The market for prefabricated houses around the world is growing.

The market for prefabricated houses around the world is growing.

While the European construction sector has been negatively affected by the pandemic crisis, the construction of prefabricated houses continues to gain market share in Europe. According to the World Annual Construction Growth Association (CAGR), it is expected to reach an average prefabricated quota of 13.0% in 2020. This type of construction is already popular in Austria (33.4%), Germany (24.5%), and Northern Europe. Sweden is the European country with the highest preliminary quota of 81.3%. While in the UK, Spain, and Italy the market is now emerging.


The prefabricated buildings market is expected to grow by over 8% in the period 2019-2025.


The prefabricated buildings market is likely to grow significantly due to infrastructure development and growth in the residential and commercial sectors. Prefabricated houses are affordable and can be built in less time. This is expected to have a positive impact on the market due to the growing middle-class population and rapid urbanization.

Increasingly, the desire to live in harmony with the environment is transformed from a purely fashionable taste into a desire for full interaction with natural resources. The good effects of sensible energy consumption are even more satisfying when combined with thinking about the environment. In this respect, prefabricated houses are an impressive architectural and construction solution.

Natural environmentally friendly building materials are used in the construction of prefabricated houses. Prefabricated houses skillfully meet climate anomalies, providing low-budget energy consumption for heating and electricity, and at the same time offer improved coexistence with nature. A serious step forward in this regard is made in Brussels, Belgium, where since 2015 there is a requirement for all buildings - new and renovated, public and private, residential and commercial, to meet even the standards for a passive house.

Prefabricated buildings are energy efficient and highly sustainable. Awareness-raising has led people around the world to embrace the concept of green buildings. It is expected to strengthen the market, especially in developed regions. Government-sponsored initiatives in developing countries to provide affordable homes in a shorter period of time are another major factor influencing growth.

The prefabricated structure provides strength that allows buildings to withstand earthquakes. Therefore, prefabricated buildings are likely to generate demand from seismically sensitive countries such as Japan, China, Iran, Indonesia, Turkey, Mexico, and Nepal.