7 ms·
Lots of interest comments on the efficiency of building homes. The bigger issue is the cost of land. The differential for land to build is often 10:1. So even
by josh_s 4mo ago
Lots of interest comments on the efficiency of building homes.
The bigger issue is the cost of land. The differential for land to build is often 10:1.
So even if the prefab shave 10-20% the price for a custom build, it's still not making much of a difference for the normal buyer.
unless a develop or government was opening up mutiple parcels of land well below the costs to build a house, prefab is not really going to be worth it.
- fragmede 4mo agoWith what size housing unit though? If we're trying to make livable dense housing, the developer is going vertical and getting much better than 10:1.
- josh_s 4mo agoyep, and that's what we see a lot of round here. this is still not driving pre-fab adoption. ie, a single family dwelling selling for $3m, knocked down and replaced with 8x apartments sold for $750k. no interest doing a prefab single family dwelling at any price.
- meetingthrower 4mo agoRight but that margin is tight!? Total rev of $6m, entry cost before anything built of $3m. $3m to play with. 8 units selling for $750k and you want to build them for under $300k a piece? Tight.
- trollbridge 4mo agoTrailer parks are a thing that does exist; you can even often find an available slot in one. It turns out that most people don't want to live in a highly-dense area with mass-manufactured housing.
- bombcar 4mo ago> The differential for land to build is often 10:1. What does this mean? Land around here is cheap as free.
- stouset 4mo agoThat is almost assuredly because nobody wants to live there. Now try this for locations that people actually want to live in.
- davkan 4mo agoIf the land cost is 10:1 then chances are that is a lot ripe for townhomes/apartments. Desirable single home plots in the suburbs of my mid sized city are like 1:3 with the cheapest new builds from a local builder.
- deleted 4mo ago[deleted]