If you happen to be on the market for your first, second, or even third home, and are not too keen on taking out a 30-year house mortgage from a bank, then a prefabricated home may be a good option for you.
Actually, an article on How Stuff Works pointed out that prefab homes have been a great housing on a budget strategy since the early 1900s, costing on average 20-40% less than traditional stick-built, architect designed homes.
What are prefab homes?
Essentially, prefab housing is a system where a house is pre-manufactured in parts off-site (usually in a factory) and then delivered, also in parts, on a building site to be put together by a handful of people, skilled in building a home.
Imagine getting a box from Ikea and getting ready to assemble a book cabinet or a table, only this one will have thousands more building pieces — and considerably heavier and more complex. But that’s still a house in a box!
In addition to their affordability, energy efficiency and speedy construction, prefab homes have also been adapted over the years to meet the architectural designs of more current times.
Prefab home manufacturers constantly implement the latest innovations into their designs for that high-end, updated, modern look within a sustainable, purposeful living space and all around zen.
So how much does a modern prefab cost?
According to the guys at Stillwater Dwelling, the average total project price for prefab homes range from $350 to $450/sq. foot.
This is a national average. Needless to say, the site conditions (location, topography, soil conditions, etc.) and choice of finish will impact the total project cost.
There are wide options of finishes depending on your personal taste and how much you are willing to invest in a place you will soon call your home.
For a better understanding of the costs you’d be looking at, Tough Nickel has listed a few sample prefab homes and unit prices, ranging from $75,000 as one of the cheapest to $566,000 as some of the priciest.
The biggest con amidst all these pros however is that you have to own the land you build your prefab house on. This means on top of the price of your home kit, you will have to buy the land.
The cost of getting the land home-ready, e.g. power and water installation, are also at your expense.
Other costs you should factor in
According to SmartAsset, you would most likely need to shoulder cost for inspections, permits and soil testing on the land. This can all easily add up and therefore needs to be factored in beforehand. Like everything else in life, good planning can make a world of a difference.
Overall, building a modern prefabricated home is no doubt a cost-effective way to put a permanent roof over your head.
You just have to take your time and do your research, discuss your ideas extensively with every manufacturer you are considering, and take full charge of the construction of your own home. Happy building!
Learn more about prefab homes
* Please note that this section contains affiliate links and we might receive a small commission if you make a purchase by clicking on these links *
Here is some recommended reading and great inspiration if you are considering getting a prefabricated home. We curated this list of helpful resources to give you access to more comprehensive information on the costs of building a prefabricated home, best practices and tips to make it as energy efficient as possible. Please note that the following affiliate links might earns us a commission if you buy any of the guides or illustrated books.
Prefabulous and Sustainable: Building and Customizing an Affordable, Energy-Efficient Home Tiny House Designing, Building, & Living (Idiot’s Guides) Prefabulous + Almost Off the Grid: Your Path to Building an Energy-Independent Home And if you just want to look at gorgeous prefabricated homes, make sure to grab this for your coffee table: Prefabulous Small Houses – Hardcover
Let’s start at the beginning: What is an HOA and why do communities have them?
According to Investopedia, “a homeowners association (HOA) is an organization in a subdivision, planned community or condominium that makes and enforces rules for the properties within its jurisdiction. Those who purchase property within an HOA’s jurisdiction automatically become members and are required to pay dues, known as HOA fees. Some associations can be very restrictive about what members can do with their properties.”
An HOA is typically established to make and enforce rules regarding the properties within the jurisdiction. And while they play an essential role in maintaining a community’s guidelines, HOAs can, at times, feel overbearing because of the many guidelines and restrictions they put in place.
And since many people wonder what makes living in a neighborhood with an HOA such a pain, we thought we’d share some of the crazy HOA stories people have posted on Quora — and let you decide whether living in a community with an HOA is the best option for you.
Bad experiences with homeowners associations
#1 Ken’s wooden beams, cherry tree and propane tank
“You do give up certain freedoms regarding maintenance of your home and property, as well as having to adhere to certain standards of conduct. For the most part, these rules are for the good of all and serve to enhance the quality of life in the community and help to maintain property values.
However, it all depends on the individuals who run the HOA. Unfortunately, these organizations are often controlled by retired people with a lot of time on their hands who delight in enforcing mindless rules.
I had several negative experiences with these organizations. The first two were in the Pittsburgh area.”
The wooden beams
“My home’s driveway was lined by wooden beams embedded in the ground. I had only lived there for about a year, and these timbers were rotting. I received a letter from the HOA telling me that these timbers must be removed or replaced in two weeks or I would be fined. Two weeks seemed pretty unreasonable for a considerable amount of work. These timbers were really only visible to someone actually on my property, so they weren’t a community eyesore. They had to have been rotting for quite some time, yet the former owners were not asked to replace them. I did agree that the work needed to be done, but two weeks was an unreasonable time frame. I asked for and received an extension to six months.”
