Factory Price vs Completed-House Price

A factory contract may cover modules and selected delivery or set work while excluding much of the completed property.

Reviewed for destination-code contextInternational with U.S. and Canadian emphasis
Permanent-home context: This guide uses “modular home” for a code-compliant building made as three-dimensional modules, transported to a permanent site and assembled on an approved foundation. It does not use the term as a synonym for a trailer, mobile home or HUD-code manufactured home.

Define the factory boundary

Ask whether the price includes design approvals, appliances, transport protection, freight, crane, set crew, roofing closure, siding closure and interior marriage-line finishes.

Model-home pricing may assume standard finishes, a nearby site and no unusual destination requirements.

List site exclusions

Excavation, foundation, services, permits, local trades, steps, decks, garage, driveway and landscaping are commonly separate. Some dealers coordinate them; others do not.

Sales tax treatment and currency can also differ between factory and site contracts.

Create an equivalent comparison

Normalize quotes into the same categories and quality level. Add credible third-party estimates for exclusions before ranking suppliers.

The cheapest module package can produce the highest finished cost if it creates difficult site interfaces or requires distant service crews.

Apply this guide to a real project

For factory price vs completed-house price, create a dated project note tied to the destination address and current drawing revision. Identify the authority, designer, factory or contractor responsible for each unresolved item. Attach the written evidence for ‘What exact milestone defines factory completion?’ and ‘Are transport, crane and set included?’ rather than recording a verbal assurance.

Before a deposit, production release, shipment or final payment, convert every open question into a named action with an owner and deadline. Keep superseded drawings and decisions in the record so later inspectors, lenders, insurers and future owners can understand why the completed house differs from an early sales plan.

Questions to resolve before proceeding

  • What exact milestone defines factory completion?
  • Are transport, crane and set included?
  • Who completes exterior and interior module seams?
  • What site costs are supported by written quotes?
Stop point: Do not sign based on a price-per-square-foot figure without a full inclusion schedule.

Primary references to check

  • Destination building department, approved plans and project contracts