Manufactured Housing Q3 Report: Sales of Manufactured Housing Communities Bounce Back
Highlights:
- The manufactured housing sector recorded healthy performance during the third quarter with occupancies ticking higher and rents continuing their upward trajectory. With housing continuing to become increasingly expensive, demand for manufactured housing is expected to remain consistently strong.
- The national occupancy rate rose 10 basis points in the third quarter, reaching 93.3 percent. The rate is 50 basis points higher than the rate one year ago.
- Rents have been on a steady upward climb during the past several quarters. Rents ended the third quarter at $563 per month, up 3.7 percent year over year.
- Investment activity regained momentum during the third quarter with properties selling across the country. The median price in sales to this point in 2020 is $36,400 per space with cap rates averaging 7.8 percent. In sales that occurred during the third quarter, cap rates compressed to 7.3 percent.