The cherry tree
“My next incident was when I was having some trees pruned. There was a cherry tree planted very close to the house. When the worker was about to prune it, he discovered that the tree was basically hollow and infested with carpenter ants. I had actually noticed the occasional ant in my house. The tree was dying. Rather than pruning, I had it removed. The HOA was upset because I had the tree removed without permission. They tried to fine me $100. Apparently, I should have sent my worker home and then requested permission to remove a dying tree from my property, one that was leading to carpenter ants entering and potentially damaging my home. I sent them a rather nasty letter telling them that I would not pay a fine when the need to remove the tree was obvious. I didn’t need permission to get it pruned, and I only had it taken down because it was diseased. Obviously, permission would have been granted to remove a tree in this condition. They backed off the fine.”
The tank
“I’ve since moved to Hilton Head, SC, where most homes are in gated communities with HOAs. I had an recent run-in with them. On the side of my home, there was a propane tank. It had been there at least ten years prior to my buying the house. It was concealed behind some hedges. Someone from the HOA saw this and I was sent a letter informing me that, according to the rules, the tank must be enclosed in a service yard or have some sort of structure around it. Having it behind hedges was not acceptable.
The former owner who installed this tank, who still lives in the community, was once the head of the HOA. No action was ever taken against him. I am the third person to purchase this house since the tank was originally installed. None of the prior owners were fined. The HOA allowed the house to be put up for sale three different times while it was out of compliance with the community rules. Then out of the blue, they decided to fine me for a tank that had been in place for at least nine years and three owners before I ever owned the house.
I tried to protest, as the tank is not at all visible from the road (one of their stated reasons for this rule in the first place), but I was basically told that regardless of its history (and their failure to enforce the rules before), it was my tank now and I had to move it. So I had to pay nearly $300 for the propane company (which actually owns the tank) to move the tank into a service yard.“
Source and link to full comment
#2 Katrina’s grass length and nephew’s bike
Her thoughts on why you should never move in a neighborhood governed by an HOA?
“Because they control everything!
The height of your lawn, the color of your siding, how many cars in your driveway, what plants are grown out front, if you can have a fence, how high the fence is, what color of the fence…. I can go on and on and on. You have limited control of your own property, and you pay dues…. Yea!!”
The cars in the driveway
“My sister and her husband moved to a community with a HOA, she moved 200 miles away from us. Naturally, myself and my parents helped her move.
We decided to spend the night there, my they had a long driveway. It was meant for cars and boats because the community was near the water. So we pulled our 4 cars into the driveway. The last car had about 12 feet extra before reaching the sidewalk.
We were unloading her belongings when the local community police department showed up, they wanted to speak to my sister.
Apparently she broke an ordnance because more than 3 cars were in her driveway, we didn’t get the stuff out the car first…. It was a fine, our first 15 minutes at the property.”
The nephew’s bike
“Another time (same place) my nephew left his bike on the front porch, the same people show up to fine my sister for the bike… Yes a 6 year old’s bike barely visible on a porch was fine worthy.”
The length of the grass
“Grass, in Maryland it is hot and humid and the grass grows so fast, neglect your yard for a week and the grass is knee high. My sister’s husband cut the grass, almost weekly. They would routinely (every week) go on to the property with a ruler and check the grass height.
They were just over a bit and they came on to their property and cut the grass for them, fined them and charged them for the cut.”
Source and link to full comment
#3 Ted and his A/C-less summer
“One spring, found my A/C quit working at my townhouse. The compressor was located off a mini deck built one floor up specially constructed to hold the compressor. Problem is, I had to have it replaced. Another problem, they didn’t make SEER 10 anymore and had to get SEER 13. SEER 13 units are bigger, heavier and wouldn’t fit on the mini deck. I had a structural engineer check it out, would cost me about $13k to have that deck made bigger (long story). Alternative was to move the compressor to the front of my unit.
HOA made me contact three neighbors and have them sign off on my architectural mod. Then they took all summer to approve the job.
Read that part again.
I found the problem in spring, immediately complied by getting the neighbors signatures, and I didn’t have A/C until the job was approved in August.“
The window unit
“Oh, and as a stop gap measure, I bought a window unit to get me by the summer months until they allowed me to install the new unit. It took the edge off, kept it from getting over 90°F inside.
