What’s the Average Cost of a Small Prefab Home in Ontario? (2025 Guide)
📅 Last updated: September 7th, 2025
✍️ Written by prefab building specialists at My Own Cottage
Quick answer: In 2025, the average cost of a small prefab home in Ontario ranges from $150,000 to $300,000+, depending on size, customization, and location.
Most small prefab homes measure 600–1,000 sq. ft. Factory building plus on-site assembly typically lowers cost and shortens timelines compared with traditional builds.
👉 Want specific examples? Check out our full guide to small prefab homes in Ontario with prices.
🏘️ Average Cost of a Small Prefab Home in Ontario (Direct Answer)
Costs vary with floor space, finishes, and site conditions:
| Home Size | Base Model Price Range | Customized Model Price Range |
|---|---|---|
| 600–800 sq. ft. | $150,000 – $200,000 | $200,000 – $250,000 |
| 800–1,000 sq. ft. | $180,000 – $240,000 | $240,000 – $300,000+ |
Price per sq. ft. (base models): typically $180–$250/sq. ft.
Homes under $200k: feasible with compact layouts and limited upgrades.
Modular with custom specs: can price higher than standard base models.
What Is a Small Prefab Modular Home?
In Ontario, a small prefab home generally measures 600–1,000 sq. ft. and is designed for efficiency and flexibility.
Key features:
Factory-built: off-site construction for consistent quality.
Delivered in sections: shipped as modules and assembled on-site in days.
Customizable: plans, finishes, and materials tailored to your needs.
Time-efficient: faster than conventional builds.
Sustainable: reduced waste with strong energy-efficiency potential.
📊 Prefab Home Price Breakdown by Size (600–1,000 sq ft)
| Cost Component | Estimated Range |
|---|---|
| Site prep & grading | $5,000–$20,000 |
| Foundation (slab/basement) | $15,000–$30,000 |
| Delivery | $5,000–$15,000 |
| Installation & assembly | $10,000–$25,000 |
| Permits, utilities, hookups | $10,000–$35,000 |
🧾 Turnkey Prefab Home Case Study (Real Ontario Example)
In early 2025, a young couple in Ottawa purchased an 850 sq. ft. prefab cottage for $220,000.
What was included:
Delivery to site
Foundation installation
Interior finishes
The savings:
They reported paying over 30% less compared to quotes they received for a traditional stick-built home of similar size.
💡 This example shows how prefab homes in Ontario can provide significant cost savings while still delivering a complete, move-in-ready home.
DIY-minded buyers may prefer small prefab home kits in Ontario, which come at a lower upfront price.
💸 Factors That Affect Prefab & Modular Home Pricing in Ontario
1. 🏠 Home Size & Floor Plan
Larger footprints and more bedrooms increase material and labour. Open-concept layouts can sometimes reduce interior finishing costs.
2. 🔧 Customization Level
Upgrades—smart tech, metal roofing, luxury kitchens—can add 20–40% to base costs.
3. 🌱 Energy Efficiency
Solar-ready designs and upgraded insulation increase upfront costs but can lower long-term bills and may qualify for green home rebates in Ontario
4. 🚚 Site Conditions & Location
Remote sites can raise delivery and labour; Urban infill projects, such as laneway prefab homes in Ontario, often involve additional permitting..
5. ⚖️ Local Building Code Compliance
Models must meet or exceed the Ontario Building Code (O. Reg. 332/12). Certified builders help with warranty eligibility and financing.
🏗️ Prefab vs Traditional House Costs in Ontario (2025 Comparison)
Is Prefab Cheaper Than Traditional Building in Ontario?
Yes — in most cases, prefab homes are more affordable than traditional stick-built houses.
Cost comparison:
Prefab homes: Typically 20–30% cheaper per sq. ft. than conventional builds.
Traditional homes: Higher costs due to longer timelines, more labor, and on-site variables.
Why prefab is cost-efficient:
Faster build times (assembled in weeks instead of months).
Lower labor costs thanks to factory-based construction.
Eco-friendly design with reduced material waste and energy-efficient options.
Financing availability: Many banks in Ontario now offer dedicated prefab home financing, with terms similar to conventional mortgages.
💡 Bottom line: Prefab homes in Ontario are often faster, cheaper, and greener—a smart option for cost-conscious buyers. Accessory units, like secondary suite prefab homes in Ontario, can provide rental income while staying cost-effective.
