Legacy Housing (LEGH) 10-Q 8 Nov 22 2022 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2022	Nov. 03, 2022
Document and Entity Information
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2022
Document Transition Report	false
Entity Registrant Name	Legacy Housing Corporation
Entity File Number	001-38761
Entity Incorporation, State or Country Code	TX
Entity Tax Identification Number	20-2897516
Entity Address, Address Line One	1600 Airport Freeway
Entity Address, Address Line Two	#100
Entity Address, City or Town	Bedford
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	76022
City Area Code	817
Local Phone Number	799-4900
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Title of 12(b) Security	Common Stock ($0.001 par value)
Trading Symbol	LEGH
Security Exchange Name	NASDAQ
Entity Common Stock, Shares Outstanding		24,406,020
Entity Central Index Key	0001436208
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q3
Amendment Flag	false

CONDENSED BALANCE SHEETS

CONDENSED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 11,268	$ 1,042
Accounts receivable, net	5,472	5,118
Current portion of contracts - dealer financed	8,603	3,496
Current portion of consumer loans receivable	6,562	6,080
Current portion of notes receivable from mobile home parks ("MHP")	8,944	10,049
Current portion of other notes receivable	9,577	21,070
Inventories	48,508	41,230
Prepaid expenses and other current assets	4,205	4,456
Total current assets	103,139	92,541
Contracts - dealer financed	2,123
Consumer loans receivable, net	127,888	119,543
Notes receivable from mobile home parks ("MHP")	122,706	92,943
Other notes receivable, net	12,489	20,930
Inventories, net	5,494	2,678
Other assets - leased mobile homes	9,841	9,419
ROU assets - operating leases	2,916
Other assets	1,642	1,097
Property, plant and equipment, net	29,927	27,516
Total assets	418,165	366,667
Current liabilities:
Accounts payable	4,099	4,155
Accrued liabilities	17,746	20,686
Customer deposits	12,240	7,749
Escrow liability	10,572	9,350
Operating lease obligation	668
Total current liabilities	45,325	41,940
Long term liabilities:
Operating lease obligation, less current portion	2,356
Lines of credit		7,993
Deferred income taxes, net	3,004	3,004
Dealer incentive liability	5,255	4,336
Total liabilities	55,940	57,273
Commitments and contingencies (Note 13)
Stockholders' equity:
Preferred stock, $.001 par value, 10,000,000 shares authorized: no shares issued or outstanding
Common stock, $.001 par value, 90,000,000 shares authorized; 24,851,085 and 24,654,621 issued and 24,406,020 and 24,209,556 outstanding at September 30, 2022 and December 31, 2021, respectively	30	25
Treasury stock at cost, 445,065 shares at September 30, 2022 and December 31, 2021	(4,477)	(4,477)
Additional paid-in-capital	180,361	175,623
Retained earnings	186,311	138,223
Total stockholders' equity	362,225	309,394
Total liabilities and stockholders' equity	$ 418,165	$ 366,667

CONDENSED BALANCE SHEETS (Paren

CONDENSED BALANCE SHEETS (Parenthetical) - $ / shares	Sep. 30, 2022	Dec. 31, 2021
CONDENSED BALANCE SHEETS
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized	90,000,000	90,000,000
Common stock, shares issued	24,851,085	24,654,621
Common stock, shares outstanding	24,406,020	24,209,556
Treasury stock, shares	445,065	445,065

CONDENSED STATEMENTS OF INCOME

CONDENSED STATEMENTS OF INCOME - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Net revenue:
Product sales	$ 48,678	$ 48,300	$ 155,563	$ 121,689
Consumer and MHP loans interest	7,002	7,259	21,264	20,631
Other	1,645	911	4,637	2,679
Total net revenue	57,325	56,470	181,464	144,999
Operating expenses:
Cost of product sales	33,510	35,676	104,648	86,020
Selling, general and administrative expenses	6,727	5,046	20,287	15,005
Dealer incentive	226	420	939	998
Income from operations	16,862	15,328	55,590	42,976
Other income (expense):
Nonoperating interest income	611	588	2,246	1,265
Miscellaneous, net	186	116	788	354
Interest expense	(88)	(318)	(326)	(827)
Total other	709	386	2,708	792
Income before income tax expense	17,571	15,714	58,298	43,768
Income tax expense	(2,836)	(2,721)	(10,210)	(7,427)
Net income	$ 14,735	$ 12,993	$ 48,088	$ 36,341
Weighted average shares outstanding:
Basic	24,406,020	24,204,362	24,356,809	24,202,053
Diluted	25,379,116	24,283,666	25,024,488	24,279,846
Net income per share:
Basic	$ 0.60	$ 0.54	$ 1.97	$ 1.50
Diluted	$ 0.58	$ 0.54	$ 1.92	$ 1.50

CONDENSED STATEMENTS OF CASH FL

CONDENSED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Operating activities:
Net income	$ 48,088	$ 36,341
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization expense	1,386	1,157
Amortization of deferred revenue	(1,542)	(542)
Provision for accounts and notes receivable	(80)	586
Provision for long term inventory	(69)
Amortization of operating lease right of use asset	3,022
Share based payment expense	4,744	163
Changes in operating assets and liabilities:
Accounts receivable	186	(4,359)
Consumer loans activity, net	(8,752)	(10,575)
Notes receivable MHP activity, net	(28,052)	35,312
Dealer inventory loan activity, net	(7,757)
Inventories	(10,025)	(4,338)
Prepaid expenses and other current assets	417	(285)
Other assets	(4,421)	(2,684)
Accounts payable and accrued liabilities	(2,987)	(4,581)
Customer deposits	4,491	2,724
Escrow liability	1,222	1,621
Dealer incentive liability	919	(82)
Net cash provided by operating activities	790	50,458
Investing activities:
Purchases of property, plant and equipment	(3,268)	(4,643)
Issuance of notes receivable	(3,053)	(27,127)
Notes receivable collections	23,544	7,761
Collections from purchased loans	372	1,614
Net cash provided by (used in) investing activities	17,595	(22,395)
Financing activities:
Proceeds from exercise of stock options		100
Proceeds from lines of credit	108,594	75,272
Payments on lines of credit	(116,753)	(103,350)
Net cash used in financing activities	(8,159)	(27,978)
Net increase in cash and cash equivalents	10,226	85
Cash and cash equivalents at beginning of period	1,042	768
Cash and cash equivalents at end of period	11,268	853
Supplemental disclosure of cash flow information:
Cash paid for interest	208	548
Cash paid for taxes	$ 11,673	$ 8,194

CONDENSED STATEMENTS OF CHANGES

CONDENSED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Common Stock	Treasury stock	Additional paid-in-capital	Retained earnings	Total
Beginning Balance at Dec. 31, 2020	$ 25	$ (4,477)	$ 175,293	$ 88,352	$ 259,193
Beginning Balance (in shares) at Dec. 31, 2020	24,639,125
Share based compensation expense and stock units vested			44		44
Share based compensation expense and stock units vested (in shares)	8,571
Net income				10,700	10,700
Ending Balance at Mar. 31, 2021	$ 25	(4,477)	175,337	99,052	269,937
Ending Balance (in shares) at Mar. 31, 2021	24,647,696
Beginning Balance at Dec. 31, 2020	$ 25	(4,477)	175,293	88,352	259,193
Beginning Balance (in shares) at Dec. 31, 2020	24,639,125
Net income					36,341
Ending Balance at Sep. 30, 2021	$ 25	(4,477)	175,556	124,694	295,798
Ending Balance (in shares) at Sep. 30, 2021	24,654,621
Beginning Balance at Mar. 31, 2021	$ 25	(4,477)	175,337	99,052	269,937
Beginning Balance (in shares) at Mar. 31, 2021	24,647,696
Share based compensation expense and stock units vested			64		64
Net income				12,649	12,649
Ending Balance at Jun. 30, 2021	$ 25	(4,477)	175,401	111,701	282,650
Ending Balance (in shares) at Jun. 30, 2021	24,647,696
Share based compensation expense and stock units vested			55		55
Share based compensation expense - stock options exercised			100		100
Share based compensation expense - stock options exercised (Shares)	6,925
Net income				12,993	12,993
Ending Balance at Sep. 30, 2021	$ 25	(4,477)	175,556	124,694	295,798
Ending Balance (in shares) at Sep. 30, 2021	24,654,621
Beginning Balance at Dec. 31, 2021	$ 25	(4,477)	175,623	138,223	$ 309,394
Beginning Balance (in shares) at Dec. 31, 2021	24,654,621				24,654,621
Share based compensation expense and stock units vested	$ 4		4,003		$ 4,007
Share based compensation expense and stock units vested (in shares)	158,571
Net income				16,092	16,092
Ending Balance at Mar. 31, 2022	$ 29	(4,477)	179,626	154,315	329,493
Ending Balance (in shares) at Mar. 31, 2022	24,813,192
Beginning Balance at Dec. 31, 2021	$ 25	(4,477)	175,623	138,223	$ 309,394
Beginning Balance (in shares) at Dec. 31, 2021	24,654,621				24,654,621
Net income					$ 48,088
Ending Balance at Sep. 30, 2022	$ 30	(4,477)	180,361	186,311	$ 362,225
Ending Balance (in shares) at Sep. 30, 2022	24,813,192				24,851,085
Beginning Balance at Mar. 31, 2022	$ 29	(4,477)	179,626	154,315	$ 329,493
Beginning Balance (in shares) at Mar. 31, 2022	24,813,192
Share based compensation expense and stock units vested			306		306
Net income				17,261	17,261
Ending Balance at Jun. 30, 2022	$ 29	(4,477)	179,932	171,576	347,060
Ending Balance (in shares) at Jun. 30, 2022	24,813,192
Share based compensation expense and stock units vested	$ 1		429		430
Net income				14,735	14,735
Ending Balance at Sep. 30, 2022	$ 30	$ (4,477)	$ 180,361	$ 186,311	$ 362,225
Ending Balance (in shares) at Sep. 30, 2022	24,813,192				24,851,085

