Modular Home Construction Methods: What’s the Difference Between Frame, Panel, and Prefabricated Systems?

Modular Home Construction Methods: Understanding Frame, Panel, and Prefabricated Systems

When choosing a modular home, it’s important to understand how it’s built. Different construction technologies influence the price, timeline, energy efficiency, and overall quality of your future home.
In this article, we’ll look at the three main modular building methods: frame-built, panel-built, and prefabricated (panelized) homes.

Frame-Built Homes

The frame construction method involves building the structure in layers.
A wooden or steel frame is assembled either on-site or in a factory, and then insulated, sealed, and finished with panels and cladding.
This method requires more on-site labor, but provides greater flexibility to make design adjustments during construction.
Frame-built modular homes are a good choice for those who want customization options and lower initial costs.

Panel-Built Homes

Panel homes are made from pre-fabricated structural components — such as walls, floors, and roofs — that are assembled on-site.
This is an improved version of frame construction, allowing for a faster build and more consistent quality, since much of the work is completed in a controlled factory environment.
Panel-built homes strike a balance between speed, quality, and cost, making them one of the most popular modular construction types in Europe.

Prefabricated (Panelized) Homes

Prefabricated or panelized homes represent an even more industrialized approach to modular construction.
Large structural panels — often made from CLT (cross-laminated timber), SIP (structural insulated panels), or reinforced concrete — are produced in the factory with integrated insulation and finishing layers.
These panels are then transported and assembled on-site like large “LEGO” pieces.
The result is an extremely fast, precise, and airtight construction process, offering excellent energy performance and minimal on-site work.

Panelized modular systems are ideal for clients who value efficiency, durability, and sustainability.

Which Type Should You Choose?

• Frame-built – ideal if you want more flexibility during construction and a lower cost option.

• Panel-built – a balanced choice between price, quality, and construction speed.

• Prefabricated (panelized) – best when speed, energy efficiency, and longevity are your top priorities.

Conclusion

When choosing a modular home construction method, consider not only the price, but also your individual needs — whether it’s a seasonal getaway or a permanent residence, how quickly you want to move in, and what energy standards you expect.

On the namuku.com platform, you can filter modular homes by construction type and find the solution that best fits your lifestyle and expectations.