How Much Does It Cost To Build A Modular Home

Modular Home Cost

Summary: Modular homes generally cost less to build than a stick built new home.

Carl, In your section on Modular Homes you answered a question asked by "Jodi". In your answer at the very end you said, "Try to use similar quality components. You can run as many variations as you want. I think you’ll find the modular less expensive. "

I am asking the same thing but with one crucial point in mind.

Is your answer based on a modular compared to a stick built by a General Contractor other than yourself? Or are you referring to building a home and being your OWN contractor compared to a modular?

Michelle

Hi Michelle,

Good question!

In my answer to Jodi, I was referring to a site built or stick built house by a General Contractor.

By the way, modular homes are stick built too, just not on the building site.

However, since I was remiss in my answer to Jodi in not comparing to an Owner/builder constructed home, let’s do it here.

Much depends on the pricing of the new home from the modular dealer as well as the site work (excavating, foundation, finishing work, etc.) and who does that work. An Owner/builder can, and should, contract all that work too.

It takes a bit of work to compare "apples to apples".

Here's a modular home dealer, New Hampshire Modular Homes that gives home prices and a rough estimate of site work on their web site, a rarity for most web sites.

It’s actually a great web site and a very thorough and helpful company, one of the best I've seen.

Using their Gettysburg Model pictured below, I compared the cost to build using their numbers with you as the General Contractor, or as they call it, Project Manager, for site work (excavating, foundation, finishing work, etc.), vs. YOU General Contracting the entire house as a stick built.

The "Gettysburg" 2200 sq. ft.





Using Concord  New Hampshire to utilize New Hampshire Modular Homes' cost figures, here’s what I came up with:

Model Price of $125,000 + Site Work of $75,000 = $200,000 = $90.90 per sq. ft.

Same home, site built by Owner/builder = $214,086 = $97.31per sq. ft.

To estimate this cost, I used number 5 quality and a full unfinished basement on the cost estimating software and deducted the General Contractor’s Markup of $28,656.

Even though the cost difference between the modular and the stick built appears to be $14,086, you should keep in mind that the cost to build for this example, or any house plan, can vary considerably depending quality of materials selected, and on actual bids for labor and material. The estimate for this stick built house is an approximate one based on average quality materials.

Until you actually start getting bids and entering them into your own spreadsheet (see my spreadsheet page for FREE spreadsheets), it will remain approximate.

I would also factor in other considerations besides cost when making a decision on modular vs. stick built, such as the amount of time saved by having the home built off site in a factory while the building site is being prepared. Acting as your own general contractor on a modular project is often easier too.

Be sure and read Modular Homes vs. Stick Built.

Thanks for your question and taking the time to write.

Carl Heldmann