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All about modular homes: pros and cons of this type of housing

SCS Group Property Service Maintenance Solutions
2 years ago
last modified: 2 years ago

All about modular homes: pros and cons of this type of housing



In recent years there has been a lot of talk about modular homes and how this market niche has grown in Australia. However, the concept of these houses is often confused with other types of construction, which involve various materials but have nothing to do with modular construction. In order to demystify this concept and clarify the possible doubts that may exist about the construction of a modular house, we explain in this article what it consists of, pointing out advantages and disadvantages.

What is a modular house?

A modular house is a house-made in a certified factory, which is transported by modules to the land where it will be assembled and finished. This type of house, as explained by professional property service providers requires prior preparation of the land, normally by the buyer, and they are seen as a great solution for those who want to build their own house in a short time.

In terms of appearance, it is possible to build a modular home in a modern style, but there are also companies that offer more rustic or minimalist options. Currently, these houses are no longer limited to a ground floor, because many of the companies in Australia offer projects and plans of houses with ground floor and first floor.

Advantages of modular homes

Modular homes are often presented as elegant homes, with well-structured floor plans and often low standard prices. But these are not the only advantages.

1 - If you are in a hurry, modular homes take less time to build

When you think about building a house, you know in advance that it will be a long process, especially in today's market. From the creation of the project of the house, the license, and the construction, until you have the key in your hand, it is normal for several months to pass, and it can even take more than a year until you are ready to move in.

In the case of modular homes, they offer the possibility of having a house ready to live in a period of three to six months, depending on the type of house that has been chosen. These deadlines are practically impossible to meet in a traditionally built home.

Modular homes are built in specialized factories, and since each builder offers only a few models, the entire construction process is faster than normal. In addition, this well-applied method reduces various problems that may arise during the assembly of your modules.

Once the construction of the modules is finished, they are transported to the indicated place. Finally, the professionals assemble the modules and carry out the final touches contracted.

The result is to have a new house ready to be inhabited in a short time. This can be a great advantage for those who urgently need their house ready.

2 - The materials are of quality and offer safety

The quality of a modular house is one of the great doubts of most of those interested in this type of housing. This hesitation is often associated with low advertised prices and short construction times.

Before making the decision to build this type of house, you should do a study on the construction companies that specialized in modular houses in Australia. After a selection based on the evaluation of other buyers, you must schedule meetings and visits to evaluate the material used. In this way, you will be able to see with your own eyes the materials used and the entire construction process of that company.

As a general rule, the modular home builder has his method of building modules, which can be covered with cement, wood, or insulated panels created from various materials. The company usually always explains the advantages of the chosen method and clarifies any doubts that the buyer may have about that material.

So, keep in mind that this type of house is built in a specialized factory, where there is strong quality and safety control. This is one of the most relevant factors because if attention is not paid to the details, these houses can have various problems.

Modular homes are extremely safe and resistant solutions to various types of weather, storms, and even earthquakes. In addition, this type of house offers thermal and acoustic insulation, and this is also done in the factory.

That said, modular homes, when built with good materials, are homes of great quality and safety. Therefore, it is essential to choose well the company that is going to build it, to obtain the desired result.



3 - Materials that promise good durability

Keeping with the theme of quality, modular homes being built today are just as durable as those of traditional construction. To give you an idea, a modular house built with good materials has a durability of 50 to 70 years. The durability is the same as that of a traditionally built house.

However, it must be taken into account that to increase its durability, every house needs professional maintenance and conservation work.

Many people are wary of this durability because they associate this construction with old manufactured homes. The truth is that a modular house is a prefabricated house, but the type of construction and the materials used are very different because the quality is much higher.

4 - Once everything has been defined, the final price of the home cannot be changed



This is one of the great advantages of building a modular house, because when all the details are defined, such as the acceptance of the project and the plan, the materials that are going to be used, and the final finishes, the price can no longer be Modify. This type of agreement is a great advantage because it prevents the budget you made for the construction of your house from being diverted.

However, you have to be careful, because the price of modular homes can exceed the initial budget.

5 - If the family increases, your house can also increase

A modular home is built-in modules. Therefore, there is always the possibility of adding or removing modules from it, without the need to make several changes to the pillar structure of the house.

These types of changes are a great advantage, because it allows you to create more rooms if you have more children, and reduce it when they leave home. Also, you can build a smaller house and expand it when you have more money available.

Also, you should always check with your Town Hall and find out if there are licenses for these changes to a modular home.

Five Disadvantages of Modular Homes



Although the advantages associated with building a modular home are many, there are also disadvantages to consider.

1 - The obstacle for a mortgage and contracting insurance

This disadvantage is probably one of the biggest obstacles you will face if you want to build this type of house. Although the number of companies that build modular homes has increased in recent years, banks continue to present several obstacles to granting a mortgage for this type of construction.

Getting a mortgage to build a modular home can be a daunting task. However, there are some banks that already grant it, but with unattractive conditions. With interest rates falling for mortgages, building a modular home through much higher-rate credit may not be the best option.

In addition to the fact that the amount you will pay at the end of the loan is much more expensive, the terms are usually shorter. That said, in case you get a loan, you can end up with a very high fee. As for life and multi-risk insurance, many insurers do not offer insurance for modular homes, due to the materials used in their construction. So you will have to investigate what options exist in the market and see with the bank how contracting insurance outside the bank can affect the spread of your mortgage.

2 - Modular homes are paid in full before being built

Paying in advance, in full, is not usually well seen in most companies. If the company begins to show signs of a lack of transparency, it can be very difficult to go back and recover the money invested in full.

Therefore, paying upfront to build a modular home can be a huge disadvantage, especially if you're not happy with the end result.

If you are determined to opt for this type of construction, remember that hiring a company with good qualifications and certification is essential to make a good deal.

3 - The affordable prices presented on the websites and in the initial estimates are not the final price of the home

Surely you have heard about the unbeatable prices of modular houses or people who say that after all, a modular house costs almost the same as a traditional one. Both situations are real and true. But how can that be? It's simple. Prices talked about for modular homes are usually the cheapest solutions and are the baseline of construction.

If you want a modular house to have the same durability as a traditional house, and to be made with quality materials and good insulation, the price can be approximated to the price of traditional construction.

To arrive at the final price of a modular house, you have to add the price of the land where it is going to be built, the license, the deeds, and the assembly expenses that include the preparation of the land (excavations, foundations, and other preparations) and the budget final.

The final budget will include all the changes that are intended to be made in relation to the project that was presented to you, as well as the final finishes. Remember to invest in good insulation materials, mortar liners, and other moisture-resistant coatings. These are the decisions that will bring quality and comfort to your home.

4 - If you do not agree on the details, you can have serious problems

Before building your modular home, you should inform yourself and agree on all the details with the chosen construction company. There are several issues, apart from construction and assembly, that you should pay attention to.

First of all, you should know that the individual modules are quite heavy, and there is always a risk that they will be damaged during transport to the construction site. Therefore, it is very important that you clarify all questions regarding the transport of the modules. Comment on the distance to be traveled, what happens if a module is damaged in transport, if the company has insurance that covers the damage, etc. Based on the company's response, you will be able to assess whether or not it is safe to go ahead with the business.

As for licenses, it can take a while to get the necessary permissions. Find out in advance at your Town Hall to find out about all the obstacles that may arise.

Finally, do not forget that your house will need maintenance over time and that there may still be problems derived from the materials used. In these cases, it is always necessary to clarify with the construction company how the house will be controlled once it is built. Make sure that the company guarantees the work done and check its availability for future follow-up.

5 - The house can be tailored to your needs but within the predefined options

In a house of traditional construction, the owners can request a project totally idealized by them. In a modular house, all projects are already prefabricated. The future owner usually chooses one of the designs from the catalog of that construction company and then can make some adjustments and changes.

Modular homes allow a wide choice of designs, as well as final finishes. But it should always be kept in mind that your dream home may have to accommodate the existing options of the builder you choose.

If you're not familiar with the different types of modular homes out there today, do a search online and on social media to get an idea of what options are available. There are also greener modular homes made from recycled materials. The green housing market has grown all over the world, especially in the luxury market.

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