The impact of modular buildings during the COVID-19 pandemic is one of the most significant supports that pulled and pushed the healthcare industry forward during that difficult time. Modular healthcare buildings became the foundation of the healthcare industry to operate efficiently. Today, more businesses from different fields rely on modular buildings for many reasons.
One of the best points of modular properties is their value. Since they’re durable and versatile, more people consider them over permanent buildings. But, since many are still undecided whether investing in a modular property is worth it, some consider renting a modular space instead to save more.
Many real estate companies today provide ownership, rent, and lease terms for modular properties. Thanks to this, business and residential owners now have more options that fit their budgets better. If you’re looking for a space for your business or home needs and still unsure whether buying or renting a modular space is better, this post is for you. Here are tips to help you decide.
1 – Determine the purpose of the space.
First, you must determine the purpose of the space. If you need a space for personal use, remember that renting a modular space has disadvantages. One is the build quality, size, and neighbouring units around you.
Usually, modular buildings or spaces are for business purposes. The rate of consumers renting or buying modular property for personal and residential use is still uncommon. If you’re looking for a space for your business, renting a modular space could be the best option because it’s likely cheaper than the rates of units in traditional properties.
2 – How long do you need the space for?
About the first tip, knowing the duration of your space use will affect your choice. If you need a space to start your business but have plans to expand and move to a permanent location within the next five years, renting a modular property is better. If you’re also not particular about the design and layout of the modular space, renting would work for you.
On the other hand, buying a modular property could be the better option if you plan to use the space for other purposes in the future. Building a permanent modular property is a wise option if you want a place you own but at a more affordable value.
3 – Is the nature of your activity suitable to the modular property and its surroundings?
If you’re using the modular space for business, you must consider the long-term compatibility of the modular property with your daily operations. Why? If your business involves customers visiting your unit daily, renting a modular space may not be the best option, especially if people are renting out your neighbouring units.
Renting is an option if you use the space because you want a secluded and private area to run and manage your business. If you need a bigger unit but have a limited budget, you can rent a single, detached modular property that your customers can visit. Doing this prevents you from causing inconveniences with neighbouring units if you rent a modular unit space only.
4 – Do you need a space immediately or not?
One of the ultimate reasons people rent a modular property instead of buying is its quicker turnaround time. Buying a modular property that you can own is already fast, but renting may be the best option if you need a space that you can use in days or a week.
Unlike traditional properties, renting modular properties is quick because, despite their popularity, many are unfamiliar and sceptical about them. Because of that, it’s easier to find one you can use immediately.
5 – Ask yourself if you have plans to buy a permanent structure.
If you plan on buying a permanent property in the future, buying a modular property wouldn’t be wise. As I mentioned earlier, even though the popularity of modular construction is rising, many still have contradicting views on their durability, quality, and long-term use.
If you’re after saving money and are looking for a place to run your business or use it for other personal matters, renting a modular unit or property is the best option. Renting will save you the hassle of looking for modular property buyers in the future and selling its parts for recycling.
6 – Buying may not be for you if you want to double your initial investment in a modular property.
Yes, modular properties are cheaper, but they won’t likely provide you with a value return in the future. One of the reasons is that the market for modular properties today is still growing. That means finding potential buyers for a used modular building is low.
Second, many think that a modular property is like a trailer home. Even though the materials for modular buildings are cement, wood, and steel, many people unaware of them immediately assume they’re similar to trailer homes. Because of that, the modular construction industry still has a long way to go in building its reputation and audience base.
Weighing your long-term goals and present needs is the key.
Deciding on whether to rent or buy a modular property is a struggle because, at some point, your reasoning could lead to considering a traditional and permanent property instead. If you’re after saving money and immediate turnover, a modular property is the best choice. You just have to wisely weigh whether your long-term goals and present needs are compatible with renting or owning one.
Written by Bianca Banda