Took about a week before I got a nasty gram telling me to remove the window unit (against the rules) or get a hefty fine. So, I put it in the window where it shared space by the broken a/c compressor (in other words, hard to see). Got a nasty gram within two days threatening a fine.“
The grey front stoop
“Another story – my next door neighbor bought his place with his front stoop painted grey. He didn’t paint it; the prior home owner did. He gets a nasty gram saying painted stoops are against the rules. It’s gray paint, I didn’t even notice it was painted until it was pointed out. Neighbor fought it at the next meeting. Had pictures of other painted stoops throughout the community (a few others did exist). He made sure he also captured unit numbers. It was noted during the meeting that one of the painted stoops happened to be the porch of the HOA president. They dropped the complaint against him.”
Source and link to full comment
Now, we’re not saying that all HOAs are bad. Nor are we encouraging anyone to move to a neighborhood governed by one. But since knowledge is key when making a life-changing decision like buying a home, we thought these stories will give you a better understanding of some of the challenges you might face when moving to a neighborhood with an HOA.
Have any stories you’d like to share? Maybe some stories of how your HOA is doing a great job for your neighborhood? Drop us a line at [email protected]
More helpful tips:
Can You Sell a House and Buy Another at the Same Time? We Explore Your Options How Much Do Modern Prefab Homes Cost? A Step-by-Step Guide to Buying a Property for Airbnb
As you begin to approach older age, a big house may not have the same appeal as it once did.
In homes with multiple levels, for example, getting around may become increasingly difficult or there just might not be the need for many rooms.
Similarly, once you retire, you may wish to shift your focus to different priorities in life; while a big home may have been ideal while raising children, something a little smaller could afford you the ability to travel and spend your hard-earned money on something other than a mortgage payment.
It’s no wonder then that downsizing can offer many possibilities to those searching for something different. The choice isn’t an easy one, however, and there are many factors to take into account any questions you need to ask before committing to a move like this.
When Should You Downsize?
There’s no right or wrong time to downsize but you’ll find that most often it happens before the age of 65 or around the age of retirement.
Apart from the physical work that downsizing takes, it can also be a rather stressful and emotional time for homeowners, especially if they’re leaving the home they raised children in and established so many memories.
Because of this, it’s best to commit to the process while you are still capable and the toll won’t take too much out of you; if you’re already unable to move around your home as freely as you once did, you’re at a disadvantage.
Even those in fine health may see the benefit of downsizing, however. If you don’t have the need for such a large space or simply want to save money, downsizing might be more economical or practical. This guide goes into a bit more detail about the economic benefits of downsizing.
Take Your Time
Another reason downsizing before the age of 65 is ideal for many is because it gives you the ability to take your time.
Instead of feeling like you’re being backed into a move you aren’t ready to make, starting the process early can help ease the transition.
This starts with finding out your home’s worth and calculating the profit you can expect to make from a sale. Taking your time allows you to evaluate the market and, with the help of an estate agent, sell for a good price.
Relocating
The same way a real estate agent can help you sell your home, they can also help you relocate and find a new one that meets your every need.
In some cases, this may just be a smaller house or apartment in the same area you live in now but for some, they’ll find the opportunity to research and visit retirement developments that cater to retired residents. In any case, it’s important to consider why you’re downsizing in the first place; there are many possibilities for those looking for something smaller and more affordable with fewer stairs to climb.
Paring Down
Another bonus of starting the process of downsizing early is that you’re afforded the extra time to go through your belongings and pare them down properly. It’s the perfect opportunity to evaluate your assets and to purge belongings that won’t be essential in your new place.
For example, start your packing and paring down in rooms that you know you won’t likely have once you move. Get rid of duplicates and things you won’t need by determining whether you can sell or store them.
In many cases, things you no longer need can be passed down to children or relatives. Similarly, making a note of the things you absolutely can’t do without will help you determine just what kind of square footage you’ll need in a new home.
Whether you’re downsizing for practical or economic reasons, there are many advantages to starting the process early and going through the proper channels to ensure a transition that is as smooth as possible.
While only time and support from friends and family can help ease the stress and emotions that come with saying goodbye to a home you’ve lived in an loved for decades, a real estate agent can help with everything else. With their help, you’ll be able to find something new that suits your budget and every need, where you’ll be sure to make even more great memories for years to come.
More resources:
Why There’s Never Been A Bigger Need for Senior Housing Options Why Hire a Professional Interior Designer? Here are 6 Top ReasonsHow Much Do Modern Prefab Homes Cost? Here’s Why You Shouldn’t Buy a House in a Neighborhood with an HOA
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About four in 10 elementary school students bring lunch from home. But it’s not likely to be a good one, according to a 2014 study from Tufts University.
Not one of the lunchboxes examined met all five National School Lunch Program standards, and only 27 percent of the meals met at least three NSLP recommendations (fruits, vegetables, low- or nonfat dairy, whole grains, and meat or meat alternatives).
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How ready do you feel?
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