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From Stigma to Stately: Modular Home Construction Comes Into Its Own

Although modular homes---or "system-built" homes as some prefer to call them---were once stigmatized by homebuyers and builders as a niche product that lacked mainstream appeal, recent trends demonstrate that these efficient little creatures are quickly coming into their own. As a matter of fact, there are more than a few housing industry experts who now predict that modular home construction is quickly becoming "the wave of the future" for America's battered housing industry.

But why? What is it about modular homes that may soon transform them into the "envelope of choice" for a savvy new generation of American homebuyers?

That's a good question. Here's a short list of answers:

  • Affordability. Modular homes are 10% to 30% cheaper to construct than their "stick-built" brethren. This is mostly because modular homes are built in a controlled factory environment. With predictable inventory, perfect "weather," and stable workers on tap for every project, the entire process is much more cost-effective.

  • Quality. Modular homes are "over-engineered" to be "tighter and stronger" than traditional homes so that they can withstand the rigors of being transported to the job site. The average modular homebuilder uses 20% more lumber than traditional homebuilders in order to complete each project. As a result, modular homes are more energy efficient than many "stick-built" homes and well able to compete when it comes to durability.

  • Speed. Because modular homes are built in-factory, site preparation tasks like earthwork and the laying of foundations can occur while construction is underway. This "tandem building process" saves builders and homebuyers valuable time and enables quicker project completion and move-in.

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