Are the homes moved after the initial sale?
- No. As the quality of the home has improved and the setup qualifications have become more rigid, very few homes are ever moved again.
- Is the manufactured home buyer purchasing a first
- No. In the 1970s, 50% of the homes sold
were to first-time home buyers. Now with the improved construction of the homes and more of the
homes being set on private sites, the industry’s average age of the customer is near 54. The
size of the homes has also helped to expand the market. Now the industry produces single wides,
double wides, triple wides and two-story homes.
Most of the homes are built with 2 x 6 wall studs, 16” on center. Most homes also come with shingled roofs and vinyl siding. All are produced under the HUD building specifications.
- No. In the 1970s, 50% of the homes sold were to first-time home buyers. Now with the improved construction of the homes and more of the homes being set on private sites, the industry’s average age of the customer is near 54. The size of the homes has also helped to expand the market. Now the industry produces single wides, double wides, triple wides and two-story homes.
- What is the average life of a manufactured home?
- Because of the construction requirements of manufactured homes, many options both inside and out are equal to a conventional type of home. If maintained, like any home they will last a lifetime. Manufactured homes are still an affordable alternative to the American Dream.
- Alliance Credit has several lenders. How do you determine what deal comes to our bank?
- The first important issue we determine is your bank's geographic desire. The second issue is the amount of volume the investor is looking for. Once we have determined this, Alliance Credit will focus on the investor's selected geographic lending region. Customers financing their manufactured homes may also choose to use other services that the investor offers. Alliance Credit has been very successful in helping the investor with cross-selling other products and services. Our objective at Alliance Credit is to sell the investor solid quality loans from our priority dealers. We will only be sending loan applications that meet the investor's underwriting standards.
- Who tracks the physical damage insurance on the customer?
- At the time of closing, Alliance Credit will supply the investor with a one-year paid insurance policy. If the investor would receive any cancellation notice, they would fax it to our office, and then we will make contact with the customer and the insurance agency and ensure that a policy is in place.
- Typically, what is the usual selling season of manufactured homes?
- In the states where Alliance Credit is licensed, the season picks up in March and slows in December.
- Who establishes the interest rates and how?
- From time to time, Alliance Credit analyzes our competition and the market. We also track common rates such as the prime rate. When there is a change we will send out a letter to our investors notifying them of any increase or decrease in rates. We do remain committed to our attempt to originate manufactured home paper that will be competitive as well as a solid rate of return.
- What is the percentage of single wides to double wides?
- Last year, single-wide homes made up 25% of manufactured homes sold. Seventy-five percent of homes sold were multi-section.
- What type of contract do we use?
- Alliance Credit uses Wolters-Kluwer contracts.