Modular Homes Market Set to Expand Over the Next Six Years, Data Reveals
Decreasing labour costs and rising construction timelines will lead to robust growth in the modular buildings market over the next six years, research shows.
Modular homes are prefabricated builds developed by package companies, or turnkey providers, away from the building site before being delivered to the intended site. While this type of build can be more expensive route for self builders, it can lead to faster on-site process and provides a more hands-off approach for the self builder.
New research from market research company Frost & Sullivan identified that while construction costs are higher with a turnkey approach, a net saving of up to 7% is achievable for self builders because of shortened construction periods.
These offsite construction savings on cost, labour and time are salient factors in driving modular buildings market growth worldwide towards $215 billion by 2025, Frost & Sullivan reports.
Environmentally Friendly Construction
Moreover, the adoption of environmentally-sustainable construction practices is helping to drive modular homes forward, with the adoption of automation and design tools increasing the quality of construction.
One such example of an environmentally-friendly modular home is Andrew Lloyd Webber’s five-bedroom self build in Hampshire, which uses only natural sustainable materials and smart heat pump technology to be energy efficient.
Earlier this year a campaign launched to make the building and construction industries more aware of the benefits of building more environmentally-friendly homes and reducing carbon emissions during all stages of a building’s life cycle.
Frost & Sullivan’s analysis, Global Modular and Prefabricated Buildings Market, Forecast to 2025, also notes that while significant market expansion is predicted, adoption may be slower initially in Europe due to comparatively slower construction activities compared with the high-growth markets of Eastern Europe, India, and Southeast Asia.
