Prefab installation on vacant lot
Hello,
I am considering purchasing a vacant lot and am investigating non-traditional construction/dwelling options like prefab/modular installs. I am interested, above all, in cost savings but also in sustainability features and quality of craftsmanship. The market for prefab homes has greatly expanded over the years, and there are models at all price points. I am not looking for anything fancy or vying for an architectural design prize - I just want a simple, well-insulated, well-crafted, durable dwelling that prioritizes light/exposure and economy of space.
I would welcome any and all feedback you can share on your journey from lot to build, particularly if you are on a tight budget (and I mean a true budget, not the Bay Area definition of budget). I am not unrealistic about costs, and I am prepared to spend what I need to. But I am a prudent person so trying to do as much research on the front end in order to avoid some quantum of surprises on the back end.
Thank you!
Parent Replies
I haven't built a prefab house but I tried to buy one and it is HARD. We ended up having to back out of escrow because we couldn't get a loan (fortunately we had a loan contingency in our offer). We couldn't find a lender to give us a mortgage on a prefab because they couldn't find enough comps to appraise the house. Appraisals are totally ungrounded in reality but unfortunately you need one to get a loan. So just be aware that if you go this route you may have a hard time selling. They did eventually sell that house for almost 200k less than we had offered, and it took them 6 months to sell it. It may still be a good idea for you due to the cost savings up front, just factor the lower selling price at the end into your decision.