NATURE OF OPERATIONS

NATURE OF OPERATIONS	9 Months Ended
	Sep. 30, 2022
NATURE OF OPERATIONS
NATURE OF OPERATIONS	1. NATURE OF OPERATIONS Legacy Housing Corporation (referred herein as ”Legacy”, “we”, “our”, “us”, or the “Company”) was formed on January 1, 2018 as a Delaware corporation through a corporate conversion of Legacy Housing, Ltd. (the “Partnership”), a Texas limited partnership formed in May 2005. Effective December 31, 2019, the Company reincorporated from a Delaware corporation to a Texas corporation. The Company is headquartered in Bedford, Texas. The Company (1) manufactures and provides for the transport of mobile homes, (2) provides wholesale financing to dealers and mobile home parks, (3) provides retail financing to consumers and (4) is involved in financing and developing new manufactured home communities. The Company manufactures its mobile homes at plants located in Fort Worth, Texas, Commerce, Texas and Eatonton, Georgia. The Company relies on a network of dealers to market and sell its mobile homes. The Company also sells homes directly to dealers and mobile home parks. In December 2018, the Company sold 4,000,000 shares of its common stock through an initial public offering (“IPO”) at $12.00 per share. Proceeds from the IPO, net of $4,504 of underwriting discounts and offering expenses paid by the Company, were $43,492. In January 2019, the Company sold an additional 600,000 shares of its common stock as part of the IPO at $12.00 per share. Proceeds from the January 2019 issuance, net of $505 of underwriting discounts and offering expenses paid by the Company, were $6,695. On April 17, 2019, the Company purchased 300,000 shares of its common stock at the price of $10.20 per share, pursuant to the Company’s repurchase program. During the year ended December 31, 2020, the Company purchased 145,065 shares of its common stock at an average price of $9.77 per share, pursuant to the Company’s repurchase program. Under the repurchase program, the Company may purchase up to $10,000 of its common stock. Share purchases may be made from time to time in the open market or through privately negotiated transactions depending on market conditions, share price, trading volume and other factors. Such purchases, if any, will be made in accordance with applicable insider trading and other securities laws and regulations. These repurchases may be commenced or suspended at any time or from time to time without prior notice. Corporate Conversion Effective January 1, 2018, the Partnership converted into a Delaware corporation pursuant to a statutory conversion and changed its name to Legacy Housing Corporation. In order to consummate the corporate conversion completed on January 1, 2018, a certificate of conversion was filed with the Secretary of State of the State of Delaware and with the Secretary of State of the State of Texas. Holders of partnership interests in Legacy Housing, Ltd. received an initial allocation, on a proportional basis, of 20,000,000 shares of common stock of Legacy Housing Corporation. Following the corporate conversion, Legacy Housing Corporation continues to hold all property and assets of Legacy Housing, Ltd. and all of the debts and obligations of Legacy Housing, Ltd. On the effective date of the corporate conversion, the officers of Legacy Housing, Ltd. became the officers of Legacy Housing Corporation. As a result of the corporate conversion, the Company is now a federal corporate taxpayer. Basis of Presentation The accompanying unaudited interim condensed financial statements as of September 30, 2022 and for the three and nine months ended September 30, 2022 and 2021, respectively, have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission ("SEC") as required by Regulation S-X, Rule 8-03. In the opinion of management, the unaudited interim financial statements have been prepared on the same basis as the audited financial statements, and include all adjustments, consisting only of normal recurring adjustments, necessary for the fair statement of the Company's financial position for the periods presented. The results for the three and nine months ended September 30, 2022 are not necessarily indicative of the results to be expected for the year ending December 31, 2022, or any other period. The accompanying balance sheet as of December 31, 2021 was derived from audited financial statements included in the Company's annual report on Form 10-K for the year ended December 31, 2021 (the "Form 10-K"). The accompanying financial statements do not include all of the information and footnotes required by GAAP for annual financial statements. Accordingly, they should be read in conjunction with the audited financial statements and notes thereto included in the Form 10-K. Certain amounts in the prior period financial statements have been reclassified to conform to the presentation of the current period financial statements. These reclassifications had no effect on the previously reported net income. Restatement of Previously Issued Condensed Financial Statements (unaudited) As previously reported in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, the Company has restated its interim financial statements for the period ended September 30, 2021 to correct (i) an understatement of costs errantly assigned to accounts payable for inventory received but not invoiced, (ii) an overstatement of prepaid inventory and an understatement of cost of product sales and property, plant & equipment, (iii) an overstatement in finished goods inventory and an understatement of cost of product sales, (iv) a reclassification between prepaid expenses and other current assets and other assets, (v) a reclassification between prepaid expenses and other current assets and lines of credit, and (vi) a change in accrued liabilities and income tax expense. The effects of the restatement on the line items within the Company’s condensed statement of income for the three months ended September 30, 2021 were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended September 30, 2021 ​ ​ As ​ ​ ​ ​ ​ ​ ​ Originally ​ ​ ​ As ​ Reported Adjustments Restated ​ Operating expenses: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Cost of product sale ​ $ 33,392 ​ $ 2,284 ​ $ 35,676 ​ Income from operations ​ $ 17,612 ​ $ (2,284) ​ $ 15,328 ​ Income before income tax expense ​ $ 17,998 ​ $ (2,284) ​ $ 15,714 ​ Income tax expense ​ $ (3,265) ​ $ 544 ​ $ (2,721) ​ Net income ​ $ 14,733 ​ $ (1,740) ​ $ 12,993 ​ Net income per share: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Basic ​ $ 0.61 ​ $ (0.07) ​ $ 0.54 ​ Diluted ​ $ 0.61 ​ $ (0.07) ​ $ 0.54 ​ ​ The effects of the restatement on the line items within the Company’s condensed statement of income for the nine months ended September 30, 2021 were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine Months Ended September 30, 2021 ​ ​ As ​ ​ ​ ​ ​ ​ ​ Originally ​ ​ ​ As ​ Reported Adjustments Restated ​ Operating expenses: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Cost of product sale ​ $ 86,024 ​ $ (4) ​ $ 86,020 ​ Income from operations ​ $ 42,972 ​ $ 4 ​ $ 42,976 ​ Income before income tax expense ​ $ 43,764 ​ $ 4 ​ $ 43,768 ​ Income tax expense ​ $ (7,581) ​ $ 154 ​ $ (7,427) ​ Net income ​ $ 36,183 ​ $ 158 ​ $ 36,341 ​ Net income per share: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Basic ​ $ 1.50 ​ $ — ​ $ 1.50 ​ Diluted ​ $ 1.49 ​ $ 0.01 ​ $ 1.50 ​ ​ ​ The effects of the restatement on the line items within the Company’s condensed statement of cash flows for the nine months ended September 30, 2021 were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine months September 30, 2021 ​ ​ As Originally ​ ​ ​ As ​ ​ Reported ​ Adjustments ​ Restated Operating activities: ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income ​ $ 36,183 ​ $ 158 ​ $ 36,341 Inventories ​ $ (4,595) ​ $ 257 ​ $ (4,338) Prepaid expenses and other current assets ​ $ (2,571) ​ $ 2,286 ​ $ (285) Other assets ​ $ (2,352) ​ $ (332) ​ $ (2,684) Accounts payable ​ $ (4,027) ​ $ (1,983) ​ $ (6,010) Accrued liabilities ​ $ 1,583 ​ $ (154) ​ $ 1,429 Net cash used in operating activities ​ $ 50,226 ​ $ 232 ​ $ 50,458 Investing activities: ​ ​ ​ ​ ​ ​ ​ ​ ​ Purchases of property, plant and equipment ​ $ (4,596) ​ $ (47) ​ $ (4,643) Net cash used in investing activities ​ $ (22,348) ​ $ (47) ​ $ (22,395) Financing activities: ​ ​ ​ ​ ​ ​ ​ ​ ​ Payments on lines of credit ​ $ (103,165) ​ $ (185) ​ $ (103,350) Net cash provided by financing activities ​ $ (27,793) ​ $ (185) ​ $ (27,978) ​ ​ Use of Estimates The preparation of our financial statements in conformity with GAAP requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of income and expenses during the reporting period. Material estimates that are susceptible to significant change in the near term primarily relate to the determination of accounts receivable, loans to mobile home parks, consumer loans, other notes receivable, inventory obsolescence, income taxes, fair value of financial instruments and contingent liabilities. Actual results could differ from these estimates. Revenue Recognition Product sales Revenue from product sales is recognized at a point in time when the performance obligation under the terms of a contract with our customer is satisfied, which typically occurs upon delivery and transfer of title of the home, as this depicts when control of the promised good is transferred to our customers. For inventory financed sales, the independent dealer enters into a financing arrangement with the Company and is required to make monthly interest payments and an annual curtailment payment for the first two years. After three years, they are required to payoff any remaining principle balance. Interest income is separately recorded in the statement of operations. For other financed sales by the Company, the individual customer enters into a sales and financing contract and is required to make a down payment. These financed sales contain a significant financing component and any interest income is separately recorded in the statement of operations. Revenue is measured as the amount of consideration expected to be received in exchange for transferring the homes to the customers. Sales and other similar taxes collected concurrently with revenue-producing activities are excluded from revenue. The Company made an accounting policy election to account for any shipping and handling costs that occur after the transfer of control as a fulfillment cost that is accrued when control is transferred. Warranty obligations associated with the sale of a unit are assurance-type warranties for a period of twelve months that are a guarantee of the home’s intended functionality and, therefore, do not represent a distinct performance obligation within the context of the contract. The Company has elected to use the practical expedient to expense the incremental costs of obtaining a contract if the amortization period of the asset that the Company would have otherwise recognized is one year or less. Contract costs, which include commissions incurred related to the sale of homes, are expensed at the point-in-time when the related revenue is recognized. Warranty costs and contract costs are included in selling, general and administrative expenses in the statements of income. For the three months ended September 30, 2022 and 2021, sales to an independent third-party and its affiliates accounted for $5,226 or 10.7% and $2,335 or 4.8% of our product sales, respectively. For the nine months ended September 30, 2022 and 2021, sales to an independent third-party and its affiliates accounted for $11,420 or 7.3% and $7,399 or 6.1% of our product sales, respectively. For the three months ended September 30, 2022 and 2021, total cost of product sales included $2,711 and $3,978 of costs relating to subcontracted production for commercial sales, reimbursed dealer expenses for consignment sales, and certain other similar costs incurred for retail store and commercial sales subcontracted production for commercial sales, reimbursed dealer expenses for consignment sales, and certain other similar costs incurred for retail store and commercial sales Other revenue Disaggregation of Revenue ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three months ended ​ Nine months ended ​ ​ September 30, ​ September 30, ​ ​ 2022 2021 ​ 2022 2021 Product sales: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Direct sales ​ $ 12,325 ​ $ 8,434 ​ $ 34,933 ​ $ 17,093 Commercial sales ​ 13,784 ​ 12,198 ​ 42,147 ​ 37,840 Consignment sales ​ ​ 14,210 ​ ​ 18,641 ​ ​ 54,497 ​ ​ 43,381 Retail store sales ​ ​ 5,572 ​ ​ 5,929 ​ ​ 15,388 ​ ​ 15,435 Other (1) ​ 2,787 ​ 3,098 ​ 8,598 ​ 7,940 Total product sales ​ 48,678 ​ 48,300 ​ 155,563 ​ 121,689 Consumer and MHP loans interest: ​ ​ ​ ​ Interest - consumer installment notes ​ 4,559 ​ 4,019 ​ 13,717 ​ 12,208 Interest - MHP notes ​ 2,443 ​ 3,240 ​ 7,547 ​ 8,423 Total consumer and MHP loans interest ​ 7,002 ​ 7,259 ​ 21,264 ​ 20,631 Other ​ 1,645 ​ 911 ​ 4,637 ​ 2,679 Total net revenue ​ $ 57,325 ​ $ 56,470 ​ $ 181,464 ​ $ 144,999 (1) Other product sales revenue from ancillary products and services including parts, freight and other services Share-Based Compensation The Company accounts for share-based compensation in accordance with the provisions of Accounting Standards Codification (“ASC”) 718, Compensation—Stock Compensation The fair value of each option grant with only service-based conditions is estimated using the Black-Scholes pricing model. The fair value of each restricted stock unit (the ”RSU”) with only service-based conditions is calculated based on the closing price of the Company’s common stock on the grant date. The fair value of each RSU with market based conditions is estimated using the Monte-Carlo Simulation valuation model. The fair value of stock option awards on the date of grant is estimated using the Black-Scholes option pricing model, which requires the Company to make certain predictive assumptions. The risk-free interest rate is based on the implied yield of U.S. Treasury zero-coupon securities that correspond to the expected life of the award. As a recently formed public entity with a small public float and limited trading of its common shares on the NASDAQ Global Market, it was not practicable for the Company to estimate the volatility of its common shares; therefore, management estimated volatility based on the historical volatilities of a small group of companies considered as close to comparable to the Company as available, all equally weighted, over the expected life of the option. Management concluded that this group is more characteristic of the Company’s business than a broad industry index. The expected life of awards granted represents the period of time that the awards are expected to be outstanding based on the “simplified” method, which is allowed for companies that cannot reasonably estimate the expected life of options based on its historical award exercise experience. The Company does not expect to pay dividends on its common stock. The fair value of RSU awards with market based conditions on the date of grant is estimated using the Monte-Carlo Simulation valuation model, and the Company uses the following methods to determine its underlying assumptions: expected volatilities are based on the Company’s historic stock price volatility; the expected term of the awards is based on performance measurement period; the risk-free interest rate is based on the U.S. Treasury bond yield issued with similar life terms to the expected life of the grant. Accounts Receivable Included in accounts receivable “net” are receivables from direct sales of mobile homes, sales of parts and supplies to customers, consignment fees and interest. Accounts receivable “dealer financed” are receivables for interest, fees and curtailments owed from dealers under their inventory finance agreements. Accounts receivables “net” are generally due within 30 days and are stated at amounts due from customers net of an allowance for doubtful accounts. Accounts receivables “dealer financed” are due upon receipt and are stated at amounts due from customers net of an allowance for doubtful accounts. Accounts outstanding longer than the contractual payment terms are considered past due. The Company determines the allowance by considering several factors, including the aging of the past due balance, the customer’s payment history, and the Company’s previous loss history. The Company establishes an allowance for doubtful accounts for amounts that are deemed to be uncollectible. On September 30, 2022 and December 31, 2021, the allowance for doubtful accounts totaled $666 and $343, respectively. Leased Property The Company offers mobile home park operators the opportunity to lease mobile homes for rent in lieu of purchasing the homes for cash or under a longer-term financing agreement. In this arrangement title for the mobile homes remains with the Company. The standard lease agreement is typically for 96 months or 120 months. Under the lease arrangement, the lessee (mobile home park operator) uses the mobile homes as personal property to be rented as a residence at the lessee's mobile home park. The lessee makes monthly, periodic lease payments to the Company over the term of the lease. The lessee is responsible for maintaining the homes during the term of the lease. The lessee is also responsible for repairing all damages caused by force majeure events even in cases of total or partial loss of the property. At the end of the lease term or in the event of default, the lessee is required to deliver to the Company the homes with all improvements in good repair and condition in substantially the same condition as existed at the commencement of the lease. The lessee may terminate the lease with 30 days written notice to the Company and pay a lease termination fee equal to 10% of the remaining lease payments or six month’s rent, whichever is greater. The lessee has an option to purchase the homes at the end of the lease term for fair market value based on an agreed upon determination of fair market value by both parties using comparable sales, recent appraisal, or NADA official guidance. The lessee must provide the Company with 30 days written notice prior to expiration of the lease of intent to purchase the property for fair market value. The lease also includes a renewal option whereby the lessee has the option to extend the lease for an additional 48 months (the extended term) at the same terms and conditions as the original lease. The lessee must notify the Company of the intent to exercise the renewal extension option not less than six months prior to expiration of the lease term. The leased mobile homes are included in other assets on the Company’s balance sheet, capitalized at manufactured cost and depreciated over a 15 year useful life. Homes returned to the Company upon expiration of the lease or in the event of default will be sold by the Company through its standard sales and distribution channels. Depreciation expense for the leased property was $184 and $143 for the three months ended September 30, 2022 and 2021, respectively, and $538 and $373 for the nine months ended September 30, 2022 and 2021, respectively. ​ ​ Future minimum lease income under all operating leases for each of the next five years at September 30, 2022, are as follows: ​ ​ ​ ​ ​ 2022 (3 months) $ 538 2023 ​ 2,152 2024 ​ 2,152 2025 ​ 2,152 2026 ​ 2,152 Thereafter ​ 4,890 Total ​ $ 14,036 ​ Recent Accounting Pronouncements The Company has elected to use longer phase-in periods for the adoption of new or revised financial accounting standards under the JOBS Act as an emerging growth company. In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-02, Leases (Topic 842) liabilities In June 2016, the FASB issued ASU 2016-13 Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments From time to time, new accounting pronouncements are issued by the FASB and other regulatory bodies that are adopted by the Company as of the specified effective dates. Unless otherwise discussed, management believes that the impact of recently issued standards, which are not yet effective, will not have a material impact on the Company’s financial statements upon adoption.

CONSUMER LOANS

CONSUMER LOANS	9 Months Ended
	Sep. 30, 2022
CONSUMER LOANS
CONSUMER LOANS	2. CONSUMER LOANS Consumer loans result from financing transactions entered into with retail consumers of mobile homes sold through independent retailers and company-owned retail locations. Consumer loans receivable generally consist of the sales price and any additional financing fees, less the buyer’s down payment. Interest income is recognized monthly per the terms of the financing agreements. The average contractual interest rate per loan was approximately 13.4% and 13.5% as of September 30, 2022 and December 31, 2021, respectively. Consumer loans receivable have maturities that range from 3 to 30 years. Loan applications go through an underwriting process that considers credit history to evaluate credit risk of the consumer. Interest rates on approved loans are determined based on consumer credit score, payment ability and down payment amount. The Company uses payment history to monitor the credit quality of the consumer loans on an ongoing basis. The Company may also receive escrow payments for property taxes and insurance included in its consumer loan collections. The liabilities associated with these escrow collections totaled $10,572 and $9,350 as of September 30, 2022 and December 31, 2021, respectively, and are included in escrow liability in the condensed balance sheets. Allowance for Loan Losses—Consumer Loans Receivable The allowance for loan losses reflects management’s estimate of losses inherent in the consumer loans that may be uncollectible based upon review and evaluation of the consumer loan portfolio as of the date of the condensed balance sheet. An allowance for loan losses is determined after giving consideration to, among other things, the loan characteristics, including the financial condition of borrowers, the value and liquidity of collateral, delinquency and historical loss experience. The allowance for loan losses is comprised of two components: the general reserve and specific reserves. The Company’s calculation of the general reserve considers the historical loss rate for the last three years, adjusted for the estimated loss discovery period and any qualitative factors both internal and external to the Company. Specific reserves are determined based on probable losses on specific classified impaired loans. The Company’s policy is to place a loan on nonaccrual status when there is a clear indication that the borrower’s cash flow may not be sufficient to meet payments as they become due, which is when either principal or interest is past due and remains unpaid for more than 90 days or other indications of distress. Management implemented this policy based on an analysis of historical data, current performance of loans and the likelihood of recovery once principal or interest payments became delinquent and were aged more than 90 days. Payments received on nonaccrual loans are accounted for on a cash basis, first to interest and then to principal, as long as the remaining book balance of the asset is deemed to be collectible. The accrual of interest resumes when the past due principal or interest payments are brought within 90 days of being current. Impaired loans are those loans where it is probable the Company will be unable to collect all amounts due in accordance with the original contractual terms of the loan agreement, including scheduled principal and interest payments. Impaired loans, or portions thereof, are charged off when deemed uncollectible. A loan is generally deemed impaired if it is more than 90 days past due on principal or interest, is in bankruptcy proceedings, or is in the process of repossession. A specific reserve is created for impaired loans based on fair value of underlying collateral value, less estimated selling costs. The Company uses various factors to determine the value of the underlying collateral for impaired loans. These factors are: (1) the length of time the unit was unsold after construction; (2) the amount of time the house was occupied; (3) the cooperation level of the borrowers, i.e., loans requiring legal action or extensive field collection efforts; (4) units located on private property as opposed to a manufactured home park; (5) the length of time the borrower has lived in the house without making payments; (6) location, size, and market conditions; and (7) the experience and expertise of the particular dealer assisting in collection efforts. Collateral for repossessed loans is acquired through foreclosure or similar proceedings and is recorded at the estimated fair value of the home, less the costs to sell. At repossession, the fair value of the collateral is computed based on the historical recovery rates of previously charged off loans; the loan is charged off and the loss is charged to the allowance for loan losses. At each reporting period, the fair value of the collateral is adjusted to the lower of the amount recorded at repossession or the estimated sales price less estimated costs to sell, based on current information. Repossessed homes totaled $960 and $517 as of September 30, 2022 and December 31, 2021, respectively, and are included in other assets in the condensed balance sheets. Consumer loans receivable, net of allowance for loan losses and deferred financing fees, consists of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ As of September 30, As of December 31, ​ ​ 2022 ​ 2021 Consumer loans receivable ​ $ 137,752 ​ $ 129,119 Loan discount and deferred financing fees ​ (2,498) ​ (2,612) Allowance for loan losses ​ (804) ​ (884) Consumer loans receivable, net ​ $ 134,450 ​ $ 125,623 ​ The following table presents a detail of the activity in the allowance for loan losses: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three months ended September 30, ​ Nine Months Ended September 30, ​ ​ ​ 2022 2021 ​ 2022 2021 Allowance for loan losses, beginning of period ​ $ 763 ​ $ 814 ​ $ 884 ​ $ 905 ​ Provision for loan losses ​ 54 ​ 27 ​ (203) ​ 586 ​ Charge offs (recoveries) ​ (13) ​ (39) ​ 123 ​ (689) ​ Allowance for loan losses ​ $ 804 ​ $ 802 ​ $ 804 ​ $ 802 ​ ​ The reserve for loan losses consists of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ As of September 30, As of December 31, ​ ​ 2022 ​ 2021 Total consumer loans ​ $ 137,752 ​ $ 129,119 Allowance for loan losses ​ $ 804 ​ $ 884 Impaired loans individually evaluated for impairment ​ $ 1,350 ​ $ 1,239 Specific reserve against impaired loans ​ $ 548 ​ $ 533 Other loans collectively evaluated for allowance ​ $ 136,402 ​ $ 127,880 General allowance for loan losses ​ $ 256 ​ $ 351 ​ As of September 30, 2022 and December 31, 2021, the total principal outstanding for consumer loans on nonaccrual status was $1,350 and $1,239, respectively. A detailed aging of consumer loans receivable that are past due as of September 30, 2022 and December 31, 2021 were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ As of September 30, ​ As of December 31, ​ ​ ​ 2022 ​ % ​ 2021 ​ % Total consumer loans receivable ​ $ 137,752 100.0 $ 129,119 100.0 Past due consumer loans: ​ ​ 31 - 60 days past due ​ $ 744 0.5 ​ $ 594 0.5 61 - 90 days past due ​ 106 0.1 ​ 407 0.3 91 - 120 days past due ​ 204 0.1 ​ 114 0.1 Greater than 120 days past due ​ 1,147 0.8 ​ 967 0.7 Total past due ​ $ 2,201 1.6 ​ $ 2,082 1.6 ​

