Benefits of Real Estate Development with Modular Construction

Real Estate is the business of buying and selling property such as houses, land, apartments, etc. Modular construction also comes under real estate. It is one of the most recent trending construction styles and has had significant growth among all other real estate building methods. Profit can be substantially increased if proper knowledge about the real estate economy is gained. A successful real estate investor should move with the time. They should invest in the new trending business such as modular construction. Here we will break down what modular is construction and the benefits associated with using it for development.

Do you think modular construction can be a gold rush in real estate? Well, here are some benefits to how modular construction is going to change the real estate business. But before that, you need to know that the business in the US has been doubled in the last five years due to modular building.

What is Modular Construction?

The construction process in which the building components (known as modules) having the same standard and design is manufactured and transported and installed to form a building. The modules have identical design intent and specifications. Modular houses are made using various small 3D building components using robotics and artificial intelligence. The detailed planning and integration strategy are implemented for “Modular Construction.” Some of the benefits of modular construction are as follows:
1.) Involves minimal workers
2.) Will shorten project design and engineering time
3.) Reduces costs
4.) Improved construction productivity
5.) Smarter ways of construction
6.) High quality
7.) Flexibility and reuse
8.) Economical and green Eco-friendly

The demand for modular housing is increasing due it its costs and quality.

How does Modular Construction impact Real estate business?

The population in the mega-cities is growing daily due to lots of opportunities and facilities. More than 10 million population resides in mega-cities. But due to unfavorable plannings, most people suffer from uncomfortable living standards, unhealthy climate, slums, etc. If they are to be supplied with the healthy conditions home, then approximately 95 thousand apartments should be built in a day. (M. Generalova, P. Generalov, & A. Kuznetsova, 2016)
This is where modular construction takes place. Since it saves time and money, it is growing rapidly. From tiny house to guest house, it is possible to be built. Also, Skyscraper building is also possible with modular construction. Hotel giant Marriott is constructing a 26-story skyscraper building. The plan is for it to be built in just 90 days with the cost of $70 million dollars only (Tangermann, 2019). So, modular construction can be a gold rush in real estate.
Growing Real Estate Business with Modular house
It’s a great opportunity for Real Estate investors to invest money in a modular house. The usage of the modular house is growing day by day and also, the design and architecture of modular house-made looks beautiful so, there is no worry of buying and selling the modular house. Moreover, the houses are customizable.
Real estate investors can make a long term partnership with modular supply factories. A factory is able to produce more than 1000 modules a year. So, the real estate business can fulfill their own demand for constructing numerous modular house and make a profit from it.
Faster and less construction waste )
The fabrication of modules is done in a factory. So, it’s more cost-effective and easier for recycling the materials. The modular construction helps to lower the landfill waste (Woollard, 2020).
Modular home construction is fast and efficient. The five-story building was just built in 11 days with 110 units in it. So, it’s a great benefit for real estate investors. They can buy or sell buildings within a week and making a plan for building design according to the customer’s requirement doesn’t take time.


The flexibility of modular home construction is one of the noticeable benefits to real estate developers. The building design and construction can be changed according to the client’s requirements. The addition and removal of modules are possible in the home’s construction. Also, the modules are reusable so, the material doesn’t get wasted.

Can Modular Housing bring even more benefits to Real Estate?

Now considering the data provided and and recent trend in home buying, the answer is yes. The demand for a modular house is increasing daily. Since a modular house doesn’t consume hardly any time during the building process, as well as it is cost-effective; it is one of the most beneficial businesses in real estate. Not only a modular home, the demand for the modular guest house, hotels, skyscrapers is also high. So, there is no doubt that modular construction brings benefits to real estate.
Buying and selling of a modular homes are easier than that of traditional houses. Since the houses are customizable, it becomes easier to meet customer’s demands frequently. A real estate developer can build a number of houses in a short period of time, which will bring them enormous profit.
But it’s also true that modular construction needs high investment knowledge, a skilled team, and transportation facilities. A small real estate investor can start with a small house project first. Then, after they understand the dynamics of how development works they can expand their business. This growth method doesn’t take really any time at all. Modular construction is having the ability to be cost efficient while having production consistently met, while not having to worry about a stick builder accidentally build a faulty foundation!

Conclusion: A gold rush in real estate waiting to be utilized.

With the rising increment in the popularity of modular home construction, there is no doubt that Modular construction can be a gold rush in real estate. It has less environmental waste which makes it eco-friendly. Also, it has solved the major problem of time consumption in the construction of building.
The other benefit is the addition and removal of modules is easier. It’s easier to fulfill the customer’s requirements. Also, the usage of artificial intelligence and robotics increases the speed of production of modules with speed and precision. Developers will benefit from the construction company having the ability to complete more housing orders within a short time span. This leads to a quicker ROI (return on investment). Whether constructing commercial buildings or residential modular is the way to go when it comes to


Faiz Musa, M., Reeza Yusof, M., Fadhil Mohammad, M., & Mahbub, R. (201). Characteristics of Modular Construction: Meeting the Needs of Sustainability and Innovation. IEEE Colloquium on Humanities.

M. Generalova, E., P. Generalov, V., & A. Kuznetsova, A. (2016). Modular Buildings in Modern Construction. Science Direct.

Tangermann, V. (2019, August 7). This company says it’ll build an entire skyscraper in 90 days. Retrieved from Futurism:

Woollard, D. (2020, Jan 1). 2020 trend: The Continued Growth of Modular Construction. Retrieved from Millionacres:

Leave a Reply

%d bloggers like this: