Understanding What Makes a Prefab Home
A stick-built home is built in an old-fashioned way and can be slowed down by extreme weather conditions. You will also have a crew of workers on the ground, working on site for months fitting your house with electricity and plumbing. They are both considered residential dwellings in the real estate market since they are built on the same foundation and are both appreciating assets.
- Fast Construction
It takes a shorter time to build a prefab home because it arrives in your home compound when it is partially constructed. Since it is built in a controlled environment, it is less vulnerable to weather delays and lengthy periods of delivering building materials from suppliers. Obtaining permits and site preparation can also take up some time before the actual construction is done.
- Energy Efficiency
Prefab homes are highly energy efficient because of their perfectly sealed window gaps, and tight seams. They help reduce your energy bills by keeping your home cool during summer and warm during winter. The tight construction of prefab homes also makes them resistant to natural disasters because the assembled parts are all connected to the main framework.
It is less expensive to build a prefab home compared to old-fashioned stick-built homes. It takes fewer laborers to make a prefab home move-in ready over fewer days thus increasing your labor savings. Its high-energy efficiency rating saves you a lot in terms of heating and cooling costs. The various levels of customization and fittings can also help you lower the amount of money you are willing to spend on your home construction.
- Appreciates in Value
Not many people would be willing to spend on a prefab home if it kept depreciating as years go by. Unlike mobile homes built on wheels or trailers, prefab homes are built on the same foundation as a stick-built home. This boosts its integrity and reliability as a permanent residential dwelling in the real estate market.
- You Need Land and Permits
Before you start building a prefab home, it is important to own the land underneath it. You also need to get all the required permits that allow you to connect your home with electricity, water, and sewerage. A few companies that manufacture prefab homes can help you secure all these permits on your behalf before rolling their expenses into the overall cost of purchasing your modular home.
- More Up-Front Payments
Using financing and construction loan options, you can make a down payment of at least 20% and pay off the rest as a mortgage. Your contract with the construction company includes a payment schedule for making installments when your home is built. You may be required to finish paying for your home’s construction before moving in.
Should I Invest In A Prefab Home?
A prefab home is a good investment and one of the best alternatives to stick-built homes. Not only is it energy efficient and less costly, but also appreciates and has a similar foundation to regular old-fashioned homes. Although you need to spend more on upfront costs, you get sturdy residential housing that will serve you for many years to come.
It is important to sit down with your financial advisor to help you navigate through the financial complexities of buying a home. Since you are investing in one of the largest purchases in your lifetime, you need to crosscheck your facts to ensure you are making the right decision during investment.