NOTES RECEIVABLE FROM MOBILE HO

NOTES RECEIVABLE FROM MOBILE HOME PARKS	9 Months Ended
	Sep. 30, 2022
NOTES RECEIVABLE FROM MOBILE HOME PARKS
NOTES RECEIVABLE FROM MOBILE HOME PARKS	3. NOTES RECEIVABLE FROM MOBILE HOME PARKS The notes receivable from mobile home parks (“MHP Notes”) relate to mobile homes sold to mobile home parks and financed through notes receivable. The MHP Notes have varying maturity dates and call for monthly principal and interest payments. The interest rate on the MHP Notes can be fixed or variable. Approximately $118 million of the MHP Notes have a fixed interest rate ranging from 6.9% to 10.2%. The remaining MHP Notes have a variable rate typically set at 4.0% above prime with a minimum of 8.0%. The average interest rate per loan was approximately 8.0% and 7.6% as of September 30, 2022 and December 31, 2021, respectively, with maturities that range from 1 to 18 years. The collateral underlying the MHP Notes are individual mobile homes which can be repossessed and resold. The MHP Notes are generally guaranteed by the borrowers personally. The Company had concentrations of MHP Notes with an independent third-party and its affiliates that equaled 31.0% and 52.1% of the principal balance outstanding, all of which was secured by the mobile homes, as of September 30, 2022 and December 31, 2021, respectively. MHP Notes are stated at amounts due from customers, net of allowance for loan losses. The Company determines the allowance by considering several factors including the aging of the past due balance, the customer’s payment history, and the Company’s previous loss history. The Company establishes an allowance reserve composed of specific and general reserve amounts. As of September 30, 2022 and December 31, 2021, the MHP Note balance is presented net of unamortized finance fees of $725 and $445, respectively. The finance fees are amortized over the life of the MHP Notes. There were minimal past due balances on the MHP Notes as of September 30, 2022 and December 31, 2021 and no charge offs were recorded for MHP Notes during the three and nine months ended September 30, 2022 and 2021, respectively. Allowance for loan loss is considered immaterial and accordingly no loss is recorded against the MHP Notes as of September 30, 2022 and December 31, 2021. There were no impaired MHP Notes as of September 30, 2022 and December 31, 2021, respectively, and there were no repossessed homes balances as of September 30, 2022 and December 31, 2021, respectively. Collateral for repossessed loans is acquired through foreclosure or similar proceedings and is recorded at the estimated fair value of the home, less the costs to sell.

OTHER NOTES RECEIVABLE

OTHER NOTES RECEIVABLE	9 Months Ended
	Sep. 30, 2022
OTHER NOTES RECEIVABLE
OTHER NOTES RECEIVABLE	4. OTHER NOTES RECEIVABLE Other notes receivable relate to various notes issued to mobile home park owners and dealers, which are not directly tied to sales of mobile homes. The other notes have varying maturity dates and call for monthly principal and interest payments. The other notes are collateralized by mortgages on real estate, units being financed and used as offices, as well as vehicles, and are typically guaranteed by the borrowers personally. The interest rate on the other notes are fixed and range from 5.00% to 12.00%. The Company reserves for estimated losses on the other notes based on current economic conditions that may affect the borrower’s ability to pay, the borrower’s financial strength, and historical loss experience. There were no past due balances for other notes as of September 30, 2022 and December 31, 2021, respectively, and there were no impaired balances for other notes as of September 30, 2022 and December 31, 2021, respectively. The balance outstanding on the other notes receivable were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ As of September 30, As of December 31, ​ ​ 2022 ​ 2021 Outstanding principal balance ​ $ 22,119 ​ $ 42,074 Allowance for loan losses ​ (53) ​ (74) Total ​ $ 22,066 ​ $ 42,000 ​

LEASES

LEASES	9 Months Ended
	Sep. 30, 2022
LEASES
LEASES	5. LEASES The Company currently has 13 operating leases, eight of which are for the Company’s Heritage Housing and Tiny Homes retail locations, three which are subleased by the Company and two are for corporate and administrative offices in Bedford, TX and Norcross, GA. These leases typically have initial terms ranging from 5 to 10 years and include one or more options to renew. Under ASC 842, a modified retrospective transition is required, applying the new standard to all leases at the date of initial application. The Company chose to use the adoption date of January 1, 2022 for ASC 842. As such, all periods presented after January 1, 2022, are under ASC 842 whereas periods presented prior to January 1, 2022, are in accordance with prior lease accounting of ASC 840. Financial information was not updated and the disclosures required under ASC 842 were not provided for dates and periods before January 1, 2022. We determine if an arrangement is a lease at inception. Operating leases are right-of-use (“ROU”) assets and are shown as ROU assets – operating leases on our Condensed Balance Sheet. The lease liabilities are shown as Operating lease obligation and Operating lease obligation, less current portion on our Condensed Balance Sheet. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at the lease commencement date based on the estimated present value of lease payments over the lease term. We have elected the practical expedient to not separate lease and non-lease components. Therefore, lease payments included in the measurement of the lease liability include all fixed payments in the lease arrangement. We record a ROU asset for an amount equal to the lease liability, increased for any prepaid lease costs and initial direct costs and reduced by any lease incentives. We remeasure the lease liability and ROU asset when a change to our future minimum lease payments occurs. Key assumptions and judgments included in the determination of the lease liability include the discount rate used in the present value calculation and the exercise of renewal options. Many of our leases contain renewal options. As the exercise of the renewal options is not certain at commencement of a lease, we generally do not include the option periods in the lease term when determining the lease liabilities and ROU assets. We remeasure the lease liability and ROU asset when we are reasonably certain that we will exercise a renewal option. Our leases do not provide information about the rate implicit in the lease. Therefore, we utilize an incremental borrowing rate to calculate the present value of our future lease obligations. The incremental borrowing rate represents the rate of interest we would have to pay on a collateralized borrowing, for an amount equal to the lease payments, over a similar term and in a similar economic environment. The remaining weighted-average lease term is 4.76 years and the weighted-average discount rate is 2.12%. We consider lease payments that cannot be predicted with reasonable certainty upon lease commencement to be variable lease payments, which are recorded as incurred each period and are excluded from our calculation of lease liabilities. There were no variable lease costs for the three and nine months ended September 30, 2022. Short-term leases, those with a term of 12 months or less, are not recorded on our Condensed Balance Sheet. Our short-term lease costs were not material for the three and nine months ended September 30, 2022. As of September 30, 2022, future minimum lease payments under our operating lease liabilities were as follows: ​ ​ ​ ​ ​ 2022 (3 months) $ 176 2023 ​ 708 2024 ​ 644 2025 ​ 608 2026 ​ 546 Thereafter ​ 430 Total lease payments ​ $ 3,112 Less amount representing interest ​ ​ (88) Total lease liability ​ $ 3,024 Less current lease liability ​ ​ (668) Total non-current lease liability ​ $ 2,356 ​

INVENTORIES

INVENTORIES	9 Months Ended
	Sep. 30, 2022
INVENTORIES
INVENTORIES	6 Inventories consists of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ As of September 30, As of December 31, ​ ​ 2022 ​ 2021 Raw materials ​ $ 19,321 ​ $ 15,431 Work in progress ​ 682 ​ 714 Finished goods (1) ​ 34,362 ​ 28,195 Allowance for obsolescence ​ ​ (363) ​ ​ (432) Total ​ $ 54,002 ​ $ 43,908 (1) Finished goods includes $5,494 and $2,678 as of September 30, 2022 and December 31, 2021, respectively , held for more than twelve months and classified as long-term.

PROPERTY, PLANT AND EQUIPMENT

PROPERTY, PLANT AND EQUIPMENT	9 Months Ended
	Sep. 30, 2022
PROPERTY, PLANT AND EQUIPMENT
PROPERTY, PLANT AND EQUIPMENT	7. PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment consists of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ As of September 30, As of December 31, ​ ​ 2022 ​ 2021 Land ​ $ 14,953 ​ $ 14,949 Buildings and leasehold improvements ​ 16,488 ​ 13,722 Vehicles ​ 1,556 ​ 1,682 Machinery and equipment ​ 5,679 ​ 5,058 Furniture and fixtures ​ 300 ​ 298 Total ​ 38,976 ​ 35,709 Less accumulated depreciation ​ (9,049) ​ (8,193) Total property, plant and equipment ​ $ 29,927 ​ $ 27,516 ​ Depreciation expense was $295 with $116 included as a component of cost of product sales for the three months ended September 30, 2022 and $403 with $113 included as a component of cost of product sales for the three months ended September 30, 2021. Depreciation expense was $872 with $364 included as a component of cost of product sales for the nine months ended September 30, 2022 and $784 with $327 included as a component of cost of product sales for the nine months ended September 30, 2021.

OTHER ASSETS

OTHER ASSETS	9 Months Ended
	Sep. 30, 2022
OTHER ASSETS.
OTHER ASSETS	8. OTHER ASSETS Other assets consists of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ As of September 30, As of December 31, ​ ​ 2022 ​ 2021 Prepaid rent ​ $ 349 ​ $ 248 Other ​ 333 ​ 332 Repossessed homes ​ 960 ​ 517 Total ​ $ 1,642 ​ $ 1,097 ​

ACCRUED LIABILITIES

ACCRUED LIABILITIES	9 Months Ended
	Sep. 30, 2022
ACCRUED LIABILITIES.
ACCRUED LIABILITIES	9. ACCRUED LIABILITIES Accrued liabilities consists of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ As of September 30, As of December 31, ​ ​ 2022 ​ 2021 Warranty reserve ​ $ 2,614 ​ $ 2,876 Litigation reserve ​ 1,362 ​ 2,764 Payroll ​ ​ 1,479 ​ ​ 1,685 Portfolio taxes and title ​ 2,280 ​ 2,467 Property tax ​ ​ 699 ​ ​ 546 Dealer rebates ​ ​ 1,171 ​ ​ 1,160 Sales tax ​ 301 ​ 310 Federal and state income taxes ​ 5,787 ​ 7,445 Other ​ 2,053 ​ 1,433 Total accrued liabilities ​ $ 17,746 ​ $ 20,686 ​

DEBT

DEBT	9 Months Ended
	Sep. 30, 2022
DEBT
DEBT	10 Lines of Credit Revolver 1 At December 31, 2019, the Company had a revolving line of credit (“Revolver 1”) with Capital One, N.A. with a maximum credit limit of $45,000 and a maturity date of May 11, 2020. On March 30, 2020, the Company entered into an agreement with Capital One, N.A. to replace Revolver 1 with a new revolving line of credit (“New Revolver”). The New Revolver had a maximum credit limit of $70,000 and a maturity date of March 30, 2024. For the period January 1, 2020 through March 30, 2020, Revolver 1 accrued interest at one-month LIBOR plus 2.40%. Amounts available under Revolver 1 were subject to a formula based on eligible consumer loans and MHP Notes and were secured by all accounts receivable, consumer loans and MHP Notes. On June 21, 2022, the Company received a Reservation of Rights notice from Capital One, N.A. The letter stated that the Company’s New Revolver was in default. The default condition occurred due to the Company’s failure to timely file the Form 10-K and deliver certain financial statement to Capital One, N.A. On July 28, 2022, the Company entered into a Limited Waiver and First Amendment to Credit Agreement (the “Amendment”) with Capital One, N.A. The Amendment replaced the LIBOR borrowing rate with a secured overnight financing rate and waived a default arising out of a monetary judgement against the Company that exceeded the amount allowed in the New Revolver. On August 24, 2022, the Company received a Notice of Default and Partial Suspension of Loan Commitments from Capital One, N.A. The notice stated that the July 28, 2022 forbearance agreement had been terminated and that Capital One, N.A. was permitted to suspend loan commitment under the New Revolver. As a result, the available line of credit in the New Revolver has been limited to The New Revolver accrues interest at one-month LIBOR plus 2.00%. The interest rate in effect as of September 30, 2022 and December 31, 2021 was 4.56% and 2.10%, respectively. As with Revolver 1, amounts available under the New Revolver are subject to a formula based on eligible consumer loans and MHP Notes and are secured by all accounts receivable, consumer loans and MHP Notes. The amount of available credit under the New Revolver was $20,000 and $61,841 as of September 30, 2022 and December 31, 2021, respectively. In connection with the New Revolver, the Company paid certain arrangement fees and other fees of approximately $295, which were capitalized as unamortized debt issuance costs and will be amortized to interest expense over the life of the New Revolver. For the three months ended September 30, 2022 and 2021, interest expense under the New Revolver was $87 PILOT Agreement In December 2016, the Company entered into a Payment in Lieu of Taxes (“PILOT”) agreement commonly offered in Georgia by local community development programs to encourage industry development. The net effect of the PILOT agreement is to provide the Company with incentives through the abatement of local, city and county property taxes and to provide financing for improvements to the Company’s Georgia plant (the “Project”). In connection with the PILOT agreement, the Putman County Development Authority provides a credit facility for up to $10,000, which can be drawn upon to fund Project improvements and capital expenditures as defined in the agreement. If funds are drawn, the Company would pay transaction costs and debt service payments. The PILOT agreement requires interest payments of 6.00% per annum on outstanding balances, which are due each December 1st through maturity on December 1, 2021, at which time all unpaid principal and interest are due. The PILOT agreement is collateralized by the assets of the Project. No amounts have been drawn on this credit facility.

