Lately, there has been a surge in homebuyers, as more homebuyers want to settle in during this pandemic. However, the ways homes are built have to change if the real estate industry wants to weather through the lack of supply. The future homes are determined by different factors, all of which will be discussed in this article.
Homebuyers are being dissuaded from buying a home this year, despite a spike in demand. This is because of the increased home prices, reaching about 17% in some cities, turning the average cost of homes into a luxury. The main reason for this increase is the lack of materials and manpower to build houses during this pandemic. This is why the industry has started to research more into the future of homes in the U.S. One of them being modular homes.
The Future of Homes Is Modular
There are many modular homes, but each one follows a set of principles: factory-built and easy to assemble homes. This kind of home can be built by almost anybody, given that they can understand the instructions given to them by the manufacturer. Contractors can help you build these homes and reduce home building by a staggering 30%. However, because of the lack of materials, many manufacturers have resorted to smaller modular homes.
Smaller modular homes are easier to build, require fewer resources, and are much cheaper. This makes it appealing to many homebuyers and many real estate developers as well. Of course, the sizeable investment that homebuyers have to put their money on land, but considering that land values are getting cheaper by the minute, this isn’t a huge investment at all.
Furthermore, real estate developers are investing in modular homes to save money on the homes they sell in the market. It’s appealing to homebuyers because these homes are cheaper, even if the developer has added value. There is also a variety of choices to be had that can fit anyone’s taste. Overall, it seems that modular homes are the future of real estate, but what comes alongside it makes these homes even more futuristic.
Smart Modular Homes
Those who want a futuristic home, one out of sci-fi movies, can invest in a smart modular home. You read that right, some modular homes come with smart home systems installed within them, and they’re not all that expensive either. Some of these smart homes come with smart speakers, temperature regulators, and automated HVAC systems. Sure, you might spend more by purchasing one, but the comfort it gives you is unrivaled.
Additionally, you can purchase these homes at a moment’s notice. Traditional homes still require about six months to build, and on top of that, the installation of smart devices can add a month to that. Smart modular homes can be made in half of that time with everything you need to live ready.
What Makes Modular Homes So Good?
Modular homes are disrupting the real estate sector because they are factory-based. Many traditional homes are built in a particular area, requiring thousands of carpenters and contractors to work together. That increases the expenses every developer has to go through. The time required to build a set of homes also takes a ridiculous amount of time. This way of building is also prone to accidents and delays.
However, with modular homes, real estate developers never have to go through the same problems again. Building times are reduced, manpower is reduced, and residential zones built with these homes can even vary in design. Some futuristic designs, such as smart systems, can be sold at a higher price but not higher than traditional homes being sold today.
More and more developers are starting to invest more into modular homes. By the end of the day, modular homes can be sold to homebuyers directly, and they can figure out where to build them and who’s going to build them by themselves. So there is still revenue ready to be made in that.
The Bottom Line
Experts believe that modular homes aren’t going to solve the supply shortage in the U.S. But it can certainly be a helping hand to many developers who need it. Modular homes are cheaper than traditional homes. In addition, they are far easier to build and have a more futuristic vibe to them. Eventually, this market will make trillions in the future, as more people start to accept that modular homes are the best way to go when choosing a home for your family.