Prefab Homes: Benefits and Considerations

Prefab | modmodz | MICRO NATUR by Bonneville Homes

Prefab homes aren’t new in the U.S. construction industry. The idea came to be in the late 1840s during the California Gold Rush; the prospectors were looking to build homes fast and at a reasonable price. Recently, prefab homes’ popularity has increased due to the mounting housing costs; most people are now investing in affordable and sustainable homes.

What Are Prefab Homes?

Prefab homes are made from building components manufactured in an off-site factory then delivered to the homeowner’s building site to be assembled.

Types of Prefab Homes

Prefab is a general term. These houses are available in different types and sizes. However, their main similarity is the amount of construction work completed at the off-site factory. 

Manufactured Homes

Manufactured homes are an improved version of traditional mobile homes. These prefabs were launched after the U.S. Department of Housing and Urban Development introduced the HUD code in 1976. 

Compared to mobile homes that were common before 1976, manufactured homes are safer and sturdier. 

Modular Homes

Modular homes are single-family homes whose construction pieces are manufactured off-site and later transported to the building site for assembly. They feature a permanent foundation.

The price of modular homes is lower than traditional houses, and their value appreciates over time. Plus, modular homes are constructed in compliance with strict standards in most states. As a result, they are safer than site-built houses, especially in states with lenient construction standards. 

In addition, modular homes offer a range of floor plans and styles compared to manufactured homes, from Cape Cods to bungalows. 

Panelized Homes

Panelized homes, also known as open-wall homes, feature a construction technique that uses pre-built pieces made off-site and moved to the homeowner’s site for assembly. 

The pre-built panels include the roof trusses, floor system, exterior, and interior walls. If the foundation is concrete, it is prepared on-site.

Panelized homes are considered more energy-efficient and safer than houses built entirely on-site. In addition, just like modular homes, they are constructed under strict construction standards and meet state building codes before being shipped to the site. 

Kits Homes

Kit homes or ready-cut houses feature premade components put together by the homeowner. They come with instructions on how to assemble. Although cheap, they are small, hence not ideal for a big family. 

Things to Consider About Prefab Homes

1. Cost 

The price of prefab homes varies depending on type; however, they are 10% to 25% cheaper than traditional houses built on-site. You might have to pay more for a modular home, but it’s still 10% to 20% cheaper than conventional housing. 

So why are they less expensive? First, mass production of components at the factory reduces the cost since most manufacturers purchase raw materials in bulk. In addition, labor cost is less because homeowners don’t need to hire plumbers, electricians, and carpenters at the construction site. Plus, building a prefab saves time and saves money as well. 

The starting price ranges between $150-$400 per square foot. Be sure to confirm whether the price includes windows, doors, flooring, appliances, electrical wiring, and insulation. 

Keep in mind that the prefab home sticker price isn’t the overall cost of the home. Instead, the total price also includes the price of land and expenses like site surveys, soil testing, utility hookups, and permits. 

Preparing the land for construction can either be expensive or relatively cheap. It all depends on the landscape. Also, note that the prefab package excludes the foundation cost. 

Other additional expenses include the cost of landscaping, garages, local contractor, and driveways. But, again, prices vary depending on the site location. For instance, a piece of land in the urban area might cost more than land in the rural areas. 

2. Building Time

You can build a prefab home within three months; building time depends on the finishes and size of the house. Most prefab houses are completed within 4 to 6 months. In contrast, traditional homes are built in eight-month or even years for custom home construction. 

Preparing the pieces off-site at the factory eliminates weather delays and improves construction efficiency. In addition, you don’t have to deal with labor scheduling and other challenges associated with on-site construction. 

3. Sustainability 

Prefab homes are a perfect option, especially if you are into environmental development and sustainability. The prefab building process involves less waste. In fact, prefab manufacturers are likely to recycle waste materials at the factory. 

Additionally, prefab homes feature tighter seams than traditional homes. They, therefore, enhance air conditioning and heating in the house. 

Prefab manufacturers also offer eco-minded packages, for example, energy-efficient appliances, solar panels, and sustainable materials like bamboo flooring. 

Most prefab homes are structurally more substantial than traditional stick homes. This feature makes them suitable in locations prone to high winds, hurricanes, and earthquakes.

4. Customizing

You can customize a prefab home in different ways. For example, prefab companies offer a variety of finishing packages, layout configurations, and additional upgrades. However, beware that customizing your prefab home could raise the overall cost. 

Benefits of Prefab Homes

The prefab home construction method is famous for a reason. It enables homeowners to build top-notch houses affordably and efficiently. The significant benefits of prefab homes include:

  • Affordability: As mentioned earlier, the cost of building a prefab home is 15% less on average compared to the traditional style. 
  • Faster: Off-site construction reduces the building time by approximately 60%.
  • Sustainability: Prefab homes often have tighter seams that improve energy efficiency 
  • Safety: Most panelized and modular homes are safer than on-site standard homes.

Drawbacks of Prefab Homes

Although prefab homes are an excellent option, they have several drawbacks that you should consider before purchasing. They include;

  • Requires building permits: You must also follow strict zoning laws and building codes. 
  • High upfront costs: While prefab homes are cheaper than traditional homes, they can drain you financially if you lack a good form of financing. 
  • Financing: Building a prefab home might be impossible if you lack funding. Unfortunately, accessing financing like a construction loan can also be challenging. 

Conclusion 

There are many reasons why a prefab home could be the right choice for you. It may be due to affordability, sustainability, or other factors.

 Among the different types of prefab housing, you can never miss one that will suit your lifestyle. 

Are you looking for a prefab home? Check out our homes listings. You can also contact us for more information.

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