SHARE-BASED COMPENSATION

SHARE-BASED COMPENSATION	9 Months Ended
	Sep. 30, 2022
SHARE-BASED COMPENSATION
SHARE-BASED COMPENSATION	11. SHARE-BASED COMPENSATION Pursuant to the Legacy Housing Corporation 2018 Incentive Compensation Plan (the “Compensation Plan”), the Company may issue up to 10.0 million equity awards to employees, directors, consultants and nonemployee service providers in the form of stock options, stock and stock appreciation rights. Stock options may be granted with a contractual life of up to ten years. At September 30, 2022, the Company had 8.1 million shares available for grant under the Compensation Plan. In February 2019, the Company granted 120,000 restricted shares of its common stock to members of senior management. The shares were granted on February 7, 2019 and had a grant date fair value of $1,636. The shares vest at a rate of 14.3% annually, beginning on February 7, 2019, and becoming fully vested on February 7, 2025. During the second quarter of 2020, 42,857 of these restricted shares were forfeited due to the departure of a member of senior management. In December 2020, the Company granted 2,022 restricted shares of its common stock to the independent directors on the Company’s Board of Directors. The shares were granted on December 2, 2020 and had a grant date fair value of $30. The shares become fully vested on October 4, 2021. In November 2021, the Company granted 1,202 restricted shares of its common stock to the independent directors on the Company’s Board of Directors. The shares were granted on November 30, 2021 and had a grant date fair value of $30. The shares become fully vested on October 24, 2022. In January 2022, the Company granted 150,000 restricted shares of its common stock to the Executive Chairman of the Company pursuant to an amended and restated employment agreement. The shares were granted on January 6, 2022 and had a grant date fair value of $3,741. The shares became fully vested upon grant. On January 6, 2022, the Company gave contingent equity awards of 350,000 shares of the Company’s restricted stock to the Executive Chairman of the Company pursuant to an amended and restated employment agreement. An equity award of 175,000 shares will be granted if the Company’s stock price reaches and remains for a period of fifteen 175,000 shares of the Company’s restricted stock will be granted if the Company’s stock price reaches and remains for a period of fifteen On June 7, 2022, the Company granted 14,700 restricted shares of its common stock to the Chief Executive Officer of the Company pursuant to an employment agreement. The shares were granted on June 7, 2022 and had a grant date fair value of $235. One On June 7, 2022, the Company granted 301 restricted shares of its common stock to an independent director on the Company’s Board of Directors. The shares were granted on June 7, 2022 and had a grant date fair value of $5. The shares become fully vested on October 24, 2022. The following is a summary of restricted stock units (the “RSU”) activity (in thousands, except per unit data): ​ ​ ​ ​ ​ ​ ​ ​ Number of Units ​ ​ Weighted Average Grant Date Fair Value Per Unit Nonvested, January 1, 2022 ​ 35 ​ $ 14.01 Granted ​ 515 ​ $ 11.80 Vested ​ (158) ​ $ 24.33 Nonvested, September 30, 2022 ​ 392 ​ $ 6.93 ​ As of September 30, 2022, approximately 392,000 RSUs remained unvested. Unrecognized compensation expense related to these RSUs at September 30, 2022 was $1,943 and is expected to be recognized over 1.80 years. The Company granted 34,626 incentive stock options to a member of senior management. The options were granted on August 10, 2020 at an exercise price of $14.44 per share. The options vest at a rate of 20.0% annually, beginning on August 10, 2021, and becoming fully vested on August 10, 2025. All options expire ten years after the date of grant. Weighted-average assumptions used in the Black-Scholes option pricing model for stock options granted were as follows: risk free interest rate of 0.24%; dividend yield of 0.00%; expected volatility of common stock of 75.0% and expected life of options of 6.5 years. During the first quarter of 2022, 27,701 of these options were forfeited due to the departure of the senior manager. The Company granted 55,490 incentive stock options to a member of management. The options were granted on September 23, 2021 at an exercise price of $18.02 per share. The options vest at a rate of 10.0% annually, beginning on September 23, 2022, and becoming fully vested on September 23, 2031. All options expire ten years after the date of grant. Weighted-average assumptions used in the Black-Scholes option pricing model for stock options granted were as follows: risk free interest rate of 1.41%; dividend yield of 0.00%; expected volatility of common stock of 75.0% and expected life of options of 7.8 years. The Company granted 62,460 incentive stock options to the Chief Executive Officer. The options were granted on June 7, 2022 at an exercise price of $16.01 per share. The options vest at a rate of 10.0% annually, beginning on June 7, 2023, and becoming fully vested on June 7, 2032. All options expire ten years after the date of grant. Weighted-average assumptions used in the Black-Scholes option pricing model for stock options granted were as follows: risk free interest rate of 2.98%; dividend yield of 0.00%; expected volatility of common stock of 45.7% and expected life of options of 7.8 years. The Company granted options to purchase 900,000 shares of the Company’s stock to the Chief Executive Officer. An option to purchase 300,000 shares of the Company’s stock was granted on June 7, 2022 at an exercise price of $36.00 per share and an option to purchase 600,000 shares of the Company’s stock was granted on June 7, 2022 at an exercise price of $48.00 per share. The options vest at a rate of 10.0% annually, beginning on June 7, 2023, and becoming fully vested on June 7, 2032. All options expire ten years after the date of grant. Weighted-average assumptions used in the Black-Scholes option pricing model for stock options granted were as follows: risk free interest rate of 2.98%; dividend yield of 0.00%; expected volatility of common stock of 45.7% and expected life of options of 7.8 years. The Company granted 62,460 incentive stock options to the Chief Financial Officer. The options were granted on June 7, 2022 at an exercise price of $16.01 per share. The options vest at a rate of 10.0% annually, beginning on June 7, 2023, and becoming fully vested on June 7, 2032. All options expire ten years after the date of grant. Weighted-average assumptions used in the Black-Scholes option pricing model for stock options granted were as follows: risk free interest rate of 2.98%; dividend yield of 0.00%; expected volatility of common stock of 45.7% and expected life of options of 7.8 years. The following is a summary of option activity (number of units in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Number of Units Weighted Average Exercise Price Per Unit Weighted Average Grant Date Fair Value Per Unit Weighted Average Remaining Contractual Life Aggregate Intrinsic Value Outstanding, January 1, 2022 ​ 83 ​ $ 16.83 ​ $ 12.27 ​ 9.36 ​ ​ ​ Granted ​ 1,025 ​ $ 40.59 ​ $ 4.99 ​ 9.69 ​ ​ ​ Exercised ​ — ​ $ — ​ $ — ​ — ​ ​ ​ Forfeited ​ (28) ​ ​ 14.44 ​ ​ 8.67 ​ — ​ ​ ​ Outstanding, September 30, 2022 ​ 1,080 ​ $ 39.54 ​ $ 5.41 ​ 9.66 ​ $ — Exercisable, September 30, 2022 ​ 5 ​ $ 18.02 ​ $ 14.07 ​ 8.99 ​ $ — ​ As of September 30, 2022, approximately 1,075,000 options remained nonvested. Unrecognized compensation expense related to these options at September 30, 2022 was $5,655 and is expected to be recognized over 9.66 years. On March 31, 2020, the Company filed a registration statement on Form S-8 to register with the SEC approximately 2.3 million shares of Legacy common stock available for issuance under the 2018 Incentive Compensation Plan. The registration statement became effective upon filing.

INCOME TAXES

INCOME TAXES	9 Months Ended
	Sep. 30, 2022
INCOME TAXES
INCOME TAXES	12. INCOME TAXES The provision for income tax expense for the nine months ended September 30, 2022 and 2021 was $10,210 and $7,427, respectively. The effective tax rate for the nine months ended September 30, 2022 was 17.5% and differs from the federal statutory rate of 21% primarily due to a federal tax credit for energy efficient construction and partially offset by state income taxes. The effective tax rate for the nine months ended September 30, 2021 was 17.0% and differs from the federal statutory rate of 21% primarily due to a federal tax credit for energy efficient construction and partially offset by state income taxes. ​

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Sep. 30, 2022
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	13. COMMITMENTS AND CONTINGENCIES As of January 1, 2020, the Company instituted a self-insured health benefits plan with a stop-loss policy, which provides medical benefits to employees electing coverage under the plan. The Company estimates and records costs for incurred but not reported medical claims and claim development. This reserve is based on historical experience and other assumptions, some of which are subjective. The Company will adjust its self-insured medical benefits reserve based on actual experience, estimated costs and changes to assumptions. At September 30, 2022 and December 31, 2021, the Company accrued a $206 and $373, respectively, liability for incurred but not reported claims. The Company is contingently liable under terms of repurchase agreements with financial institutions providing inventory financing for independent retailers of its products. These arrangements, which are customary in the industry, provide for the repurchase of products sold to retailers in the event of default by the retailer. The Company’s obligation under these repurchase agreements ceases upon the purchase of the home by the retail customer. The maximum amount for which the Company was liable under such agreements totaled $9,905 and $4,908 at September 30, 2022 and December 31, 2021, respectively, without reduction for the resale value of the homes. The Company considers its obligations on current contracts to be insignificant and accordingly have not recorded any reserve for repurchase commitment as of September 30, 2022 and December 31, 2021. Leases. Legal Matters The Company is party to certain legal proceedings that arise in the ordinary course and are incidental to its business. Certain of the claims pending against the Company in these proceedings allege, among other things, breach of contract and warranty, product liability and personal injury. The Company has determined that it is probable that it has some liability related to the claims. The Company has included legal reserves of $1,362 and $2,764 as of September 30, 2022 and December 31, 2021, respectively, in accrued liabilities on the accompanying condensed balance sheets. Although litigation is inherently uncertain, based on past experience and the information currently available, management does not believe that the currently pending and threatened litigation or claims will have a material adverse effect on the Company’s financial position, liquidity or results of operations. However, future events or circumstances currently unknown to management will determine whether the resolution of pending or threatened litigation or claims will ultimately have a material effect on the Company’s financial position, liquidity or results of operations in any future reporting periods.

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	9 Months Ended
	Sep. 30, 2022
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS	14. FAIR VALUE MEASUREMENTS The Company accounts for its investments and derivative instruments in accordance with ASC 820-10, Fair Value Measurement, Fair Value Measurement Level I Quoted prices are available in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level II Significant observable inputs other than quoted prices in active markets for which inputs to the valuation methodology include: (1) Quoted prices for similar assets or liabilities in active markets; (2) Quoted prices for identical or similar assets or liabilities in inactive markets; (3) Inputs other than quoted prices that are observable; (4) Inputs that are derived principally from or corroborated by observable market data by correlation or other means. If the asset or liability has a specified (contractual) term, the Level II input must be observable for substantially the full term of the asset or liability. Level III Significant unobservable inputs that reflect an entity’s own assumptions that market participants would use in pricing the assets or liabilities. The asset or liability fair value measurement level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The Company has used derivatives to manage risks related to interest rate movements. The Company does not enter into derivative contracts for speculative purposes. Interest rate swap contracts are recognized as assets or liabilities on the balance sheets and are measured at fair value. The fair value was calculated and provided by the lender, a Level II valuation technique. Management reviewed the fair values for the instruments as provided by the lender and determined the related asset and liability to be an accurate estimate of future gains and losses to the Company. The Company is not a party to any interest rate swaps as of September 30, 2022. Fair Value of Financial Instruments The Company’s financial instruments consist primarily of cash and cash equivalents, accounts receivable, consumer loans, MHP Notes, other note receivables, accounts payable, lines of credit, notes payable, and dealer portion of consumer loans. The carrying amounts of cash and cash equivalents, accounts receivable, and accounts payable approximate their respective fair values because of the short-term maturities or expected settlement dates of these instruments. This is considered a Level I valuation technique. The lines of credit, notes payable, part of the MHP Notes and part of the other note receivables have variable interest rates that reflect market rates and their fair value approximates their carrying value. This is considered a Level II valuation technique. The Company also assessed the fair value of the consumer loans receivable, the fixed rate MHP Notes and the portion of other note receivables with fixed rates based on the discounted value of the remaining principal and interest cash flows. The Company determined that the fair value of the consumer loan portfolio was approximately $134,500 compared to the book value of $134,450 as of September 30, 2022, and a fair value of approximately $125,600 compared to the book value of $125,623 as of December 31, 2021. The Company determined that the fair value of the fixed rate MHP Notes was approximately $116,900 compared to the book value of $118,300 as of September 30, 2022, and a fair value of approximately $83,000 compared to the book value of $83,773 as of December 31, 2021. The Company determined that the fair value of the fixed rate other notes was approximately $19,700 compared to the book value of $20,759 as of September 30, 2022, and a fair value of approximately $38,500 compared to the book value of $38,886 as of December 31, 2021. This is a Level III valuation technique. ​

EARNINGS PER SHARE

EARNINGS PER SHARE	9 Months Ended
	Sep. 30, 2022
EARNINGS PER SHARE
EARNINGS PER SHARE	15. EARNINGS PER SHARE Basic earnings per common share (“EPS”) is computed based on the weighted-average number of common shares outstanding during each reporting period. Diluted EPS is based on the weighted-average number of common shares outstanding plus the number of additional shares that would have been outstanding had the dilutive common shares been issued. The following table reconciles the numerators and denominators used in the computations of both basic and diluted EPS. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three months ended ​ Nine months ended ​ ​ September 30, ​ September 30, ​ ​ 2022 2021 ​ 2022 2021 Numerator: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income (in 000's) ​ $ 14,735 ​ $ 12,993 ​ $ 48,088 ​ $ 36,341 Denominator: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Basic weighted-average common shares outstanding ​ ​ 24,406,020 ​ ​ 24,204,362 ​ ​ 24,356,809 ​ ​ 24,202,053 Effect of dilutive securities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Restricted stock grants ​ ​ 260,114 ​ ​ 13,280 ​ ​ 267,796 ​ ​ 10,478 Stock options ​ ​ 712,982 ​ ​ 66,024 ​ ​ 399,883 ​ ​ 67,315 Diluted weighted-average common shares outstanding ​ ​ 25,379,116 ​ ​ 24,283,666 ​ ​ 25,024,488 ​ ​ 24,279,846 Earnings per share attributable to Legacy Housing Corporation ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Basic ​ $ 0.60 ​ $ 0.54 ​ $ 1.97 ​ $ 1.50 Diluted ​ $ 0.58 ​ $ 0.54 ​ $ 1.92 ​ $ 1.50 ​

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	9 Months Ended
	Sep. 30, 2022
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS	16. RELATED PARTY TRANSACTIONS Bell Mobile Homes, a retailer owned by one of the Company’s significant owners, purchases manufactured homes from the Company. Accounts receivable balances due from Bell Mobile Homes were $57 and $1 as of September 30, 2022 and December 31, 2021, respectively. Accounts payable balances due to Bell Mobile Homes for maintenance and related services were $57 and $49 as of September 30, 2022 and December 31, 2021, respectively. Home sales to Bell Mobile Homes were $695 and $1,750 for the three months ended September 30, 2022 and 2021, respectively, and $2,550 and $3,143 for the nine months ended September 30, 2022 and 2021, respectively. Shipley Bros., Ltd. (“Shipley Bros.”), a retailer owned by one of the Company’s significant shareholders, purchases manufactured homes from the Company. Home sales to Shipley Bros. were $524 and $1,047 for the three months ended September 30, 2022 and 2021, respectively, and $2,235 and $2,486 for the nine months ended September 30, 2022 and 2021, respectively. Accounts receivable balances due from Shipley Bros. were $117 and $0 as of September 30, 2022 and December 31, 2021, respectively. There were no accounts payable balances due to Shipley Bros. as of September 30, 2022 and December 31, 2021, respectively.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	9 Months Ended
	Sep. 30, 2022
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS	17. SUBSEQUENT EVENTS On November 3, 2022, Legacy’s Board of Directors unanimously approved a stock repurchase program that will enable the Company to repurchase up to $10,000 of its outstanding common stock. The timing and amount of any shares purchased will be determined by the Company’s management based on its evaluation of market conditions and other factors. The repurchase program will be in effect until October 31, 2025. In connection with the preparation of these financial statements, an evaluation of subsequent events was performed through the date of filing.

NATURE OF OPERATIONS (Policies)

NATURE OF OPERATIONS (Policies)	9 Months Ended
	Sep. 30, 2022
NATURE OF OPERATIONS
Basis of Presentation	Basis of Presentation The accompanying unaudited interim condensed financial statements as of September 30, 2022 and for the three and nine months ended September 30, 2022 and 2021, respectively, have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission ("SEC") as required by Regulation S-X, Rule 8-03. In the opinion of management, the unaudited interim financial statements have been prepared on the same basis as the audited financial statements, and include all adjustments, consisting only of normal recurring adjustments, necessary for the fair statement of the Company's financial position for the periods presented. The results for the three and nine months ended September 30, 2022 are not necessarily indicative of the results to be expected for the year ending December 31, 2022, or any other period. The accompanying balance sheet as of December 31, 2021 was derived from audited financial statements included in the Company's annual report on Form 10-K for the year ended December 31, 2021 (the "Form 10-K"). The accompanying financial statements do not include all of the information and footnotes required by GAAP for annual financial statements. Accordingly, they should be read in conjunction with the audited financial statements and notes thereto included in the Form 10-K. Certain amounts in the prior period financial statements have been reclassified to conform to the presentation of the current period financial statements. These reclassifications had no effect on the previously reported net income.
Restatement of Previously Issued Condensed Financial Statements (unaudited)	Restatement of Previously Issued Condensed Financial Statements (unaudited) As previously reported in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, the Company has restated its interim financial statements for the period ended September 30, 2021 to correct (i) an understatement of costs errantly assigned to accounts payable for inventory received but not invoiced, (ii) an overstatement of prepaid inventory and an understatement of cost of product sales and property, plant & equipment, (iii) an overstatement in finished goods inventory and an understatement of cost of product sales, (iv) a reclassification between prepaid expenses and other current assets and other assets, (v) a reclassification between prepaid expenses and other current assets and lines of credit, and (vi) a change in accrued liabilities and income tax expense. The effects of the restatement on the line items within the Company’s condensed statement of income for the three months ended September 30, 2021 were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended September 30, 2021 ​ ​ As ​ ​ ​ ​ ​ ​ ​ Originally ​ ​ ​ As ​ Reported Adjustments Restated ​ Operating expenses: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Cost of product sale ​ $ 33,392 ​ $ 2,284 ​ $ 35,676 ​ Income from operations ​ $ 17,612 ​ $ (2,284) ​ $ 15,328 ​ Income before income tax expense ​ $ 17,998 ​ $ (2,284) ​ $ 15,714 ​ Income tax expense ​ $ (3,265) ​ $ 544 ​ $ (2,721) ​ Net income ​ $ 14,733 ​ $ (1,740) ​ $ 12,993 ​ Net income per share: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Basic ​ $ 0.61 ​ $ (0.07) ​ $ 0.54 ​ Diluted ​ $ 0.61 ​ $ (0.07) ​ $ 0.54 ​ ​ The effects of the restatement on the line items within the Company’s condensed statement of income for the nine months ended September 30, 2021 were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine Months Ended September 30, 2021 ​ ​ As ​ ​ ​ ​ ​ ​ ​ Originally ​ ​ ​ As ​ Reported Adjustments Restated ​ Operating expenses: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Cost of product sale ​ $ 86,024 ​ $ (4) ​ $ 86,020 ​ Income from operations ​ $ 42,972 ​ $ 4 ​ $ 42,976 ​ Income before income tax expense ​ $ 43,764 ​ $ 4 ​ $ 43,768 ​ Income tax expense ​ $ (7,581) ​ $ 154 ​ $ (7,427) ​ Net income ​ $ 36,183 ​ $ 158 ​ $ 36,341 ​ Net income per share: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Basic ​ $ 1.50 ​ $ — ​ $ 1.50 ​ Diluted ​ $ 1.49 ​ $ 0.01 ​ $ 1.50 ​ ​ ​ The effects of the restatement on the line items within the Company’s condensed statement of cash flows for the nine months ended September 30, 2021 were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine months September 30, 2021 ​ ​ As Originally ​ ​ ​ As ​ ​ Reported ​ Adjustments ​ Restated Operating activities: ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income ​ $ 36,183 ​ $ 158 ​ $ 36,341 Inventories ​ $ (4,595) ​ $ 257 ​ $ (4,338) Prepaid expenses and other current assets ​ $ (2,571) ​ $ 2,286 ​ $ (285) Other assets ​ $ (2,352) ​ $ (332) ​ $ (2,684) Accounts payable ​ $ (4,027) ​ $ (1,983) ​ $ (6,010) Accrued liabilities ​ $ 1,583 ​ $ (154) ​ $ 1,429 Net cash used in operating activities ​ $ 50,226 ​ $ 232 ​ $ 50,458 Investing activities: ​ ​ ​ ​ ​ ​ ​ ​ ​ Purchases of property, plant and equipment ​ $ (4,596) ​ $ (47) ​ $ (4,643) Net cash used in investing activities ​ $ (22,348) ​ $ (47) ​ $ (22,395) Financing activities: ​ ​ ​ ​ ​ ​ ​ ​ ​ Payments on lines of credit ​ $ (103,165) ​ $ (185) ​ $ (103,350) Net cash provided by financing activities ​ $ (27,793) ​ $ (185) ​ $ (27,978)
Use of Estimates	Use of Estimates The preparation of our financial statements in conformity with GAAP requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of income and expenses during the reporting period. Material estimates that are susceptible to significant change in the near term primarily relate to the determination of accounts receivable, loans to mobile home parks, consumer loans, other notes receivable, inventory obsolescence, income taxes, fair value of financial instruments and contingent liabilities. Actual results could differ from these estimates.
Revenue Recognition	Revenue Recognition Product sales Revenue from product sales is recognized at a point in time when the performance obligation under the terms of a contract with our customer is satisfied, which typically occurs upon delivery and transfer of title of the home, as this depicts when control of the promised good is transferred to our customers. For inventory financed sales, the independent dealer enters into a financing arrangement with the Company and is required to make monthly interest payments and an annual curtailment payment for the first two years. After three years, they are required to payoff any remaining principle balance. Interest income is separately recorded in the statement of operations. For other financed sales by the Company, the individual customer enters into a sales and financing contract and is required to make a down payment. These financed sales contain a significant financing component and any interest income is separately recorded in the statement of operations. Revenue is measured as the amount of consideration expected to be received in exchange for transferring the homes to the customers. Sales and other similar taxes collected concurrently with revenue-producing activities are excluded from revenue. The Company made an accounting policy election to account for any shipping and handling costs that occur after the transfer of control as a fulfillment cost that is accrued when control is transferred. Warranty obligations associated with the sale of a unit are assurance-type warranties for a period of twelve months that are a guarantee of the home’s intended functionality and, therefore, do not represent a distinct performance obligation within the context of the contract. The Company has elected to use the practical expedient to expense the incremental costs of obtaining a contract if the amortization period of the asset that the Company would have otherwise recognized is one year or less. Contract costs, which include commissions incurred related to the sale of homes, are expensed at the point-in-time when the related revenue is recognized. Warranty costs and contract costs are included in selling, general and administrative expenses in the statements of income. For the three months ended September 30, 2022 and 2021, sales to an independent third-party and its affiliates accounted for $5,226 or 10.7% and $2,335 or 4.8% of our product sales, respectively. For the nine months ended September 30, 2022 and 2021, sales to an independent third-party and its affiliates accounted for $11,420 or 7.3% and $7,399 or 6.1% of our product sales, respectively. For the three months ended September 30, 2022 and 2021, total cost of product sales included $2,711 and $3,978 of costs relating to subcontracted production for commercial sales, reimbursed dealer expenses for consignment sales, and certain other similar costs incurred for retail store and commercial sales subcontracted production for commercial sales, reimbursed dealer expenses for consignment sales, and certain other similar costs incurred for retail store and commercial sales Other revenue Disaggregation of Revenue ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three months ended ​ Nine months ended ​ ​ September 30, ​ September 30, ​ ​ 2022 2021 ​ 2022 2021 Product sales: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Direct sales ​ $ 12,325 ​ $ 8,434 ​ $ 34,933 ​ $ 17,093 Commercial sales ​ 13,784 ​ 12,198 ​ 42,147 ​ 37,840 Consignment sales ​ ​ 14,210 ​ ​ 18,641 ​ ​ 54,497 ​ ​ 43,381 Retail store sales ​ ​ 5,572 ​ ​ 5,929 ​ ​ 15,388 ​ ​ 15,435 Other (1) ​ 2,787 ​ 3,098 ​ 8,598 ​ 7,940 Total product sales ​ 48,678 ​ 48,300 ​ 155,563 ​ 121,689 Consumer and MHP loans interest: ​ ​ ​ ​ Interest - consumer installment notes ​ 4,559 ​ 4,019 ​ 13,717 ​ 12,208 Interest - MHP notes ​ 2,443 ​ 3,240 ​ 7,547 ​ 8,423 Total consumer and MHP loans interest ​ 7,002 ​ 7,259 ​ 21,264 ​ 20,631 Other ​ 1,645 ​ 911 ​ 4,637 ​ 2,679 Total net revenue ​ $ 57,325 ​ $ 56,470 ​ $ 181,464 ​ $ 144,999 (1) Other product sales revenue from ancillary products and services including parts, freight and other services
Share-Based Compensation	Share-Based Compensation The Company accounts for share-based compensation in accordance with the provisions of Accounting Standards Codification (“ASC”) 718, Compensation—Stock Compensation The fair value of each option grant with only service-based conditions is estimated using the Black-Scholes pricing model. The fair value of each restricted stock unit (the ”RSU”) with only service-based conditions is calculated based on the closing price of the Company’s common stock on the grant date. The fair value of each RSU with market based conditions is estimated using the Monte-Carlo Simulation valuation model. The fair value of stock option awards on the date of grant is estimated using the Black-Scholes option pricing model, which requires the Company to make certain predictive assumptions. The risk-free interest rate is based on the implied yield of U.S. Treasury zero-coupon securities that correspond to the expected life of the award. As a recently formed public entity with a small public float and limited trading of its common shares on the NASDAQ Global Market, it was not practicable for the Company to estimate the volatility of its common shares; therefore, management estimated volatility based on the historical volatilities of a small group of companies considered as close to comparable to the Company as available, all equally weighted, over the expected life of the option. Management concluded that this group is more characteristic of the Company’s business than a broad industry index. The expected life of awards granted represents the period of time that the awards are expected to be outstanding based on the “simplified” method, which is allowed for companies that cannot reasonably estimate the expected life of options based on its historical award exercise experience. The Company does not expect to pay dividends on its common stock. The fair value of RSU awards with market based conditions on the date of grant is estimated using the Monte-Carlo Simulation valuation model, and the Company uses the following methods to determine its underlying assumptions: expected volatilities are based on the Company’s historic stock price volatility; the expected term of the awards is based on performance measurement period; the risk-free interest rate is based on the U.S. Treasury bond yield issued with similar life terms to the expected life of the grant.
Accounts Receivable	Accounts Receivable Included in accounts receivable “net” are receivables from direct sales of mobile homes, sales of parts and supplies to customers, consignment fees and interest. Accounts receivable “dealer financed” are receivables for interest, fees and curtailments owed from dealers under their inventory finance agreements. Accounts receivables “net” are generally due within 30 days and are stated at amounts due from customers net of an allowance for doubtful accounts. Accounts receivables “dealer financed” are due upon receipt and are stated at amounts due from customers net of an allowance for doubtful accounts. Accounts outstanding longer than the contractual payment terms are considered past due. The Company determines the allowance by considering several factors, including the aging of the past due balance, the customer’s payment history, and the Company’s previous loss history. The Company establishes an allowance for doubtful accounts for amounts that are deemed to be uncollectible. On September 30, 2022 and December 31, 2021, the allowance for doubtful accounts totaled $666 and $343, respectively.
Leased Property	Leased Property The Company offers mobile home park operators the opportunity to lease mobile homes for rent in lieu of purchasing the homes for cash or under a longer-term financing agreement. In this arrangement title for the mobile homes remains with the Company. The standard lease agreement is typically for 96 months or 120 months. Under the lease arrangement, the lessee (mobile home park operator) uses the mobile homes as personal property to be rented as a residence at the lessee's mobile home park. The lessee makes monthly, periodic lease payments to the Company over the term of the lease. The lessee is responsible for maintaining the homes during the term of the lease. The lessee is also responsible for repairing all damages caused by force majeure events even in cases of total or partial loss of the property. At the end of the lease term or in the event of default, the lessee is required to deliver to the Company the homes with all improvements in good repair and condition in substantially the same condition as existed at the commencement of the lease. The lessee may terminate the lease with 30 days written notice to the Company and pay a lease termination fee equal to 10% of the remaining lease payments or six month’s rent, whichever is greater. The lessee has an option to purchase the homes at the end of the lease term for fair market value based on an agreed upon determination of fair market value by both parties using comparable sales, recent appraisal, or NADA official guidance. The lessee must provide the Company with 30 days written notice prior to expiration of the lease of intent to purchase the property for fair market value. The lease also includes a renewal option whereby the lessee has the option to extend the lease for an additional 48 months (the extended term) at the same terms and conditions as the original lease. The lessee must notify the Company of the intent to exercise the renewal extension option not less than six months prior to expiration of the lease term. The leased mobile homes are included in other assets on the Company’s balance sheet, capitalized at manufactured cost and depreciated over a 15 year useful life. Homes returned to the Company upon expiration of the lease or in the event of default will be sold by the Company through its standard sales and distribution channels. Depreciation expense for the leased property was $184 and $143 for the three months ended September 30, 2022 and 2021, respectively, and $538 and $373 for the nine months ended September 30, 2022 and 2021, respectively. ​ ​ Future minimum lease income under all operating leases for each of the next five years at September 30, 2022, are as follows: ​ ​ ​ ​ ​ 2022 (3 months) $ 538 2023 ​ 2,152 2024 ​ 2,152 2025 ​ 2,152 2026 ​ 2,152 Thereafter ​ 4,890 Total ​ $ 14,036
Recent Accounting Pronouncements	Recent Accounting Pronouncements The Company has elected to use longer phase-in periods for the adoption of new or revised financial accounting standards under the JOBS Act as an emerging growth company. In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-02, Leases (Topic 842) liabilities In June 2016, the FASB issued ASU 2016-13 Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments From time to time, new accounting pronouncements are issued by the FASB and other regulatory bodies that are adopted by the Company as of the specified effective dates. Unless otherwise discussed, management believes that the impact of recently issued standards, which are not yet effective, will not have a material impact on the Company’s financial statements upon adoption.
Fair Value Measurements	The Company accounts for its investments and derivative instruments in accordance with ASC 820-10, Fair Value Measurement, Fair Value Measurement Level I Quoted prices are available in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level II Significant observable inputs other than quoted prices in active markets for which inputs to the valuation methodology include: (1) Quoted prices for similar assets or liabilities in active markets; (2) Quoted prices for identical or similar assets or liabilities in inactive markets; (3) Inputs other than quoted prices that are observable; (4) Inputs that are derived principally from or corroborated by observable market data by correlation or other means. If the asset or liability has a specified (contractual) term, the Level II input must be observable for substantially the full term of the asset or liability. Level III Significant unobservable inputs that reflect an entity’s own assumptions that market participants would use in pricing the assets or liabilities. The asset or liability fair value measurement level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The Company has used derivatives to manage risks related to interest rate movements. The Company does not enter into derivative contracts for speculative purposes. Interest rate swap contracts are recognized as assets or liabilities on the balance sheets and are measured at fair value. The fair value was calculated and provided by the lender, a Level II valuation technique. Management reviewed the fair values for the instruments as provided by the lender and determined the related asset and liability to be an accurate estimate of future gains and losses to the Company. The Company is not a party to any interest rate swaps as of September 30, 2022.
Fair Value of Financial Instruments	Fair Value of Financial Instruments The Company’s financial instruments consist primarily of cash and cash equivalents, accounts receivable, consumer loans, MHP Notes, other note receivables, accounts payable, lines of credit, notes payable, and dealer portion of consumer loans. The carrying amounts of cash and cash equivalents, accounts receivable, and accounts payable approximate their respective fair values because of the short-term maturities or expected settlement dates of these instruments. This is considered a Level I valuation technique. The lines of credit, notes payable, part of the MHP Notes and part of the other note receivables have variable interest rates that reflect market rates and their fair value approximates their carrying value. This is considered a Level II valuation technique. The Company also assessed the fair value of the consumer loans receivable, the fixed rate MHP Notes and the portion of other note receivables with fixed rates based on the discounted value of the remaining principal and interest cash flows. The Company determined that the fair value of the consumer loan portfolio was approximately $134,500 compared to the book value of $134,450 as of September 30, 2022, and a fair value of approximately $125,600 compared to the book value of $125,623 as of December 31, 2021. The Company determined that the fair value of the fixed rate MHP Notes was approximately $116,900 compared to the book value of $118,300 as of September 30, 2022, and a fair value of approximately $83,000 compared to the book value of $83,773 as of December 31, 2021. The Company determined that the fair value of the fixed rate other notes was approximately $19,700 compared to the book value of $20,759 as of September 30, 2022, and a fair value of approximately $38,500 compared to the book value of $38,886 as of December 31, 2021. This is a Level III valuation technique.

