by Ar. Sanskriti Shinde | Modular Pre-fabricated Homes, Wooden Homes | 26 December, 2025
One of the fastest-growing cities in India, Pune is a place where each square inch comes at a premium. Real estate prices have blown out of proportion. Homes have become costlier than ever. For many, buying a 1BHK flat in certain localities has become a tall tale! So, a traditional home is no longer as affordable as it was a couple of decades ago.
This is where Prefab Homes come into play. Lately, they have become a popular alternative to conventional homes. Of course, cost is not the
only factor contributing to the popularity. But it is a significant one. Prefab Homes have turned out to be much cheaper than their age-old counterparts. However, as more
people build Prefab Homes, one question that
frequently comes up is whether it is cheaper to build a single-story prefab home or a
multi-story one. Now, both layouts have clear advantages, and their costs depend on various factors such as
design, land size, installation requirements, and long-term use. In this blog, we have answered
this question by breaking down the key cost differences between the two.
Basic Understanding of Prefab Construction – What Prefab Homes Mean
Before we look at the cost breakdown, let us quickly see what prefab construction means.
Whether modular, manufactured, or panelized, Prefab Homes are built in a controlled factory environment. Once ready, the modules are transported to the home for assembly. Most of the construction takes place in an indoor factory premises. That eliminates or significantly reduces factors such as weather delays, labor shortages, and inconsistent craftsmanship. As a result, the timelines and pricing are more predictable.
Cost Factors Common to All Prefab Houses
Whether single or multi-story, each prefab home involves some common cost-related factors. These include the following.
- Materials: Prefab materials are standardized, ensuring cost stability.
- Labor: Most labor tasks happen in the factory. This reduces on-site expenses.
- Logistics: Factory-to-site distance influences transportation and crane costs.
- Site Preparation: Clearing, grading, and prepping the land also involve costs.
- Foundation and Utilities: Foundation size differs based on the footprint.
- Finishing Touches: Drywall, flooring, cabinetry, and fixtures add to the budget.
Let us now see how the cost of the above factors influences the cost of single and multi-story homes.
Single-Story Prefab Homes: Cost Breakdown
Single-story prefab residences are known for their simplicity and reliability. However, they usually involve a larger footprint that directly affects different cost areas.
A single-story prefab home can cost more per square foot because it requires a larger foundation area, a larger roof structure, and extra land for the extended footprint.
Nevertheless, the home offers many benefits, including easy mobility, faster installation due to fewer structural complexities, lesser material requirement and simpler plumbing and electrical routing. On the other hand, such homes have some disadvantages as well. Their land surface requirements are higher. Besides, larger roof exposure leads to higher heating or cooling loads.
Multi-Story Prefab Homes: Cost Breakdown
Multi-story Prefab Homes expand vertically. Although they need a lesser surface foundation area, they require you to dig deeper to create a strong foundation. This considerably increases the cost of the home. On the other hand, some additional cost considerations of multi-story Prefab Homes include;
- Engineering for structural support
- Staircases (g+1 structure staircase), railings, and additional framing
- Staircase circulation area
- Multiple slab construction
- Complex installation requiring cranes
- Higher labor costs for multi-module stacking
Single-Story vs. Multi-Story: Direct Cost Comparison
Let us now look at a direct cost comparison between a single and a multi-story home.
| Cost Category | Single-Story | Multi-Story |
|---|---|---|
| Roof | Higher | Higher |
| Foundation | Higher (larger surface area) | Lower ( a comparatively lower surface area, yet, you will have to dig deeper to create a strong foundation) |
| Land Requirement | Larger | Larger |
| Installation | Lower | Higher (due to stacking) |
| Interior Construction | Lower | Higher (Due to stairs, reinforcements) |
| Utilities | Simpler | More complex |
Thus, apart from the surface area, every other requirement of a multi-story home is greater than a single-story home. A multi-story home requires more materials, deeper foundation, involves a more complex design, and a higher interior design requirement. So, is a single-story home the only option? No. Let’s look at some tips to control prefab home costs.
Tips to Control Prefab Home Costs
While already cost-effective, building a prefab house can become more affordable. Here are some generic tips for it.
- Choose standard layouts.
- Avoid making changes after the manufacturing begins.
- Work with customer-centric Prefabricated House Manufacturers to optimize costs.
- Optimize land grading to avoid costly site preparation.
More Reading: Explore New Blog on How to Save Money with Prefabricated Homes: A Guide for All
Need a More Specific Cost Comparison for Your Prefabricated House Price in Pune?
Visit Vrisa Innovation. We are Prefabricated House Manufacturers in Pune. but have a nationwide clientele and presence. Prefab Homes are our forte. Therefore, we optimize each element of your house, including its cost, building an economical, yet safe and aesthetically pleasing home. So, why wait and think? Email us at info@vrisainnovation.com and get closer to fulfilling your aspiration of a prefab home.