Different Ways Modular Homes Can Solve UK Housing Crisis

Introduction

The housing crisis in the UK has been a contentious issue for a number of years, with a lot of attention from experts and politicians it is clear that a viable solution is needed. There have been a number of proposed solutions, from development subsidies to housing grants.

The recent development of modular homes has garnered some support and could present as a possible solution.

Housing Crisis

The housing crisis is an important issue that has had an adverse affect on social welfare, homelessness and the overall economy of the UK. A shortage of housing supply and an increased demand for housing has led to increased rents and long waiting lists for social housing. There are a number of suggested causes of the housing crisis, on both a public and private level. It has been suggested that the government has, for a number of years, not built enough houses to keep up with the growing demand contributing to an increased number of people who are forced to rent from the private sector.

This increased demand in the private sector has contributed to increased property prices and expensive rentals. In addition to this, the private sector supply has been constrained by the lengthy planning approval process and expensive build costs. The overall result of this is that neither the public nor the private sector is able to deliver enough homes to keep up with the growing demand for housing in the UK.

There are a number of suggested solutions for the housing crisis

Firstly, the private sector is motivating a deregulation of the planning approval process as well as development subsidies. This will speed up the development process and reduce property development finance cost, making it easier for developers to build homes.

Secondly, there has been increased pressure on the government to ramp up their house building efforts and increase the number of government housing schemes. This will enable the government to provide housing directly to those who need it most, which will take a great degree of pressure off the private sector. As previously mentioned, a new development in the construction of modular homes has generated a great deal of traction as a potential solution to the housing crisis in the UK.

Modular Housing Process

Modular housing is where houses are prefabricated off site and assembled on-site. Modular homes can be made in factories miles away from where they are to be assembled. This speeds up the construction of homes in a number of ways.

Firstly, factories are able to prefabricate the homes much faster than a traditional home. Secondly, the prefabricated homes can be swiftly assembled on site, meaning the developer will reduce the construction cost and time on site. Finally, the prefabrication of the homes means that the properties are less likely to have defects as they are closely monitored and easy to assemble. This will reduce the overall development time as there will be fewer snags in the construction process.

Modular Home Being Build In A Factory

Moreover, modular homes are much cheaper to construct than traditional housing. Given the fact that they are constructed in a factory and assembled on-site, they are generally all the same specification. This means that there is no need for complex design and planning for each house. This will mean an overall reduction on the professional fees associated with the development enabling development finance broker to finance more homes on a lower budget.

Disadvantages

While there are a number of benefits of modular housing, the industry has also experienced some setbacks.

Firstly, the construction of modular homes generally requires larger swathes of land. Given that most modular homes are single storey, family homes it is difficult to build multiple storey modular homes. This has contributed to a decreased urban densification and a higher requirement for land per home.

In addition to this, there is a negative stigma around modular homes, with tenants opting for traditionally built homes. This is due to the fact that they are perceived to have a lower quality than traditionally constructed homes as well as the fact that they are less customizable and are generally all the same specification.

Conclusion

There are a number of different ways in which modular homes could help solve the housing crisis. While their quick-and-easy construction is attractive to property developers and government entities looking to provide fast access to housing, they have a number of setbacks which should be considered prior to development. With this in mind, it is important that modular homes are not viewed as the only solution to the housing crisis, but rather, one of several approaches that should be used in conjunction with other solutions.