NATURE OF OPERATIONS (Tables)

NATURE OF OPERATIONS (Tables)	9 Months Ended
	Sep. 30, 2022
NATURE OF OPERATIONS
Schedule of restatement of previously issued condensed consolidated financial statements	The effects of the restatement on the line items within the Company’s condensed statement of income for the three months ended September 30, 2021 were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended September 30, 2021 ​ ​ As ​ ​ ​ ​ ​ ​ ​ Originally ​ ​ ​ As ​ Reported Adjustments Restated ​ Operating expenses: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Cost of product sale ​ $ 33,392 ​ $ 2,284 ​ $ 35,676 ​ Income from operations ​ $ 17,612 ​ $ (2,284) ​ $ 15,328 ​ Income before income tax expense ​ $ 17,998 ​ $ (2,284) ​ $ 15,714 ​ Income tax expense ​ $ (3,265) ​ $ 544 ​ $ (2,721) ​ Net income ​ $ 14,733 ​ $ (1,740) ​ $ 12,993 ​ Net income per share: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Basic ​ $ 0.61 ​ $ (0.07) ​ $ 0.54 ​ Diluted ​ $ 0.61 ​ $ (0.07) ​ $ 0.54 ​ ​ The effects of the restatement on the line items within the Company’s condensed statement of income for the nine months ended September 30, 2021 were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine Months Ended September 30, 2021 ​ ​ As ​ ​ ​ ​ ​ ​ ​ Originally ​ ​ ​ As ​ Reported Adjustments Restated ​ Operating expenses: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Cost of product sale ​ $ 86,024 ​ $ (4) ​ $ 86,020 ​ Income from operations ​ $ 42,972 ​ $ 4 ​ $ 42,976 ​ Income before income tax expense ​ $ 43,764 ​ $ 4 ​ $ 43,768 ​ Income tax expense ​ $ (7,581) ​ $ 154 ​ $ (7,427) ​ Net income ​ $ 36,183 ​ $ 158 ​ $ 36,341 ​ Net income per share: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Basic ​ $ 1.50 ​ $ — ​ $ 1.50 ​ Diluted ​ $ 1.49 ​ $ 0.01 ​ $ 1.50 ​ ​ ​ The effects of the restatement on the line items within the Company’s condensed statement of cash flows for the nine months ended September 30, 2021 were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine months September 30, 2021 ​ ​ As Originally ​ ​ ​ As ​ ​ Reported ​ Adjustments ​ Restated Operating activities: ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income ​ $ 36,183 ​ $ 158 ​ $ 36,341 Inventories ​ $ (4,595) ​ $ 257 ​ $ (4,338) Prepaid expenses and other current assets ​ $ (2,571) ​ $ 2,286 ​ $ (285) Other assets ​ $ (2,352) ​ $ (332) ​ $ (2,684) Accounts payable ​ $ (4,027) ​ $ (1,983) ​ $ (6,010) Accrued liabilities ​ $ 1,583 ​ $ (154) ​ $ 1,429 Net cash used in operating activities ​ $ 50,226 ​ $ 232 ​ $ 50,458 Investing activities: ​ ​ ​ ​ ​ ​ ​ ​ ​ Purchases of property, plant and equipment ​ $ (4,596) ​ $ (47) ​ $ (4,643) Net cash used in investing activities ​ $ (22,348) ​ $ (47) ​ $ (22,395) Financing activities: ​ ​ ​ ​ ​ ​ ​ ​ ​ Payments on lines of credit ​ $ (103,165) ​ $ (185) ​ $ (103,350) Net cash provided by financing activities ​ $ (27,793) ​ $ (185) ​ $ (27,978)
Schedule of disaggregation of revenue	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three months ended ​ Nine months ended ​ ​ September 30, ​ September 30, ​ ​ 2022 2021 ​ 2022 2021 Product sales: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Direct sales ​ $ 12,325 ​ $ 8,434 ​ $ 34,933 ​ $ 17,093 Commercial sales ​ 13,784 ​ 12,198 ​ 42,147 ​ 37,840 Consignment sales ​ ​ 14,210 ​ ​ 18,641 ​ ​ 54,497 ​ ​ 43,381 Retail store sales ​ ​ 5,572 ​ ​ 5,929 ​ ​ 15,388 ​ ​ 15,435 Other (1) ​ 2,787 ​ 3,098 ​ 8,598 ​ 7,940 Total product sales ​ 48,678 ​ 48,300 ​ 155,563 ​ 121,689 Consumer and MHP loans interest: ​ ​ ​ ​ Interest - consumer installment notes ​ 4,559 ​ 4,019 ​ 13,717 ​ 12,208 Interest - MHP notes ​ 2,443 ​ 3,240 ​ 7,547 ​ 8,423 Total consumer and MHP loans interest ​ 7,002 ​ 7,259 ​ 21,264 ​ 20,631 Other ​ 1,645 ​ 911 ​ 4,637 ​ 2,679 Total net revenue ​ $ 57,325 ​ $ 56,470 ​ $ 181,464 ​ $ 144,999 (1) Other product sales revenue from ancillary products and services including parts, freight and other services
Schedule of future minimum lease income	​ ​ ​ ​ ​ 2022 (3 months) $ 538 2023 ​ 2,152 2024 ​ 2,152 2025 ​ 2,152 2026 ​ 2,152 Thereafter ​ 4,890 Total ​ $ 14,036

CONSUMER LOANS (Tables)

CONSUMER LOANS (Tables)	9 Months Ended
	Sep. 30, 2022
CONSUMER LOANS
Schedule of consumer loans, net of allowance for loan losses and deferred financing fees	​ ​ ​ ​ ​ ​ ​ ​ ​ As of September 30, As of December 31, ​ ​ 2022 ​ 2021 Consumer loans receivable ​ $ 137,752 ​ $ 129,119 Loan discount and deferred financing fees ​ (2,498) ​ (2,612) Allowance for loan losses ​ (804) ​ (884) Consumer loans receivable, net ​ $ 134,450 ​ $ 125,623
Schedule of allowance for loan losses	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three months ended September 30, ​ Nine Months Ended September 30, ​ ​ ​ 2022 2021 ​ 2022 2021 Allowance for loan losses, beginning of period ​ $ 763 ​ $ 814 ​ $ 884 ​ $ 905 ​ Provision for loan losses ​ 54 ​ 27 ​ (203) ​ 586 ​ Charge offs (recoveries) ​ (13) ​ (39) ​ 123 ​ (689) ​ Allowance for loan losses ​ $ 804 ​ $ 802 ​ $ 804 ​ $ 802 ​
Schedule of impaired and general reserve for allowance for loan losses	​ ​ ​ ​ ​ ​ ​ ​ ​ As of September 30, As of December 31, ​ ​ 2022 ​ 2021 Total consumer loans ​ $ 137,752 ​ $ 129,119 Allowance for loan losses ​ $ 804 ​ $ 884 Impaired loans individually evaluated for impairment ​ $ 1,350 ​ $ 1,239 Specific reserve against impaired loans ​ $ 548 ​ $ 533 Other loans collectively evaluated for allowance ​ $ 136,402 ​ $ 127,880 General allowance for loan losses ​ $ 256 ​ $ 351
Schedule of consumer loans receivable that are past due	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ As of September 30, ​ As of December 31, ​ ​ ​ 2022 ​ % ​ 2021 ​ % Total consumer loans receivable ​ $ 137,752 100.0 $ 129,119 100.0 Past due consumer loans: ​ ​ 31 - 60 days past due ​ $ 744 0.5 ​ $ 594 0.5 61 - 90 days past due ​ 106 0.1 ​ 407 0.3 91 - 120 days past due ​ 204 0.1 ​ 114 0.1 Greater than 120 days past due ​ 1,147 0.8 ​ 967 0.7 Total past due ​ $ 2,201 1.6 ​ $ 2,082 1.6

OTHER NOTES RECEIVABLE (Tables)

OTHER NOTES RECEIVABLE (Tables)	9 Months Ended
	Sep. 30, 2022
OTHER NOTES RECEIVABLE
Schedule of other notes receivable, net of allowance for loan losses and deferred financing fees	​ ​ ​ ​ ​ ​ ​ ​ ​ As of September 30, As of December 31, ​ ​ 2022 ​ 2021 Outstanding principal balance ​ $ 22,119 ​ $ 42,074 Allowance for loan losses ​ (53) ​ (74) Total ​ $ 22,066 ​ $ 42,000

LEASES (Tables)

LEASES (Tables)	9 Months Ended
	Sep. 30, 2022
LEASES
Schedule of future minimum lease payments under operating lease liabilities	​ ​ ​ ​ ​ 2022 (3 months) $ 176 2023 ​ 708 2024 ​ 644 2025 ​ 608 2026 ​ 546 Thereafter ​ 430 Total lease payments ​ $ 3,112 Less amount representing interest ​ ​ (88) Total lease liability ​ $ 3,024 Less current lease liability ​ ​ (668) Total non-current lease liability ​ $ 2,356

INVENTORIES (Tables)

INVENTORIES (Tables)	9 Months Ended
	Sep. 30, 2022
INVENTORIES
Schedule of inventory	​ ​ ​ ​ ​ ​ ​ ​ ​ As of September 30, As of December 31, ​ ​ 2022 ​ 2021 Raw materials ​ $ 19,321 ​ $ 15,431 Work in progress ​ 682 ​ 714 Finished goods (1) ​ 34,362 ​ 28,195 Allowance for obsolescence ​ ​ (363) ​ ​ (432) Total ​ $ 54,002 ​ $ 43,908 (1) Finished goods includes $5,494 and $2,678 as of September 30, 2022 and December 31, 2021, respectively , held for more than twelve months and classified as long-term.

PROPERTY, PLANT AND EQUIPMENT (

PROPERTY, PLANT AND EQUIPMENT (Tables)	9 Months Ended
	Sep. 30, 2022
PROPERTY, PLANT AND EQUIPMENT
Schedule of property, plant and equipment	​ ​ ​ ​ ​ ​ ​ ​ ​ As of September 30, As of December 31, ​ ​ 2022 ​ 2021 Land ​ $ 14,953 ​ $ 14,949 Buildings and leasehold improvements ​ 16,488 ​ 13,722 Vehicles ​ 1,556 ​ 1,682 Machinery and equipment ​ 5,679 ​ 5,058 Furniture and fixtures ​ 300 ​ 298 Total ​ 38,976 ​ 35,709 Less accumulated depreciation ​ (9,049) ​ (8,193) Total property, plant and equipment ​ $ 29,927 ​ $ 27,516

OTHER ASSETS (Tables)

OTHER ASSETS (Tables)	9 Months Ended
	Sep. 30, 2022
OTHER ASSETS.
Schedule of Other Assets	​ ​ ​ ​ ​ ​ ​ ​ ​ As of September 30, As of December 31, ​ ​ 2022 ​ 2021 Prepaid rent ​ $ 349 ​ $ 248 Other ​ 333 ​ 332 Repossessed homes ​ 960 ​ 517 Total ​ $ 1,642 ​ $ 1,097

ACCRUED LIABILITIES (Tables)

ACCRUED LIABILITIES (Tables)	9 Months Ended
	Sep. 30, 2022
ACCRUED LIABILITIES.
Schedule of accrued liabilities	​ ​ ​ ​ ​ ​ ​ ​ ​ As of September 30, As of December 31, ​ ​ 2022 ​ 2021 Warranty reserve ​ $ 2,614 ​ $ 2,876 Litigation reserve ​ 1,362 ​ 2,764 Payroll ​ ​ 1,479 ​ ​ 1,685 Portfolio taxes and title ​ 2,280 ​ 2,467 Property tax ​ ​ 699 ​ ​ 546 Dealer rebates ​ ​ 1,171 ​ ​ 1,160 Sales tax ​ 301 ​ 310 Federal and state income taxes ​ 5,787 ​ 7,445 Other ​ 2,053 ​ 1,433 Total accrued liabilities ​ $ 17,746 ​ $ 20,686

