Investing in property is a pretty good way to go - it’s not a bulletproof investment and there are certainly risks involved as with any business venture, but real estate is still one of the safest bets. Housing shortage is a problem that many developed countries like America and Australia are now facing. As mentioned in the ABC news report, the biggest problems in Australia are that banks are still pretty reluctant to loan money to entrepreneurs involved in housing construction and the fact that the government relies heavily on high property taxes as a primary source of public revenue.
So we can see that there are a number of problems that are preventing a big boom in the construction industry and the revitalization of the real estate market, problems like high costs, lack of skilled labor, high interest rates, taxes and a reluctance to invest in housing. Young people in their mid-twenties to mid-thirties are the ones that find it most difficult to find a home of their own. The solution seems to be building and renting low-cost housing, but with all the aforementioned problems potential investors are dissuaded from taking action as they feel that investing in housing will yield a very poor return on investment. We need to implement different tactics and utilize modern methods if we wish to find a viable solution for the housing problem.
What are some the methods we can use to improve the situation?
The best way to cut costs is to streamline the construction process and build faster. In order for this to happen you need plenty of skilled labor and a big budget. There is, however, a way to speed up the construction process and reduce costs - utilizing modern modular construction methods. Entire rooms (referred to as pods) are prefabricated offsite and are later installed in your housing unit. These modular pods are ideal for use with multi-unit housing and can be produced quickly and installed within hours upon delivery. This ensures that the construction is done with quality in mind, using modern production methods, in a controlled environment and under close supervision. It also allows a large number of units to be produced fairly quickly and under the same standards.
How do modular pods help reduce costs?
First of all, they can be outright cheaper than onsite construction, but the construction costs are pretty much equal to those of onsite construction in a lot of cases. So, how does this help if there really isn’t much of a price difference? Well, the true value of this type of modular design lies in the fact that it saves you a lot of time. Let’s say you decide to install modular bathroom pods in your apartment complex instead of going the traditional route and having the bathrooms constructed onsite. These pods will be constructed in a factory, under optimal conditions and in a production line. This means that there are no external factors that can delay construction and that the construction process is streamlined and incredibly efficient. This in turn leads to a much shorter construction time, while the subsequent installation only takes a little over two hours. You can effectively cut your construction time by a third compared to onsite construction.
Less time on construction means less money lost to loan interest on units sold off the floor plan, which can amount to a significant total saving. You also save on site costs and preliminaries since the whole project is completed in far less time than it would take you to finish it using onsite construction – installing modular bathrooms usually cuts construction time by anywhere between 10 and 20 weeks. And the most important thing is that you get high-quality service and a lengthy warranty – you don’t risk under-qualified workers making mistakes or the project getting delayed due to external factors. When you put all this together it’s easy to see that modular pods allow you to reach your goals in far less time than with the traditional method of having a number of workers slowly complete the project onsite.
Saving time is important, but what about the quality?
People often think that a speedier construction means that the workmanship is subpar. Modular pods are produced by big companies in factory conditions rather than a handful of workers working onsite, which allows for greater quality control. Some companies even specialize in a particular type of product like bathroom pods; they use production lines and have all the necessary tools to put out a consistent product that matches all the established criteria. The pods are subjected to durability tests and are effectively insulated during transport. They are made to last, made with all the bells and whistles and made to specification. You receive a sturdy, high-quality, customized product that can be installed with speed and ease and comes with several years of warranty.
There is no denying that the housing shortage poses a serious problem and that there are many obstacles facing those willing to invest in housing. One way of dealing with the problem of added costs is to ensure a speedy construction. A good way to get things done quicker, save on labor costs and still ensure a high level of quality that is consistent is to use modular construction methods and incorporate prefabricated pods into your project. Saving time equals saving money and there is simply no faster way to go about housing construction.