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CostHelper > Home and Garden  > Construction & Renovation > Modular Home

Modular Home Cost


How Much Does a Modular Home Cost?

 
average costStart Around: $50,000-$60,000high costHigh: Can Go $500,000-$1Million +
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Modular homes are built in a factory (often on an assembly line) usually in large, three-sided sections with windows, doors, cabinets, electrical and other features in place. The sections are trucked to the home site, lifted by crane onto a pre-built foundation and fastened together.

Although some modest modular homes are similar in appearance to double-wide mobile homes (manufactured houses), upscale modular homes can be customized in almost any architectural style and can be two or more stories high. Once built there's no easily visible difference between high quality modular and more traditional homes constructed on-site .

Typical costs:

  • It's estimated that modular construction costs 5-25 percent less than traditional homes built on-site, although some companies claim savings of up to 50 percent. Prices start around $50,000-$60,000 for an 800-900-square-foot home (1 or 2 bedrooms, 1 bath) but can go as high as $500,000-$1 million for large, customized, high-quality homes. And that's without the land, foundation or other site work.
  • A rough estimate for a 1,600-square-foot home [1] ($89,000 base price) with modular garage ($20,000) plus permits, utility connections, site prep, foundation, engineering and survey work is $167,500 total cost.
  • An upscale 3,200-square-foot modular home[2] delivered in eight pieces in Maryland had a base price of $300,000 but the extras, including a basement, septic fields, porches, a driveway, permits and other charges, bumped the total to about $560,000.
Related articles: Mobile Home, Building a Custom Home, Homeowner's Insurance, Refinancing a Mortgage

What should be included:
  • No matter where the factory is located, modular homes are designed and built to meet state and local building codes at the home construction site. Modular sections are generally quite sturdy, because they're built to travel to the home site, and are usually fairly air-tight and energy efficient.
  • One advantage of modular construction is that the process is much faster than with more conventional onsite home-building methods. Building the modules in the factory can take two weeks to three months; assembling them on the foundation can take several hours or several days. However, inspections and on-site work can add another 30-90 days to the construction process.
  • The Modular Building Systems Association provides a brief guide to residential modular construction[3] and a modular homeowner in the St. Louis, Missouri area shares his experiences and expenses[4] .
Additional costs:
  • Landscaping your new modular home is an additional cost to be factored into your budget.
Shopping for a modular home:
  • Decide what size and style home interests you. Check out local manufacturers -- the farther the modular sections have to travel to reach your home site, the higher the transportation costs. Request and check references.
  • The Modular Building Systems Association (MBSA) provides tips for selecting a modular home dealer[5] , financing details[6] , links to modular home manufacturers by state[7] .
  • When hiring a general contractor, check to be sure the company is properly insured and bonded, and licensed in your state[8] . For the manufacturer, dealer and any contractors you hire, check if they have any complaints with the Better Business Bureau[9] .
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External Resources:
  1.  www.mortgagenewsdaily.com/10212005_Panelized_Modulars.asp
  2.  ww2.gazette.net/stories/032608/gaitnew213120_32367.shtml
  3.  www.modularhousing.com/downloads/GuidetoResidential.pdf
  4.  www.modularhomechoice.com/Modular%20Home%20Financing.htm
  5.  www.modularhomebook.com/book/chapter02.html
  6.  www.modularhomebook.com/book/chapter09.html
  7.  www.modularhomebook.com/manufacturers.html
  8.  www.contractors-license.org/
  9.  search.bbb.org/
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