The ADU movement has brought much attention to this building modality, as these units are typically smaller and owners often like seeing the finished product they will be getting.
Additionally, these products promote green building practices by minimizing waste through construction in controlled environments. And some products springing up are wonderfully designed, particularly if you are attracted to a contemporary esthetic. However, it remains to be seen whether prefabricated units are truly delivering on their promise of streamlining production, making ADUs more affordable, easier to install for homeowners, and faster to complete.
Many of the people we’ve worked with who have chosen this route of building their ADU have decided to do so based on these promises only to find out that there was much more to learn about the costs, the approval process, the delivery, and the onsite assembly requirements. In broad strokes, many new prefab companies have entered into the space, totted out strong marketing campaigns that make the idea of dropping a new home in the backyard as easy as deciding on a basic layout from one of their models and making some flooring and tile selections, without truly detailing for the customer what is involved when navigating the permitting, delivery and assembly of these units and how these issues translate into timeline and cost.
It takes quite a bit of experience to even understand where the firm falls on services when it comes to designing, permitting, and building a home. The first thing you will need to know is if the manufacturer or supplier is truly offering a “turnkey” solution, meaning that the company will handle every aspect of the design, permitting and construction of the unit on site with their own, well vetted team of contractors or subcontractors. If you are not in the industry, you may not know how to navigate the process. The trick is getting all the details and understanding the costs at various transition points in the chain of responsibility.
One way we help our clients who are considering this route is providing them with a checklist of questions to ask so they have some idea of the issues involved in taking on this strategy for the project. And while it is possible to look through their brochures and contract to review their process and price, it is hard if you’re not a seasoned professional to know what is not there, and what your options are.
As a starting point, it is crucial to thoroughly question the company about their services. Here are some key points to address:
Customization: Can you personalize the home to suit your preferences?
Permitting: Will they handle the preparation and submission of local permit documentation? How efficiently do they respond to plan check comments? Who is responsible for tracking the permit status?
Contractors: Do they have a vetted team of available contractors for foundation, utility connections, and site work? How experienced are these professionals? Do you have to identify and coordinate these professionals?
Delivery Timeline: What protections are in place if there are delays in permitting or subcontracting? Will you be charged for storing the unit during such delays, many of which are not in your control?
Assembly: Does the company have a vetted collection of contractors capable of assembling various components on-site?
By getting clear answers to these questions, you can better determine if the company is a good fit for you and whether they meet your needs and expectations.
Many firms are entering the prefab space for the first time, claiming to be one-stop shops that will guide you through the entire process. However, after submitting a deposit, customers often discover gaps between what these companies promise and what they actually deliver. We strongly recommend investigating how many projects a company has successfully completed in your jurisdiction and requesting a list of local references to gauge what their overall experience was with the company.
Despite the promises of ease, efficiency, and lower costs associated with prefabricated units, we have yet to see substantial evidence supporting these claims. The jury is still out on whether these units can provide significant advantages over traditional stick-built homes. Furthermore, it remains uncertain how well these prefabricated ADUs will retain their value over time compared to their conventionally constructed counterparts.
HelloADU is a third-party objective partner with the simple goal of making sure you’re informed and successful in realizing the full potential in building a new home that will serve your family for generations to come. We hope to hear from you before you sign your name to anything or find yourself overwhelmed with the complications of building housing in a complex and dynamic construction environment. As always, we wish you the very best of luck on your housing journey!
Sincerely,
The team at HelloADU
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