the United States, combining a nationwide presence with deep local expertise. With more than 50 offices across the country, we provide a full suite of debt, equity, investment sales, loan servicing and fund management solutions for a comprehensive range of property types. Our unique structure allows us to connect clients with the best opportunities, yet be nimble enough to ensure access to every expert across our company. The firm manages a loan servicing portfolio of over $80 billion and has completed $91.3 billion in transactions over the past fours years. At Northmarq, collaboration fuels results, helping clients achieve success in every market, nationwide.