How much do modular homes cost?

It’s worth noting that modular home costs may vary greatly (reaching $400,000 or more) due to the many different floor plans, customizations, site preparations and other fees. To learn more about the factors that influence the cost of modular homes, keep reading.

Modular homes (also called prefabricated homes or "prefab" homes) refer to houses that are manufactured in a factory environment. After the modules are fully fabricated, they are delivered to the building site. They are then assembled on an established poured foundation.

After assembly, the rest of the process involves hooking up the utilities and fitting the home with the desired appliances, flooring, cabinetry and other finishes and furnishings.

Modular homes cost $72-$93 per square foot. But how much you pay for a modular home depends on the floor plan you choose. It also depends on the company, with some charging $175 per square foot. You should also keep in mind that one-story modular homes can cost more per square foot than two-story modular homes. In general, smaller and more complex modular homes will cost more per square foot. And if you need more on-site construction services for your modular home, expect to pay more.

When talking about a modular home's “base price,” you’re referring to the cost of producing individual modules or parts for the selected floor plan. This price does not cover any customizations or modifications, but it often covers factory assembly and delivery.

The total cost of a modular home will include the base price, on-site construction, finishes, furnishings modifications, taxes and more. Here’s a quick rundown of the different expenses you’ll need to consider when building a modular home:

• Base home price
• Customizations and modifications
• Site preparation 
• On-site construction
• Building permits
• Driveway
• Electrical service
• Foundation pouring
• Garage
• HVAC system
• Land
• Plumbing
• Septic tank
• Taxes
• Utility hook up

To get an accurate price estimate for your modular home, contact the modular dealer and give them a clear picture of what you want — from the floor plan and amenities to the site condition and structures (e.g., garage or deck) you want. 

There are several factors to keep in mind when estimating the cost of your modular home. For example:

Size

Just like a conventional home, modular home prices increase with size. The more square footage you want, the more labor, design considerations and construction materials you’ll need.

If you’re purchasing a modular home for a small family or a single person, the single-wide home is a great option. You should expect to pay more for a double and triple-wide modular home. Here are some cost estimates for single-, double- and triple-wide modular homes from ModularHomes.com:

Designs and plans

The cost of a modular home is affected by three major design options. The first design option affects the interior of the house and includes things such as fireplaces, flooring, stairs, countertops and entryways. The second affects the exterior with customizations such as siding upgrades, driveway, roof pitch, garage and so on. And the third one revolves around energy-efficient upgrades. They range from solar and LED-powered lighting to better-quality insulation. 

The overall cost is going to rise or drop based on the customization and design upgrades you opt for. Although modular manufacturers offer a wide selection of designs, customers can often ask the  custom floor plans. This makes them as versatile as site-built houses.

Delivery

Most modular home manufacturers offer free delivery services within a specific radius. Outside this radius, the cost is going to increase as the distance increases. 

Site preparation

You’re probably going to spend a bit of money on on-site preparation. Some preparations include leveling, construction of a foundation and preparing for the connection of utilities. 

You’ll also need to hire different contractors to help with the preparation process. Apart from leveling, marking boundaries may be a good option as it shows the amount of extra space that you will leave for additional elements. If a foundation is required, it should be constructed before the delivery of the modular home.

But before any of these steps are done, you need to complete a site inspection before you build your modular home.

Permits

You will have to apply for a permit if the inspection shows that the land can hold a modular home. Permit fees will vary depending on where you live.

Modular homes often cost less than homes built on-site. An on-site built home costs an average of $100-$160 per square foot for every square foot. On the other hand, you can pay as little as $72 (sometimes less) for every square foot of a modular home. 

There are many companies constructing and selling modular homes. Based on your preferences, you can order a prefabricated home that only needs to be installed, or you can have one customized to your preferences. Just start searching online to find options that fit within your budget.

Modular homes come with different advantages. The biggest benefit is perhaps the lower cost. They also offer a variety of customization options, and they’re faster to build. 

With the growing concerns over environmental conservation, modular homes appear to be more beneficial as they use eco-friendly materials and practices throughout the construction process. They also integrate energy-efficient solutions.