SHARE-BASED COMPENSATION (Table

SHARE-BASED COMPENSATION (Tables)	9 Months Ended
	Sep. 30, 2022
SHARE-BASED COMPENSATION
Schedule of restricted stock units activity	The following is a summary of restricted stock units (the “RSU”) activity (in thousands, except per unit data): ​ ​ ​ ​ ​ ​ ​ ​ Number of Units ​ ​ Weighted Average Grant Date Fair Value Per Unit Nonvested, January 1, 2022 ​ 35 ​ $ 14.01 Granted ​ 515 ​ $ 11.80 Vested ​ (158) ​ $ 24.33 Nonvested, September 30, 2022 ​ 392 ​ $ 6.93
Schedule of stock option activity	The following is a summary of option activity (number of units in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Number of Units Weighted Average Exercise Price Per Unit Weighted Average Grant Date Fair Value Per Unit Weighted Average Remaining Contractual Life Aggregate Intrinsic Value Outstanding, January 1, 2022 ​ 83 ​ $ 16.83 ​ $ 12.27 ​ 9.36 ​ ​ ​ Granted ​ 1,025 ​ $ 40.59 ​ $ 4.99 ​ 9.69 ​ ​ ​ Exercised ​ — ​ $ — ​ $ — ​ — ​ ​ ​ Forfeited ​ (28) ​ ​ 14.44 ​ ​ 8.67 ​ — ​ ​ ​ Outstanding, September 30, 2022 ​ 1,080 ​ $ 39.54 ​ $ 5.41 ​ 9.66 ​ $ — Exercisable, September 30, 2022 ​ 5 ​ $ 18.02 ​ $ 14.07 ​ 8.99 ​ $ —

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	9 Months Ended
	Sep. 30, 2022
EARNINGS PER SHARE
Summary of reconciliation of the numerators and denominators used in the computations of both basic and diluted EPS	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three months ended ​ Nine months ended ​ ​ September 30, ​ September 30, ​ ​ 2022 2021 ​ 2022 2021 Numerator: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income (in 000's) ​ $ 14,735 ​ $ 12,993 ​ $ 48,088 ​ $ 36,341 Denominator: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Basic weighted-average common shares outstanding ​ ​ 24,406,020 ​ ​ 24,204,362 ​ ​ 24,356,809 ​ ​ 24,202,053 Effect of dilutive securities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Restricted stock grants ​ ​ 260,114 ​ ​ 13,280 ​ ​ 267,796 ​ ​ 10,478 Stock options ​ ​ 712,982 ​ ​ 66,024 ​ ​ 399,883 ​ ​ 67,315 Diluted weighted-average common shares outstanding ​ ​ 25,379,116 ​ ​ 24,283,666 ​ ​ 25,024,488 ​ ​ 24,279,846 Earnings per share attributable to Legacy Housing Corporation ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Basic ​ $ 0.60 ​ $ 0.54 ​ $ 1.97 ​ $ 1.50 Diluted ​ $ 0.58 ​ $ 0.54 ​ $ 1.92 ​ $ 1.50

NATURE OF OPERATIONS - IPO and

NATURE OF OPERATIONS - IPO and Corporate Conversion (Details) - USD ($) $ / shares in Units, $ in Thousands			1 Months Ended		12 Months Ended
	Apr. 17, 2019	Jan. 01, 2018	Jan. 31, 2019	Dec. 31, 2018	Dec. 31, 2020
Nature of operations
Shares issued upon incorporation (in shares)		20,000,000
Shares repurchased	300,000				145,065
Share repurchase price (in dollars per share)	$ 10.20				$ 9.77
Value of shares authorized for repurchase					$ 10,000
IPO
Nature of operations
Shares issued from sale of common stock			600,000	4,000,000
Share price (in dollars per share)			$ 12	$ 12
Offering costs			$ 505	$ 4,504
Proceeds from IPO net of underwriting discounts and offering expenses			$ 6,695	$ 43,492

NATURE OF OPERATIONS - Condense

NATURE OF OPERATIONS - Condensed Consolidated Statements Of Income (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Sep. 30, 2022	Sep. 30, 2021
Operating expenses:
Cost of product sales	$ 33,510			$ 35,676			$ 104,648	$ 86,020
Income from operations	16,862			15,328			55,590	42,976
Income before income tax expense	17,571			15,714			58,298	43,768
Income tax expense	(2,836)			(2,721)			(10,210)	(7,427)
Net income	$ 14,735	$ 17,261	$ 16,092	$ 12,993	$ 12,649	$ 10,700	$ 48,088	$ 36,341
Net income per share:
Basic	$ 0.60			$ 0.54			$ 1.97	$ 1.50
Diluted	$ 0.58			$ 0.54			$ 1.92	$ 1.50
As Originally Reported
Operating expenses:
Cost of product sales				$ 33,392				$ 86,024
Income from operations				17,612				42,972
Income before income tax expense				17,998				43,764
Income tax expense				(3,265)				(7,581)
Net income				$ 14,733				$ 36,183
Net income per share:
Basic				$ 0.61				$ 1.50
Diluted				$ 0.61				$ 1.49
Adjustments
Operating expenses:
Cost of product sales				$ 2,284				$ (4)
Income from operations				(2,284)				4
Income before income tax expense				(2,284)				4
Income tax expense				544				154
Net income				$ (1,740)				$ 158
Net income per share:
Basic				$ (0.07)
Diluted				$ (0.07)				$ 0.01

NATURE OF OPERATIONS - Conden_2

NATURE OF OPERATIONS - Condensed Consolidated Cash Flows (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Operating activities:
Net income	$ 48,088	$ 36,341
Inventories	(10,025)	(4,338)
Prepaid expenses and other current assets	417	(285)
Other assets	(4,421)	(2,684)
Accounts payable		(6,010)
Accrued liabilities		1,429
Net cash used in operating activities	790	50,458
Investing activities:
Purchases of property, plant and equipment	(3,268)	(4,643)
Net cash used in investing activities	17,595	(22,395)
Financing activities:
Payments on lines of credit	(116,753)	(103,350)
Net cash provided by financing activities	$ (8,159)	(27,978)
As Originally Reported
Operating activities:
Net income		36,183
Inventories		(4,595)
Prepaid expenses and other current assets		(2,571)
Other assets		(2,352)
Accounts payable		(4,027)
Accrued liabilities		1,583
Net cash used in operating activities		50,226
Investing activities:
Purchases of property, plant and equipment		(4,596)
Net cash used in investing activities		(22,348)
Financing activities:
Payments on lines of credit		(103,165)
Net cash provided by financing activities		(27,793)
Adjustments
Operating activities:
Net income		158
Inventories		257
Prepaid expenses and other current assets		2,286
Other assets		(332)
Accounts payable		(1,983)
Accrued liabilities		(154)
Net cash used in operating activities		232
Investing activities:
Purchases of property, plant and equipment		(47)
Net cash used in investing activities		(47)
Financing activities:
Payments on lines of credit		(185)
Net cash provided by financing activities		$ (185)

NATURE OF OPERATIONS - Revenue

NATURE OF OPERATIONS - Revenue Recognition (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Disaggregation of Revenue
Incremental costs of obtaining a contract			true
Product sales	$ 48,678	$ 48,300	$ 155,563	$ 121,689
Dealer commission, reimbursed dealer expenses and other similar costs	2,711	3,978	$ 8,964	8,976
Annual curtail payment period			2 years
Period required to pay off remaining principle balance			3 years
Revenue from contract with customer product and service benchmark | Customer concentration risk | Independent third party and affiliates
Disaggregation of Revenue
Product sales	$ 5,226	$ 2,335	$ 11,420	$ 7,399
Concentration risk percentage	10.70%	4.80%	7.30%	6.10%
Minimum
Disaggregation of Revenue
Term of lease agreement	96 months		96 months
Maximum
Disaggregation of Revenue
Term of lease agreement	120 months		120 months

NATURE OF OPERATIONS - Disaggre

NATURE OF OPERATIONS - Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Disaggregation of Revenue
Product sales	$ 48,678	$ 48,300	$ 155,563	$ 121,689
Consumer and MHP loans interest:
Interest - consumer installments notes	4,559	4,019	13,717	12,208
Interest - MHP notes	2,443	3,240	7,547	8,423
Total consumer and MHP loans interest	7,002	7,259	21,264	20,631
Other	1,645	911	4,637	2,679
Total net revenue	57,325	56,470	181,464	144,999
Direct sales
Disaggregation of Revenue
Product sales	12,325	8,434	34,933	17,093
Commercial sales
Disaggregation of Revenue
Product sales	13,784	12,198	42,147	37,840
Consignment sales
Disaggregation of Revenue
Product sales	14,210	18,641	54,497	43,381
Retail store sales
Disaggregation of Revenue
Product sales	5,572	5,929	15,388	15,435
Other
Disaggregation of Revenue
Product sales	$ 2,787	$ 3,098	$ 8,598	$ 7,940

NATURE OF OPERATIONS - Accounts

NATURE OF OPERATIONS - Accounts Receivable (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Dec. 31, 2021
Accounts Receivable
Credit period	30 days
Allowance for doubtful accounts	$ 666	$ 343

NATURE OF OPERATIONS - Leased P

NATURE OF OPERATIONS - Leased Property (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Lessor, Description Of Leases [Line Items]
Notice period for lease termination			30 days
Termination fees as a percentage of remaining lease payments			10%
Number of month's rent to be paid			6 months
Notice period for purchase of property			30 days
Extended term of lease	48 months		48 months
Notice period for exercise of renewal extension			6 months
Useful life			15 years
Depreciation expense on leased property	$ 184	$ 143	$ 538	$ 373
Minimum
Lessor, Description Of Leases [Line Items]
Term of lease agreement	96 months		96 months
Maximum
Lessor, Description Of Leases [Line Items]
Term of lease agreement	120 months		120 months

NATURE OF OPERATIONS - Future m

NATURE OF OPERATIONS - Future minimum lease income (Details) $ in Thousands	Sep. 30, 2022 USD ($)
Operating Leases, Future Minimum Payments Receivable [Abstract]
2022	$ 538
2023	2,152
2024	2,152
2025	2,152
2026	2,152
Thereafter	4,890
Total	$ 14,036

NATURE OF OPERATIONS - Recent A

NATURE OF OPERATIONS - Recent Accounting Pronouncements (Details) - USD ($) $ in Thousands	Jan. 01, 2022	Sep. 30, 2022	Dec. 31, 2021
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Assets		$ 418,165	$ 366,667
Liabilities		$ 55,940	$ 57,273
Lease, Practical Expedients, Package [true false]	true
Lease, Practical Expedient, Use of Hindsight [true false]	false
Cumulative effect, period of adoption, adjustment | ASU 2016-02
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Assets	$ 3,258
Liabilities	$ 3,258

CONSUMER LOANS - Narrative (Det

CONSUMER LOANS - Narrative (Details) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2022 USD ($) item	Dec. 31, 2021 USD ($)
Average contractual interest rate	13.40%	13.50%
Escrow liability	$ 10,572	$ 9,350
Number of components comprising the allowance for loan losses | item	2
Number of years historical loss rate considers for calculation	3 years
Repossessed assets	$ 960	517
Principal outstanding on consumer loans	$ 1,350	$ 1,239
Minimum
Consumer loans receivable term	3 years
Maximum
Consumer loans receivable term	30 years

CONSUMER LOANS - Consumer loans

CONSUMER LOANS - Consumer loans receivable, net (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021	Sep. 30, 2021	Jun. 30, 2021	Dec. 31, 2020
CONSUMER LOANS
Consumer loans receivable	$ 137,752		$ 129,119
Loan discount and deferred financing fees	(2,498)		(2,612)
Allowance for loan losses	(804)	$ (763)	(884)	$ (802)	$ (814)	$ (905)
Consumer loans receivable, net	$ 134,450		$ 125,623

CONSUMER LOANS - Allowance for

CONSUMER LOANS - Allowance for loan losses (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
CONSUMER LOANS
Allowance for loan losses, beginning of period	$ 763	$ 814	$ 884	$ 905
Provision for loan losses	54	27	(203)	586
Charge offs (recoveries)	(13)	(39)	123	(689)
Allowance for loan losses	$ 804	$ 802	$ 804	$ 802

CONSUMER LOANS - Impaired and g

CONSUMER LOANS - Impaired and general reserve for allowance for loan losses (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021	Sep. 30, 2021	Jun. 30, 2021	Dec. 31, 2020
CONSUMER LOANS
Total consumer loans receivable	$ 137,752		$ 129,119
Allowance for loan losses	804	$ 763	884	$ 802	$ 814	$ 905
Impaired loans individually evaluated for impairment	1,350		1,239
Specific reserve against impaired loans	548		533
Other loans collectively evaluated for allowance	136,402		127,880
General allowance for loan losses	$ 256		$ 351

CONSUMER LOANS - Aging of consu

CONSUMER LOANS - Aging of consumer loans receivable (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Past due consumer loans:
Total consumer loans receivable	$ 137,752	$ 129,119
Total consumer loans receivable (as a percent)	100%	100%
Financial Asset, Past Due
Past due consumer loans:
Consumer loans receivable	$ 2,201	$ 2,082
Consumer loans receivable past due (Percent)	1.60%	1.60%
31 - 60 days past due
Past due consumer loans:
Consumer loans receivable	$ 744	$ 594
Consumer loans receivable past due (Percent)	0.50%	0.50%
61 - 90 days past due
Past due consumer loans:
Consumer loans receivable	$ 106	$ 407
Consumer loans receivable past due (Percent)	0.10%	0.30%
91 - 120 days past due
Past due consumer loans:
Consumer loans receivable	$ 204	$ 114
Consumer loans receivable past due (Percent)	0.10%	0.10%
Greater than 120 days past due
Past due consumer loans:
Consumer loans receivable	$ 1,147	$ 967
Consumer loans receivable past due (Percent)	0.80%	0.70%

NOTES RECEIVABLE FROM MOBILE _2

NOTES RECEIVABLE FROM MOBILE HOME PARKS (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Notes Receivable
Impaired loans individually evaluated for impairment	$ 1,350		$ 1,350		$ 1,239
Repossessed homes	960		960		517
Notes Receivable from Mobile Home Parks
Notes Receivable
Unamortized finance fees	725		725		$ 445
Note receivable with fixed rate of interest	118,000		118,000
Charge offs	$ 0	$ 0	$ 0	$ 0
Interest rate spread (as a percent)	4%		4%
Interest rate on the MHP Notes			8%		7.60%
Allowance for loan losses	$ 0		$ 0		$ 0
Impaired loans individually evaluated for impairment	0		0		0
Repossessed homes	$ 0		$ 0		$ 0
Notes Receivable from Mobile Home Parks | Credit concentration risk | Independent third party and affiliates
Notes Receivable
Concentration risk percentage			31%		52.10%
Minimum | Notes Receivable from Mobile Home Parks
Notes Receivable
Fixed rate of interest (as a percent)			6.90%
Term Of Notes Receivables			1 year
Interest rate spread (as a percent)	8%		8%
Maximum | Notes Receivable from Mobile Home Parks
Notes Receivable
Fixed rate of interest (as a percent)			10.20%
Term Of Notes Receivables			18 years

OTHER NOTES RECEIVABLE (Details

OTHER NOTES RECEIVABLE (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Notes Receivable
Impaired loans individually evaluated for impairment	$ 1,350	$ 1,239
Financial Asset, Past Due [Member]
Notes Receivable
Outstanding principal balance	2,201	2,082
Other Note Receivable
Notes Receivable
Outstanding principal balance	22,119	42,074
Allowance for loan losses	(53)	(74)
Total	22,066	42,000
Impaired loans individually evaluated for impairment	$ 0	0
Other Note Receivable | Minimum
Notes Receivable
Interest rate on the other notes	5%
Other Note Receivable | Maximum
Notes Receivable
Interest rate on the other notes	12%
Other Note Receivable | Financial Asset, Past Due [Member]
Notes Receivable
Outstanding principal balance	$ 0	$ 0

LEASES (Details)

