Last updated on July 31st, 2024 at 06:33 am
Stick-built and modular homes represent two popular options, each offering unique advantages and considerations.
In the world of housing construction, lets look at both stick built and modular homes.
Which one costs more?
What Are Modular Homes
Modular homes are a sectional pre-fab house built in a climate-controlled factory.
Once section or modules of the house are built, they are transported to the site of the house where they are joined together and the construction is completed.
By definition, a stick built house is built completely at the location where the building site is located.
Construction Process: First of all, the home buyer designs a floor plan of his desired home in consultation with the modular home builder and personalizes it according to their personal choice.
After that, the modular parts are constructed using factory construction, where the time isn’t affected by weather conditions.
Then the modules are sent to the site where they get assembled with the finishing touches to form the finished home.
Advantages of Modular Homes
In terms of construction speed, since modular homes are built in a climate-controlled factory environment, there are fewer weather and labor delays.
This would therefore mean less time is wasted in the construction of such houses.
Lower Construction Cost: Better control of the construction in the factory setting enables cost and material efficiency that could result in lower construction costs compared to stick-built houses.
Quality Control: Modular homes undergo a series of quality control tests during their production period, thereby yielding a finer quality product with better workmanship as compared to some traditionally stick-built homes.
Customization Options: While people think that modular homes have limited customization options, they actually have many different floor plans and design choices to accommodate individual tastes.
Possible Challenges with Modular Homes in Logistics: Sectional delivery to the home site requires a great deal of planning and coordination, particularly if the site is a place way out in the sticks or hard to reach.
Additional Expenses: Although the basic cost of a modular home may be lower as compared to that of a stick-built house, there are some additional charges associated with site preparation, foundation, and assembly that have to be added in the budget.
Geographical Restraint: In some areas, modular homes may be restrained by neighborhood covenants or even zoning regulations.
Factors that Affect the Cost of Modular Houses
The size of a house has been considered the major determinant of its total cost.
Be sure and ask your builder about these costs before you sign a contract.
Modular home and stick-built home costs are determined by their square footage.
Generally, modular homes are more cost-effective compared to stick-built homes since they are fabricated in a controlled environment that provides for more effective construction processes and reduced labor costs.
Location: Region where you are going to build your home may also drive the cost for modular or stick-built home.
Labor rates, the cost of the land, and the building regulations vary in different regions.
Time Frame: Time is money, and the timeframe for construction is yet another major factor to consider.
Generally, modular home construction can be faster than stick-built homes, as the building process in the factory takes place simultaneously with site preparation.
Understanding Stick-built homes
A stick-built home is another term for traditional construction. It is a house developed on its home site using a framework of wooden studs and beams.
This method of construction has been the norm in the housing business for decades.
Customization Options: Undoubtedly, one of the most significant advantages of stick-built homes is the customization they offer.
Homebuyers will be able to play more with their floor plans’ designs, specify materials, and add unique architectural features that give them a highly personalized living space.
Construction Process: Under the stick-built process, a house is assembled on-site.
It starts by laying the foundation, followed by framing, roofing, plumbing, electrical work, and then finally the finishing touches.
The process requires skilled laborers to work hand-in-hand with contractors and subcontractors in the process of delivering quality craftsmanship.
Time Frame: Generally, stick-built homes, as opposed to modular homes, take a bit longer to complete.
The on-site nature of the construction process, along with potential weather-related delays, can stretch the overall time frame.
Quality Control: Building stick-built homes right on their sites gives better overall control and quality of the construction process.
The work could be monitored more closely, and corrections to problems or discrepancies could be made as and when problems surfaced.
Possible Problems: Labor shortages have been known to occur in the building industry, leading to a shortage of skilled workers and project delays.
These may also include the fluctuating prices of raw materials and their availability, which would finally have an effect on a project’s cost.
Why Stick houses cost what they do
Labor Costs: In a conventional stick-built process, the house is built on-site by skilled labor.
It includes skilled labor, such as carpenters, plumbers, electricians, and many other tradespeople; all of these are individuals whom one would have to hire and oversee.
Related costs can be overwhelming, especially if there are any delays or other problems with construction.
Construction Timeline: Conventionally built homes take a great deal longer to build than modular homes do.
On-site construction is at the whim of the weather and potential delays in the construction process.
The longer the process of construction, the more likely it is that money will be added to a project from items such as extended building permits, utility hookups, and site supervision.
Material Costs: Traditional stick-built construction generally requires more material because it is measured and cut to specification on-site.
This can add to waste and material costs.
Well, prices may vary in different locations and markets, depending upon the conditions, further changing the cost of a stick-built house.
Quality Control: For stick-built homes, strict quality control is maintained in order to ensure that the structure confirms to building codes and industry standards.
While this ensures that the home is built to high standards, it is an addition to the overall cost.
Location Matters: Hence, costs can vary between areas with the same construction method, especially with differing conditions like materials availability, labour rates, and local building codes.
Availability of Materials: There is likely to be a lack of access to certain building materials in rural areas, raising transport costs or requiring sourcing from greater distances.
In comparison, urban areas are almost always serviced by a greater range of suppliers who charge lower transportation fees.
Labor Rates: Labor rates vary according to different locations. These variations in labor rates reflect in the overall cost to be incurred while building a house.
Places with high demands for skillful laborers, as in the case of booming construction markets, may have higher rates of labors.
While those areas that have excess available labors over the demand may offer competitive rates.
Building Codes and Permits: Building codes differ from region to region.
Some areas can have more stringent building codes, which raise the cost with additional materials or inspections.
Infrastructure and Utilities: The need for additional infrastructure such as roads, water systems, or electrical connections can add expenses to a construction project.
Which one costs more?
Stick-built homes:
- Average cost per square foot: $150-$300
- 1,500 sq. ft. home: $225,000-$450,000
- 2,000 sq. ft. home: $300,000-$600,000
- 2,500 sq. ft. home: $375,000-$750,000
Modular homes:
- Average cost per square foot: $100-$200
- 1,500 sq. ft. home: $150,000-$300,000
- 2,000 sq. ft. home: $200,000-$400,000
- 2,500 sq. ft. home: $250,000-$500,000
Note that these are only averages, and actual costs vary based on a number of other factors, such as the size and complexity of your home, quality of materials used and workmanship, location, and the builder chosen.
Here are some additional items to consider:
Figures do not include the cost of land. You will need to add on land if you are budgeting for a new home.
Permits and fees: You will need to secure building permits, and pay related fees before construction.
Utilities You will need to connect your home to utilities such as water, sewer, and electricity.
Furnishings and Appliances: The above prices do not include furnishings and appliances.
Putting in all Together
A modular home versus a stick-built home, as described above, is arrived at based on financial considerations.
While modular homes have a quicker build time and lower material and labor costs, there are more opportunities for customization in stick-built homes, which tend to appreciate resale-wise.
The third option for many home buyers is the very popular container homes, only recently in the limelight.
Take time to evaluate your budget, future plans, and specific needs so that you ensure you make a correct call.
Consult builders, financial advisors, and real estate experts for relevant information and insights.
There is no one-size-fits-all answer to the modular homes vs. stick-built homes debate.
The choice should, therefore, be made in relation to your priorities and long-term goals.
Have a house to sell to us in Plano, get a quote today.
Take the time to weigh up the pros and cons, explore different options.