Modular home building is one of the fastest-growing segments of the home construction industry. It provides a higher quality home at less cost and in less time than building the same home on site.

Recently caught in the middle of a lagging housing market, some manufacturers of factory-built homes have realized that efficiency and sustainability are a very smart business strategy. Today modern modular building has become an appealing alternative to stick built housing for many reasons:

The modular housing industry has more than a few characteristics that today might be considered eco-friendly — from reduced waste to recycling and a smaller construction footprint. The basic principle of prefab construction is that sections of a home, or modules, are built in a controlled factory environment, transported to a project site upon completion, and then connected and placed onto a foundation. Depending on the complexity of the home, designers can employ anywhere from two to 50 structurally connected pieces.

A modular home is built in sections in a controlled factory environment. About 90 percent of the home’s construction is completed including walls, windows, ceilings, roofing, floors, stairs, plumbing and electrical, cabinetry, counter tops and decorative flooring. Heating and air conditioning may be added in the factory or it may be added on site. The sections are individually covered and then shipped to the home site where they are assembled onto a pre-constructed basement or foundation.

You will find high-end modular housing companies like Michelle Kaufmann Designs and LivingHomes (both based in California) who are taking the green concept to new levels, designing for the luxury market with amenities like rainwater reuse, tankless water heaters, bamboo flooring and very cool designs.

At the lower end of the economic scale, modular housing manufacturers are advertising their green credentials. Typically, modular homes are built with thicker walls and floors to withstand transportation, and are held together tightly with screws and glue — instead of just nails. They claim that there is higher energy efficiency due to the extra insulation and tighter, less draft-prone seams and that they have moved away from materials like toxic paints.

A modular home can be designed to be totally “green” with the use of natural, non-toxic and sustainable materials.. For example, an eco-friendly kitchen can be added in the factory. Geothermal cooling and heating can either be added in the factory or installed onsite by a local contractor.