LEASES (Details)	3 Months Ended	9 Months Ended
	Sep. 30, 2022 USD ($)	Sep. 30, 2022 USD ($) lease
LEASES
Number of operating leases		13
Number of operating leases subleased		3
Operating lease, term of contract (in years)	10 years	10 years
Options to renew		true
Operating lease weighted average remaining lease term1	4 years 9 months 3 days	4 years 9 months 3 days
Weighted Average Discount Rate	2.12%	2.12%
Variable lease cost | $	$ 0	$ 0
Minimum
LEASES
Operating lease, term of contract (in years)	5 years	5 years
Maximum
LEASES
Operating lease, term of contract (in years)	10 years	10 years
Heritage Housing and Tiny Homes retail locations
LEASES
Number of operating leases		8
Corporate and administrative offices in Bedford, TX and Norcross, GA
LEASES
Number of operating leases subleased		2

LEASES - Future minimum lease p

LEASES - Future minimum lease payments (Details) $ in Thousands	Sep. 30, 2022 USD ($)
LEASES
2022	$ 176
2023	708
2024	644
2025	608
2026	546
Thereafter	430
Total Lease payments	3,112
Less amount representing interest	(88)
Total Lease liability	3,024
Less current lease liability	(668)
Total noncurrent lease liability	$ 2,356

INVENTORIES (Details)

INVENTORIES (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
INVENTORIES
Raw materials	$ 19,321	$ 15,431
Work in progress	682	714
Finished goods (1)	34,362	28,195
Allowance for obsolescence	(363)	(432)
Total	54,002	43,908
Inventories, net	$ 5,494	$ 2,678

PROPERTY, PLANT AND EQUIPMENT_2

PROPERTY, PLANT AND EQUIPMENT (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
PROPERTY, PLANT AND EQUIPMENT
Total	$ 38,976		$ 38,976		$ 35,709
Less accumulated depreciation	(9,049)		(9,049)		(8,193)
Total property, plant and equipment	29,927		29,927		27,516
Depreciation expense	295	$ 403	872	$ 784
Cost of product sales
PROPERTY, PLANT AND EQUIPMENT
Depreciation expense	116	$ 113	364	$ 327
Land
PROPERTY, PLANT AND EQUIPMENT
Total	14,953		14,953		14,949
Buildings and leasehold improvements
PROPERTY, PLANT AND EQUIPMENT
Total	16,488		16,488		13,722
Vehicles
PROPERTY, PLANT AND EQUIPMENT
Total	1,556		1,556		1,682
Machinery and equipment
PROPERTY, PLANT AND EQUIPMENT
Total	5,679		5,679		5,058
Furniture and fixtures
PROPERTY, PLANT AND EQUIPMENT
Total	$ 300		$ 300		$ 298

OTHER ASSETS (Details)

OTHER ASSETS (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
OTHER ASSETS.
Prepaid rent	$ 349	$ 248
Other	333	332
Repossessed homes	960	517
Total	$ 1,642	$ 1,097

ACCRUED LIABILITIES (Details)

ACCRUED LIABILITIES (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
ACCRUED LIABILITIES.
Warranty reserve	$ 2,614	$ 2,876
Litigation reserve	1,362	2,764
Payroll	1,479	1,685
Portfolio taxes and title	2,280	2,467
Property tax	699	546
Dealer rebates	1,171	1,160
Sales tax	301	310
Federal and state income taxes	5,787	7,445
Other	2,053	1,433
Total accrued liabilities	$ 17,746	$ 20,686

DEBT - Lines of Credit (Details

DEBT - Lines of Credit (Details) - Revolver 1 - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Mar. 30, 2020	Sep. 30, 2022	Sep. 30, 2021	Jul. 28, 2022	Dec. 31, 2021	Dec. 31, 2019
Lines of Credit
Maximum borrowing capacity			$ 70,000			$ 70,000		$ 45,000
Effective interest rate	4.56%			4.56%			2.10%
Amount of available credit	$ 20,000			$ 20,000			$ 61,841
Interest expense	87	$ 318		326	$ 827
Outstanding balance	0			0			7,993
Tangible net worth	$ 120,000			$ 120,000
Debt to EBITDA ratio				4
Deferred debt issuance costs							$ 295
Borrowing amount suspended						50,000
Current borrowing capacity						$ 20,000
London Interbank Offered Rate (LIBOR)
Lines of Credit
Spread rate			2.40%	2%

DEBT - PPP Loans (Details)

DEBT - PPP Loans (Details) - PILOT Agreement - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2016
Notes Payable
Maximum borrowing capacity		$ 10,000
Interest rate		6%
Outstanding balance	$ 0

SHARE-BASED COMPENSATION - Plan

SHARE-BASED COMPENSATION - Plan (Details) - USD ($) $ / shares in Units, $ in Thousands								3 Months Ended	9 Months Ended
	Jun. 07, 2022	Jan. 06, 2022	Nov. 30, 2021	Sep. 23, 2021	Dec. 02, 2020	Aug. 10, 2020	Feb. 07, 2019	Jun. 30, 2020	Sep. 30, 2022
SHARE-BASED COMPENSATION
Number of shares may be issued to employees, directors, consultants and nonemployee service providers in the form of stock options, stock and stock appreciation rights									10,000,000
Number of shares available for grant									8,100,000
$36 Equity Award
SHARE-BASED COMPENSATION
Granted (in dollars per share)									$ 36
$48 Equity Award
SHARE-BASED COMPENSATION
Granted (in dollars per share)									$ 48
Stock options
SHARE-BASED COMPENSATION
Contractual life									10 years
Stock options | Senior management
SHARE-BASED COMPENSATION
Contractual life				10 years		10 years
Vesting percentage				10%		20%
Stock options | Chief Executive Officer
SHARE-BASED COMPENSATION
Contractual life	10 years
Vesting percentage	10%
Restricted shares | Senior management
SHARE-BASED COMPENSATION
Restricted shares granted (in shares)							120,000
Grant date fair value							$ 1,636
Vesting percentage							14.30%
Restricted shares forfeited (in shares)								42,857
Restricted shares | Independent directors
SHARE-BASED COMPENSATION
Restricted shares granted (in shares)	301		1,202		2,022
Grant date fair value	$ 5		$ 30		$ 30
Restricted shares | Executive Chairman
SHARE-BASED COMPENSATION
Restricted shares granted (in shares)		150,000
Grant date fair value		$ 3,741
Restricted shares | Chief Executive Officer
SHARE-BASED COMPENSATION
Restricted shares granted (in shares)	14,700
Grant date fair value	$ 235
Vesting percentage	50%
Contingent equity awards | $36 Equity Award
SHARE-BASED COMPENSATION
Restricted shares granted (in shares)		175,000
Threshold market days remained granted		15 days
Granted (in dollars per share)		$ 36
Grant date fair value		$ 1,412
Contingent equity awards | $36 Equity Award | Vested at granted
SHARE-BASED COMPENSATION
Vesting percentage		50%
Contingent equity awards | $36 Equity Award | Vested on June 16, 2024
SHARE-BASED COMPENSATION
Vesting percentage		50%
Contingent equity awards | $48 Equity Award
SHARE-BASED COMPENSATION
Restricted shares granted (in shares)		175,000
Threshold market days remained granted		15 days
Granted (in dollars per share)		$ 48
Grant date fair value		$ 683
Contingent equity awards | $48 Equity Award | Vested at granted
SHARE-BASED COMPENSATION
Vesting percentage		50%
Contingent equity awards | $48 Equity Award | Vested on June 16, 2024
SHARE-BASED COMPENSATION
Vesting percentage		50%
Contingent equity awards | Executive Chairman
SHARE-BASED COMPENSATION
Restricted shares granted (in shares)		350,000

SHARE-BASED COMPENSATION - Rest

SHARE-BASED COMPENSATION - Restricted stock units (Details) - Restricted stock units $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2022 USD ($) $ / shares shares
Number of units
Nonvested at the beginning | shares	35,000
Granted | shares	515,000
Vested | shares	(158,000)
Nonvested at the end | shares	392,000
Weighted average grant date fair value
Nonvested at the beginning (in dollars per share) | $ / shares	$ 14.01
Granted (in dollars per share) | $ / shares	11.80
Vested (in dollars per share) | $ / shares	24.33
Nonvested at the end (in dollars per share) | $ / shares	$ 6.93
Unrecognized compensation expense | $	$ 1,943
Unrecognized compensation expense, recognition period	1 year 9 months 18 days

SHARE-BASED COMPENSATION - Stoc

SHARE-BASED COMPENSATION - Stock options (Details) - $ / shares				3 Months Ended	9 Months Ended
	Jun. 07, 2022	Sep. 23, 2021	Aug. 10, 2020	Mar. 31, 2022	Sep. 30, 2022
Stock options
SHARE-BASED COMPENSATION
Stock options granted (in shares)					1,025,000
Exercise price (in dollar per share)					$ 40.59
Stock option forfeited (in shares)					28,000
Fair value assumptions for options granted
Expiration period					10 years
Stock options | Senior management
SHARE-BASED COMPENSATION
Stock options granted (in shares)		55,490	34,626
Exercise price (in dollar per share)		$ 18.02	$ 14.44
Vesting percentage		10%	20%
Fair value assumptions for options granted
Risk free interest rate		1.41%	0.24%
Dividend yield		0%	0%
Expected volatility		75%	75%
Expiration period		10 years	10 years
Expected life		7 years 9 months 18 days	6 years 6 months
Stock options | Senior management | Departure of senior manager
SHARE-BASED COMPENSATION
Stock option forfeited (in shares)				27,701
Stock options | Chief Executive Officer
SHARE-BASED COMPENSATION
Stock options granted (in shares)	900,000
Vesting percentage	10%
Fair value assumptions for options granted
Risk free interest rate	2.98%
Dividend yield	0%
Expected volatility	45.70%
Expiration period	10 years
Expected life	7 years 9 months 18 days
Stock options | Chief Executive Officer | Tranche One
SHARE-BASED COMPENSATION
Stock options granted (in shares)	300,000
Exercise price (in dollar per share)	$ 36
Stock options | Chief Executive Officer | Tranche Two
SHARE-BASED COMPENSATION
Stock options granted (in shares)	600,000
Exercise price (in dollar per share)	$ 48
Incentive stock options | Chief Executive Officer
SHARE-BASED COMPENSATION
Stock options granted (in shares)	62,460
Exercise price (in dollar per share)	$ 16.01
Vesting percentage	10%
Fair value assumptions for options granted
Risk free interest rate	2.98%
Dividend yield	0%
Expected volatility	45.70%
Expiration period	10 years
Expected life	7 years 9 months 18 days

SHARE-BASED COMPENSATION - Summ

SHARE-BASED COMPENSATION - Summary of Stock options activity (Details) - USD ($) $ / shares in Units, $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2022	Dec. 31, 2021	Mar. 31, 2020
2018 Incentive Compensation Plan
Weighted Average Remaining Contractual Life and Aggregate Intrinsic Value
Common stock available for issuance			2,300,000
Stock options
Number of units
Outstanding	83,000
Granted	1,025,000
Forfeited	(28,000)
Outstanding	1,080,000	83,000
Exercisable	5,000
Weighted Average Exercise Price Per Unit
Outstanding at the beginning (in dollars per share)	$ 16.83
Granted (in dollars per share)	40.59
Forfeited (in dollars per share)	14.44
Outstanding at the end (in dollars per share)	39.54	$ 16.83
Exercisable (in dollars per share)	18.02
Weighted Average Grant Date Fair Value Per Unit
Outstanding at the beginning (in dollars per share)	12.27
Granted (in dollars per share)	4.99
Forfeited (in dollars per share)	8.67
Outstanding at the end (in dollars per share)	5.41	$ 12.27
Exercisable (in dollars per share)	$ 14.07
Weighted Average Remaining Contractual Life and Aggregate Intrinsic Value
Outstanding (in years)	9 years 7 months 28 days	9 years 4 months 9 days
Granted (in years)	9 years 8 months 8 days
Exercisable (in years)	8 years 11 months 26 days
Non-vested shares	1,075,000
Unrecognized compensation expense	$ 5,655
Unrecognized compensation expense, recognition period	9 years 7 months 28 days

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
INCOME TAXES
Tax expense	$ 2,836	$ 2,721	$ 10,210	$ 7,427
Effective tax rate (as a percent)			17.50%	17%
Federal statutory rate			21%	21%

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Commitment
Self-insured liability	$ 206	$ 373
Repurchase agreements | Maximum
Commitment
Repurchase commitment	$ 9,905	$ 4,908

COMMITMENTS AND CONTINGENCIES -

COMMITMENTS AND CONTINGENCIES - Leases (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Operating Leased Assets [Line Items]
Operating lease, term of contract (in years)	10 years		10 years
Rent expense	$ 180	$ 140	$ 530	$ 436
Sublease rental income	$ 55	$ 82	$ 165	$ 263
Minimum
Operating Leased Assets [Line Items]
Operating lease, term of contract (in years)	5 years		5 years
Sublease, term of contract (in years)			3 years
Maximum
Operating Leased Assets [Line Items]
Operating lease, term of contract (in years)	10 years		10 years
Sublease, term of contract (in years)			11 years

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES - Legal Matters (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
COMMITMENTS AND CONTINGENCIES
Legal reserves	$ 1,362	$ 2,764

FAIR VALUE MEASUREMENTS - Fair

FAIR VALUE MEASUREMENTS - Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Fair Value | Level 3 | Consumer Loan
Receivables, Fair Value Disclosure [Abstract]
Loans	$ 134,500	$ 125,600
Fair Value | Level 3 | Notes Receivable from Mobile Home Parks
Receivables, Fair Value Disclosure [Abstract]
Notes receivable	116,900	83,000
Fair Value | Level 3 | Other Note Receivable
Receivables, Fair Value Disclosure [Abstract]
Notes receivable	19,700	38,500
Book Value | Consumer Loan
Receivables, Fair Value Disclosure [Abstract]
Loans	134,450	125,623
Book Value | Notes Receivable from Mobile Home Parks
Receivables, Fair Value Disclosure [Abstract]
Notes receivable	118,300	83,773
Book Value | Other Note Receivable
Receivables, Fair Value Disclosure [Abstract]
Notes receivable	$ 20,759	$ 38,886

EARNINGS PER SHARE- Tabular (De

EARNINGS PER SHARE- Tabular (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Numerator:
Net income (in 000's)	$ 14,735	$ 12,993	$ 48,088	$ 36,341
Denominator:
Basic weighted-average common shares outstanding	24,406,020	24,204,362	24,356,809	24,202,053
Effect of dilutive securities:
Diluted weighted-average common shares outstanding	25,379,116	24,283,666	25,024,488	24,279,846
Earnings per share attributable to Legacy Housing Corporation
Basic	$ 0.60	$ 0.54	$ 1.97	$ 1.50
Diluted	$ 0.58	$ 0.54	$ 1.92	$ 1.50
Restricted stock units
Effect of dilutive securities:
Dilutive securities	260,114	13,280	267,796	10,478
Stock options
Effect of dilutive securities:
Dilutive securities	712,982	66,024	399,883	67,315

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Bell Mobile Homes
RELATED PARTY TRANSACTIONS
Accounts receivable related parties	$ 57		$ 57		$ 1
Accounts payable related parties	57		57		49
Home sales to related parties	695	$ 1,750	2,550	$ 3,143
Shipley Bros.
RELATED PARTY TRANSACTIONS
Accounts receivable related parties	117		117		0
Accounts payable related parties	0		0		$ 0
Home sales to related parties	$ 524	$ 1,047	$ 2,235	$ 2,486

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details) shares in Thousands	Nov. 03, 2022 shares
Subsequent event
SUBSEQUENT EVENTS
Shares authorized to be repurchased	10,000