Glen Mitchell's Real Estate Blog


Interesting article on legislation for $7500 rebate on purchase of new manufactured home...

 This would be great if it passes.  Owners of older manufactured homes could get a $7500 credit to buy a new more efficient one.   

Subject : S. 1320 "Energy Efficient Manufactured Housing Act of 2009"



 With growing concern from businesses and consumers regarding present energy consumption levels, there has been an increased demand for energy efficient products.  Manufactured home producers have taken a proactive role in responding to this demand by building new ENERGY STAR homes that are more energy efficient and environmentally friendly, while still keeping their homes affordable for the consumer.

Nationwide, more than two million families live in old, and often dilapidated, mobile homes.  These homes are among the nation's most energy inefficient.  Most are found in economically depressed, rural areas and commonly are home to families that are near or below the poverty level.  These households often fall through the cracks of federal government assistance programs yet they may be trapped in a cycle of very high energy bills with little or no resources to make efficiency improvements in their own homes.


S.1320 is intended to encourage owners of pre-1976 manufactured homes to replace those homes with new energy efficient manufactured homes that meet ENERGY STAR standards.  Replacement of old mobile homes with new ENERGY STAR units substantially reduces energy use and improves home affordability, easing of the financial burden on families struggling to meet monthly homeownership costs.  It will provide substantial and sustainable energy savings and reduction in greenhouse gases, and provide a powerful engine of job creation in the United States, and improve affordability and financial stability for families most in need.


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On March 26, 2009, Congressman Baron Hill (D-9th-IN) introduced H.R. 1749, the "Energy Efficient Manufactured Housing Act of 2009".  This bill was included within the House of Representatives omnibus energy package, H.R. 2454, the "American Clean Energy and Security Act of 2009" which passed the House on June 26th with a vote of 219-212.  A provision of this bill is intended to encourage owners of pre-1976 manufactured homes to replace those homes with new energy efficient manufactured homes that meet Energy Star standards. The legislation would offer $7500 rebates which may be provided to facilitate the purchase of a new Energy Star qualified home.  To cover the additional cost of removing and recycling the old home, we are advocating for an additional grant of up to $2,500 to be provided upon proof of decommissioning. To further close the gap between the cost of the new home and the homeowner's income limitations, we urge that the replacement of the substandard mobile home be included as an eligible use of ARRA weatherization funds.


On June 22, 2009, Senator Jon Tester (MT-D) introduced S. 1320, the "Energy Efficient Manufactured Housing Act of 2009", the companion legislation to H.R. 1749 introduced by Representative Baron Hill.  Stimulating the economy will be high on the priority list for legislators in 2010.  Senate leaders are currently crafting a multi-bill jobs agenda.  MHI is advocating the inclusion of S. 1320 within the "Jobs for Main Street" package.  A representative of a coalition which includes MHI has been invited to testify before the Senate Energy and Natural Resources Committee.   Ms. Stacey Epperson, President, Frontier Housing Inc. will provide testimony on behalf of a coalition of asset building, energy and industry organizations supporting efforts to replace pre-1976 mobile homes with ENERGY STAR manufactured homes.


MHI Position


MHI and its members support the "Energy Efficient Manufactured Housing Act of 2009" (S. 1320) for the following reasons:


  1. It would help replace pre-1976 HUD Code homes with more energy efficient new Energy Star qualified HUD Code homes.


  1. The program would provide the economic means for lower-income homeowners to purchase new energy efficient homes.  This would help rid the country side of older, almost uninhabitable homes, and allow low income families a better chance to upgrade their life style.


  1. Households participating in the program will save an average of $1,800 per year in energy costs, savings that could be better spent to offset the new home monthly costs and therefore building equity.


  1. Each new affordable, manufactured home constructed adds more than one new job. At a program annual budget of $500 million per year, over the next three years more than 51,000 jobs will be created in the US.


  1. The improvement in household efficiency will reduce by 9 tons the amount of carbon emissions per home per year.  Avoided carbon will reach 10.3 million tons within ten years.

About the Author: The above info was provided by Glen Mitchell, licensed Real Estate Broker in California (#01345619) and Hawaii(#18416). Glen can be reached via email at or by phone at 650-260-4536.



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Comment balloon 6 commentsGlen A. Mitchell • March 15 2010 10:51PM


Sorry, I just don't agree with our government handing out money like this. It costs somebody, this isn't free, we are already in debt enough as it is. Let the market take care of it like it will and should.

Thank you

Posted by Scott Baker, Realtor Homes for Sale Cincinnati/Dayton Ohio ( Coldwell Banker West Shell) over 10 years ago

Actually, you are paying for it now with the need to build more power plans that are supported with government funds and blowing away mountains to access coal. Upward of 60% of the electricity used in Kentucky for example is used by these un insulated homes that aren't really houses. Example electric bills went from $600/mo to about $50/mo with a replacement. It's like a lot of things, pay for it up front or pay more every year over the next 50 years. I think nuclear plants are given $20B each in susidies for their construction. The market doesn't take care of these things since the market actually makes more money when we do not step up and take care of our problems ahead of time. Actually, we should drop social security and medicare and let the market take of that. If you have private health insurance like myself, you see how that works.

Posted by Larry over 10 years ago

Glen:  Nice to see you back here.  Rebates and tax incentives like this is what is going to stimulate our economy. 

Posted by Sidney Kutchuk - Realty Works Temecula Kutchuk - Realty Works Temecula, Realty Works Temecula (Realty Works Temecula) over 10 years ago

Scott -- how the heck is the market going to fix this? Ever hear of a market failure? This is about as clear of an example as you can get. The free market dosen't fix everything. That's why we have police, libraries, public schools, public parks, pollution control, etc., etc., etc. When will you conservatives get that through your heard?

Posted by Vulpus about 10 years ago

LOL the liberals will fix everything  I am living better than I ever have thanks to Obama LOL just kidding Obama will go down as the worst president in history even worse than Jimmy Carter.

Posted by John Dunkley about 10 years ago

Hi Glenn,

I'm way late for this one but it just popped up on my radar so here goes anyway. But I deal in the pull out and replacement biz quite a bit. Here's some info I'm sure you already know but I thought I share anyway.

Today's "Manufactured" "Factory Built" Home is constructed exactly like any Site-Buit (Stick Built) Home. In most cases even better inasmuch as they are built in a indoor climatically controlled environment and inspected by a liecensed HUD inspector through every phase of construction. 

As a RE Broker, Manufactured Home Dealer, General Contractor and Manufactured Home Contractor in California, Arizona, Oregon and Florida for the past 25 years I can assure you that having built equally as many site built projects as I have Manufactured Home projects that I would select a manufactured home any day. 


As for financing? There are plenty of lenders out there willing to finance MH's if they meet the following requriements.

Please feel free to log onto our Trulia or Active Rain blog for more comprehensive information about the MH Industry. 

Or you can check our our website and give us a call or drop us an email. We are RE Brokers, Manufactured Home Dealers and licensed, bonded and insured General Contractors and have been actively engaged in the MH Industry statewide for almost 3 decades. 

We also do "Lonnie Deals" 
Web Reference:

We Love To Network

Posted by John DL Arendsen, Crest Backyard Homes "ADU" dealer & Contractor (CREST BACKYARD HOMES, ON THE LEVEL GENERAL & FACTORY BUILT HOME CONTRACTOR, TAG REAL ESTATE SALES & INVESTMENTS) over 9 years ago