Saturday, October 4, 2014

Japan Modular Homes Offer Something Totally Unreal

Japanese modular home factories say they will build a completely custom home for their customers but rarely do. Instead they have a secret weapon that makes buying one of their standard house plans almost irresistible.

If you buy a home from their stock lineup of homes, they will give you a 20 year warranty on your new home…..damn, 20 years! No wonder modular housing has a 13% market share of all new home sales.

Of the almost 500,000 new home starts in 2013, 64,000 were modular. Compare that to the US where only 27,000 modular homes were built out of 885,000.

Do you think that if they decide to come to the US with their 20 year warranty, near net zero, fire resistant, earthquake proof homes that the US new home buyer will really buy one knowing that they can’t customize it?  My money is on any company in the US that can offer these features on their standard plan homes. How much time could be gained in the building process if customers’ choices were limited to appliance packages and interior/exterior design options?

Remember when Toyota, Honda and Datsun first hit our shores and the American auto companies scoffed? 

1 comment:

Anonymous said...

Come on Big Guy! If you think that the reason they have a 13% market share is their warranty policy on standard models, then you did not read all the publications in the late 80"s about modular building in Japan and comparing it to the same in the US. Star considering the average time ot build in anew home or add to an existing home in Japan using conventional construction methods and comparing it to modular. Next take a look at the typical building lot in Japan once again comparing it to the same in the US. Finally, take a close look at the building type and technology used to construct a modular in Japan and compare the same to it's US counterpart and the answers materialize rather quickly. You have me looking through some very old files so I can send off copies to you....