Modular Versus Stick-built

[Ariba]

I wonder why there are not more developments being built across the nation, with modular homes. In most case, modular homes are more affordable and can be completed in a matter of weeks instead of months. Is it the builder’s, D.R Horton, Lennar, Pulte, CalAtlantic, lobbyists in Washington?

Are you able to distinguish with any degree of certainty between a modular and stick built home? Do you believe a stick-built home is superior to modular home? Why?

 

[EddieB]

Do you own one? If not, why? Did any builder or government agency persuade you either way?

If you do own one, why did you chose it over a manufactured home, or stick built?

Are you seriously a senior member on an appraisal forum for over 15 years?

We are required to be astute observers of the market, but we are also market participants. Use a touch of that in your process.

Have a good morning.

 

[Mr Rex]

The biggest reason is the lack of flexibility in design. As the design gets more elaborate, the less advantage they have in price versus site built. FWIW, there used to be both a modular and a HUD code/modular plant in my town and at one point there were 4 HUD code plants here.

 

[Restrain]

Modulars suffer from the market impact of manufactured homes. In many cases they are so similar that modulars are pulled down. Further, many jurisdictions prohibit modulars creating the perception of negativity in the market.

 

[Ariba]

Do you own one? If not, why? Did any builder or government agency persuade you either way?

If you do own one, why did you chose it over a manufactured home, or stick built?

Are you seriously a senior member on an appraisal forum for over 15 years?

We are required to be astute observers of the market, but we are also market participants. Use a touch of that in your process.

Have a good morning.

Nothing to add to the conversation, attack the OP. That seems to be your MO.

 

[Ariba]

The biggest reason is the lack of flexibility in design. As the design gets more elaborate, the less advantage they have in price versus site built. FWIW, there used to be both a modular and a HUD code/modular plant in my town and at one point there were 4 HUD code plants here.

That is a fact, however, typical cookie cutter homes, 2000 SqFt or less are not that complex and that is +60% of the market.

Modulars suffer from the market impact of manufactured homes. In many cases they are so similar that modulars are pulled down. Further, many jurisdictions prohibit modulars creating the perception of negativity in the market.

You are right. So is it about educating people like EddieB?

 

[Mr Rex]

I think the perception that there is a price advantage in modular versus site built is overblown when comparing apples to apples. Adding in the cost of transporting the units and the crane etc erode away at the cost savings if there is any.

 

[Terrel L. Shields]

Do you believe a stick-built home is superior to modular home? Why?

It can be. And "modular" takes in a wide variety of building types. From Jim Walters "pre-fab" which are not true modular but not manufactured homes either but do have each part pre-cut in a factory to modulars built to local and state codes but mostly constructed in a factory in boxy room like sections. Panelized are often wall and floor sections and are set in place with a crane. These usually come with sheathing, or even interior sheet rock already in place.

If built to a HUD standard, then it is a manufactured home. If site built in components then it should meet state and local codes...and you have plenty of those in Colorado. County permitting is a cakewalk in OK and AR compared to CO.

The difference in a spec type stick built home and a modular or panelized house is minimal. The Jim Walters or UnitedBilt homes are usually built cheap, often by the owner, and look cheap. Obviously for a custom upscale home, the stick built can incorporate highly individualistic features which would drive the cost of a modular sky high since they would be doing a "one off" construction within the factory or do it on site. But if satisfied with the floor plan, the modular would be much quicker to construct and the two modulars I've appraised are indistinguishable from stick built.

Modulars suffer from the market impact of manufactured homes.

I don't see that here. See pix above

 

[Ariba]

I think the perception that there is a price advantage in modular versus site built is overblown when comparing apples to apples. Adding in the cost of transporting the units and the crane etc erode away at the cost savings if there is any.

Even if that is the case, what about the quality of construction and time savings. Most Modular homes have 2"x6' studs better insulation, quality control, etc.

 

[Carnivore]

I think the perception that there is a price advantage in modular versus site built is overblown when comparing apples to apples. Adding in the cost of transporting the units and the crane etc erode away at the cost savings if there is any.

True, but that same transportation cost of the major parts can be cheaper than transporting materials for a stick built. the Panhandle of Texas and Oklahoma, Kansas, Nebraska, etc come to mind. Imagine a Site built contractor driving 80+ miles one way and then back every day until they get a site built completed. Include his different crews and subcontractors. Well and Septic guy. Concrete trucks.

Modular is definitely a serious consideration in rural areas. High end manufactured home are common in rural areas. Drag it out there and hook it up.