🏡 Prefab Home Case Studies in Ontario (Real Costs)
Ottawa Couple – $220,000 Prefab Cottage (850 sq ft)
In early 2025, a young couple in Ottawa built an 850 sq ft prefab cottage for $220,000 turnkey.
Included: delivery, foundation, and interior finishes.
Result: They saved over 30% compared with local stick-built quotes, and their build was completed in under 12 weeks.
“We stayed on budget and moved in faster than we imagined. The quality matched a traditional build, but the process was much smoother.” – Sarah & Mark, Ottawa
Muskoka Family – $240,000 Prefab Tiny Home (950 sq ft)
A Muskoka family completed a 950 sq ft prefab home in 2025 for $240,000.
Included: full foundation, finishes, and site preparation.
Result: Lower ongoing maintenance and reduced heating costs thanks to energy-efficient design.
“It’s cozy, efficient, and much easier to maintain than our old property.” – The Johnsons, Muskoka
Note: Many downsizers also consider prefab granny suites in Ontario for extended family.
Barrie Cabin – $185,000 Prefab Build (700 sq ft)
In Barrie, a family built a 700 sq ft prefab cabin for just $185,000.
Included: compact floor plan, basic finishes, slab foundation.
Result: Ideal as a secondary property, completed in under 10 weeks.
“This gave us an affordable retreat that we couldn’t have managed with traditional construction costs.” – Emily & David, Barrie
Toronto Downsizer – $315,000 Urban Prefab Duplex (1,000 sq ft)
A retired couple in Toronto opted for a 1,000 sq ft prefab duplex at $315,000.
Included: premium kitchen, smart-home upgrades, and full basement.
Result: Downsized from a larger home, saving on property taxes and energy bills while keeping modern comforts.
“We were able to downsize without compromise — and the prefab process kept costs predictable.” – Anna & Robert, Toronto
See our full guide on prefab duplex home costs in Ontario.
Key Takeaway
Many people ask, “What’s the Average Price to Install a Small Prefab Home in Ontario?“
These real-world examples show how prefab homes in Ontario deliver cost savings, faster build times, and energy efficiency across different budgets and regions.
Prefab Cottages, Cabins & Small Homes: Prices in Ontario
Prefab cottages Ontario: 700 sq. ft. starting at $170,000.
Prefab cabins Ontario: compact 600 sq. ft. options under $200,000.
Prefab duplex homes Ontario prices: around $250,000–$320,000 for two units.
Prefab garage with living space Ontario prices: $120,000–$180,000.
For single-level layouts, see our full breakdown of bungalow-style prefab homes in Ontario with prices.
🔍 Alternatively, visit our small prefab homes in Ontario with prices guide for detailed comparisons and builder insights.
🧠 Expert Planning Tips
✅ Use a prefab cost calculator to model your budget
🏗️ Get multiple quotes from certified prefab home builders
🧾 Include permits, warranty, insurance, utility connections in your total budget
📝 Read up on Tarion Warranty Corporation regulations
🏡 Choose a builder who provides post-build service & transparency
First-time buyers may want to explore prefab starter homes in Ontario with prices as an affordable entry point.
🙋♀️ FAQ: Small Prefab Home Costs in Ontario
What’s the average total price for a small prefab home?
Expect $200,000–$450,000 all-in for 600–1,000 sq. ft., depending on location, customization, and site prep.
Are prefab garages available in Ontario?
Yes — prefab garages in Ontario are available, often priced at $120,000–$180,000 when paired with living space.
Can I finance a prefab home like a traditional mortgage?
Yes. Many Ontario lenders finance prefab homes on permanent foundations with certified builders.
Are there hidden costs?
Plan for permits and HST, land survey/zoning, utility hookups (hydro, septic, well), possible remote-site delivery premiums, insurance, and warranty add-ons.
What’s the base cost per sq. ft. in Ontario?
Typically $150–$250/sq. ft. for the base unit (spec-dependent).
What’s the all-in cost per sq. ft.?
Generally $200–$450/sq. ft. once you include site work, foundation, hookups, permits, and finishing.
Size-based estimates:
700 sq. ft.: $105,000–$175,000 base; $140,000–$315,000 turnkey.
1,000 sq. ft.: $150,000–$250,000 base; $200,000–$450,000 turnkey.
Final Thoughts: Plan Your Prefab Budget
In 2025, the average cost of a small prefab home in Ontario is $150,000–$300,000+ for the home itself, with turnkey totals driven by plan, finishes, site prep, and delivery.
