Buying a House Under 100k: A Step by Step Guide

In this comprehensive guide, we’ll walk you through the process of acquiring the budget-friendly house you’ve been dreaming about.

Here you’ll find all the information needed: from choosing the right type of house to comparing among the wide range of offers and successfully finalising your purchase, we’ve got you covered every step of the way.

By focusing on a prefab type of home, the number of houses for sale under 100k increases enormously, even within the current market situation in Europe and the UK.

Additionally, given the prefab’s high standards of quality, maintenance works are rarely an issue and we can apply some long-term saving opportunities.

What type of house could you buy on a tight budget?

Prefab homes are built following a highly industrialised construction process. This unique procedure highly benefits us as it contributes to reducing the final cost of the house without having to cut down on quality.

Choosing a prefab house is definitely a shortcut to being able to build a house under 100k because nowadays, property costs in Europe and the UK are far from being budget-friendly. In England, for example, the average house price is about £310,159[1].

There is a wide range of prefab homes to choose from depending on what we are looking for:

Step-by-Step Guide to Buying a Prefab House Under 100k

Type of House Characteristics and Suitability
Tiny Houses Affordable due to reduced size and mobility, built on wheels
Cabins Small, typically one-bedroom, permanently attached to foundations
Modular Houses Made from prefabricated modules, varying in cost and luxury
Container Houses Modern design using shipping containers to reduce costs
Panel-built Houses Diverse styles and sizes, constructed from prefabricated panels
Log Houses Uses modern techniques for prefabrication, offering various designs


  • Tiny houses: A great option if you are on a budget. Tiny homes are ‌quite affordable given their reduced size and mobility as they are built on wheels.
  • Cabins: Cabins are also quite reduced in size, offering no more than one bedroom. Yet these houses are designed to be permanently attached to foundations.
  • Modular houses: Built by joining prefabricated three-dimensional modules, these houses can be low-cost or as big and luxurious as desired.
  • Container houses: These prefabs are often designed to look like modern houses, yet they manage to reduce their cost by using shipping containers as their structure.
  • Panel-built houses: Coming in all styles and sizes including some nice affordable options. These are raised by putting prefabricated walls, roofs and ceilings together.
  • Log houses: These houses use modern techniques to prefabricate log houses. Like modular and panel-built, they offer a broad variety of design and budget possibilities.


What type of house could you buy on a tight budget
The EestiHouse H58 is a modular home with 2 bedrooms and a starting price of 75,000€


Navigating the Process of Buying a house under 100k

Buying a prefab home involves a unique step-by-step process that’s unlike what most people are used to. The good news is that it’s much simpler than traditional home-buying. However, if you’re a first-time buyer, you might still feel a bit overwhelmed by this different process.

The following will help you understand how it works and give you all the tools you need to acquire your affordable property in the easiest way possible.

Step Description and Considerations
1. Choose a Platform Platforms like Spassio offer a wide range of prefab models. Start here to compare styles, prices, and sizes.
2. Use Search Engine Indicate preferences to narrow down choices. Consider size, bedrooms, and other priorities.
3. Compare Packages An in-depth comparison of what is included in the base price is crucial. Look for included features and add-ons.
4. Finalise Purchase Sign a contract and pay a deposit. Additional work like land preparation may be required.

1. Choose a platform with an extensive choice of prefab models

Platforms like Spassio compile a broad collection of prefab houses designed by a diverse selection of manufacturers who are based and delivering all over Europe and the UK. Such platforms are a smart way to start as they gather all the different styles, prices and sizes available in the market.

While it might sound overwhelming to have such a big selection of options to choose from in just one platform, these are designed to help the client navigate the buying process in the easiest way possible.

All their models can be easily discovered with a simple scroll and are often organised according to what you are looking for. For example, the same platform has already grouped all the prefab homes under 100k but can even be more specific in case one is looking for a modern home under 100k.

2. Use the search engine to indicate your preferences

The search features provided by platforms like Spassio offer excellent tools to narrow down the selection of houses based on your own priorities. While finding a house for sale under 100k is definitely a top preference in this situation, it is not the only aspect you’ll need to consider.

Take some time to define your priorities such as the size of the house or the number of bedrooms you need. The more defined your priorities are, the simpler the purchase process will be.

The number of prefab models available today is extensive, to avoid getting overwhelmed try to filter all the features that are important to you.

3. Compare the packages offered by the different models

Selecting which house to buy requires some in-depth comparison. Even if most prefab models display their prices openly, what’s included in this initial value varies from one model to the next.

This is especially important when sticking to a tight budget is a priority because in most cases the price you will end up paying at the end of the purchase will be higher than the initial value displayed.

The base price of every model always includes the manufacturing of the house. Still, the initial package varies from one manufacturer to the next. Features like heating and cooling systems are often included, yet some models choose to incorporate unique add-ons to the living space such as a sauna.

Also, a good number of manufacturers offer turn-key delivery and sometimes services such as transportation and assembly are already included in this initial price.

Compare the packages offered by the different models
This model designed by Norge House includes a Sauna in its base price of 72,000€


4. Finalise the purchase and take ownership

With all the decisions made, the manufacturer issues a contract with all the details, schedules and policies detailed. Your signature and a deposit of 10% to 50% are all that is needed for your house construction to begin.

Depending on the prefab model, you might need some additional work such as preparing the land or building some foundations. Still, most of the construction work takes place off-site and once delivered to your plot, your house is ready for you to move in.

Making the Most of Affordable Homeownership

Regardless if you are purchasing a cost-effective house for yourself or as an investment property, considering some additional aspects can help you take advantage of a reduced budget not only at the moment of purchase but in the long term as well.

Some cost-saving strategies to consider when purchasing a prefabricated home on a budget:

Be very clear on your priorities and get only the size and features that you need. Every additional element has an added cost, make sure that the house you purchase offers only what you need. For example, if you live in a predominantly cold location, you might not need an air conditioning unit.

Opt for a model that includes additional services such as building the foundation, and delivering or assembling the house to your property.

Most prefabs require additional off-site work parallel to the manufacturing of the house which can raise the initial cost enormously. Select a model with an all-inclusive price or consider these additional amounts to avoid paying beyond your budget.

Consider maintenance expenses already while choosing a prefab house model. Given the high standards of quality of prefab homes, repairs are rarely an issue. Still, the expenses related to home maintenance and utility bills can definitely impact your long-term savings.

Choose a prefab manufacturer who prioritises energy efficiency by offering models with exceptional insulation and energy-efficient equipment.

In a Nutshell

Finding a house on such a tight budget is quite simple if you stick to the simplified process we have laid for you:

  • Choose a prefab house to ensure a wide range of cost-effective choices.
  • Use a platform like Spassio to access an extensive selection of prefab models and compare them according to your preferences.
  • Prioritise your needs and avoid unnecessary add-ons to remain within your budget.
  • For low maintenance costs and long-term savings opt for an energy-efficient prefab.


Can I buy a prefab house for under 100,000?

Definitely! There is a wide variety of prefabs within this budget. Smaller types of prefabs such as tiny homes or cabins offer the most choices.

What are the benefits of purchasing a low-cost prefab house?

An affordable prefab is often smaller than the traditional site-built home we are accustomed to. Therefore, it offers us an opportunity to learn how to prioritise and live a simpler, more minimal life.


[1] (2023, March 22) Press release: UK House Price Index for January 2023 Gov.UK

Feature image: Model Single Lodge by My Home Living

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