Need more detail? Be sure to review our guide to small prefab homes in Ontario with prices.
Budgeting Tips for Ontario Prefab Homes
💡 Plan ahead with these cost-saving strategies:
Use a prefab cost calculator (Ontario-specific): Model your total expenses, including upgrades.
Get multiple quotes: Compare pricing from the best prefab home builders in Ontario.
Include all expenses: Don’t forget insurance, warranty coverage, and potential resale value.
Next Steps
✅ Ready to get started?
Book a free consultation, call us directly, or browse our design catalogue today.
🧑💼 Request a Free Consultation
📲 Call Us Directly: (705) 345-9337
🏘️ View Our Design Catalogue
✅ Ontario-Built | ⚡ Energy-Efficient | 🏡 Fully Customizable | 🚚 Fast Delivery
Alternatively, for your convenience, you can also simply fill out the contact form below and we’ll get back to you soon! 👇
Contact Us
We usually respond within 24 hours!
- Comprehensive Warranty
- Best Price Guarantee
- Exceptional Service
FAQ: The Average Cost of a Small Prefab Home in Ontario
What’s the average cost of a small prefab home in Ontario?
A small prefab home (600–1,000 sq ft) typically costs around $150 to $250 per square foot for the base unit in Ontario. Turnkey prices—including delivery, site prep, foundation, and finishes—generally range from $140,000 to $450,000.
How much is a turnkey prefab home in Ontario once everything is included?
For a 600–1,000 sq ft modular home, you’re looking at $200 to $450 per square foot total once you add delivery, installation, utilities, permits, and customization.
What influences the cost of prefab homes in Ontario?
Key cost drivers include:
Size and floor plan (larger size increases base price),
Customization (upgraded finishes or smart-home features),
Site preparation (foundation, septic/well, grading, permits),
Delivery and installation fees,
Material quality and energy-efficiency upgrades.
Is building a prefab home cheaper than a traditional home in Ontario?
Yes—modular homes typically cost 10%–20% less per square foot than stick-built homes in Canada and the U.S., and are built 30%–60% faster. However, final costs may align depending on site prep and customization.
How much does the base prefab unit cost per square foot in Ontario?
The base unit for modular homes in Ontario ranges between $150 – $250 per square foot, depending on design complexity and finishes.
What’s the cost per square foot including site work and installation?
Expect a total of $200 – $450 per square foot when factoring in all project-related costs like grading, foundation, utility hookups, permits, and finishing.
What hidden costs should Ontario prefab buyers plan for?
Beyond the quoted base price, budget for:
Permits and HST,
Land survey and zoning fees,
Utility hookups (septic, well, hydro),
Extra delivery charges for remote sites,
Insurance and warranty add-ons.
Can you finance a prefab home in Ontario?
Yes, many lenders treat prefab homes similarly to traditional mortgages, provided you have a permanent foundation and certified builder. Financing terms vary—check prefab home financing vs mortgage Ontario for specifics.
What’s the price range for small modular homes in Ontario by size?
| Size (sq ft) | Base Price (est.) | Turnkey Price (est.) |
|---|---|---|
| 700 sq ft | $105,000 – $175,000 | $140,000 – $315,000 |
| 1,000 sq ft | $150,000 – $250,000 | $200,000 – $450,000 |
These ranges reflect current Ontario market conditions.
Final Advice: “What should I consider when budgeting for a prefab home in Ontario?”
When planning your budget, include estimates for:
Base unit cost,
Land preparation and foundation,
Utilities and permits,
Delivery and installation,
Upgrade options and energy-efficient finishes,
Financing fees, insurance, and warranty coverage.
Use a prefab home cost breakdown Ontario as your planning tool, and get quotes from multiple prefab home builders Ontario with prices for transparency.
🛡️ Verified Third-Party Resources
For added confidence and transparency, here are trusted external sources that support modular homebuilding in Ontario:
Ontario Building Code (O. Reg. 332/12)
Official provincial regulations that govern modular and factory-built homes.Tarion Warranty Corporation
Provides home warranty coverage and builder licensing in Ontario.Canadian Home Builders’ Association (CHBA)
National organization supporting residential construction, modular certification, and best practices.CMHC – Canada Mortgage and Housing Corporation
Federal housing authority offering insights on modular housing affordability, financing, and energy efficiency.Statistics Canada: Housing Data
Data-driven research on Canadian housing trends, ownership, affordability, and construction.