Bungalow: build, buy or prefabricated house? Features and options for investment

Buy a bungalow – You want to invest your money in the construction of a property and create your own home? Whether building, buying or even selling a house: a bungalow is an ideal capital investment and investment in the future. There are different types of houses for families, such as a solid house, a villa or a terraced house. But the bungalow is ideal for families, and perfect for a long life. Besides the special construction of a bungalow, it offers many other advantages. Choose your own design or a prefabricated house. Plan the floor plan, calculate prices and design your own modern home. In this article you will learn everything you need to know about this building type. From the definition to the financing! Here you can get back to the overview of the common house types, their definitions, as well as their respective advantages and disadvantages.

Bungalow: What do you mean by this? Features & Definition

A bungalow is above all practical and modern. Especially with young families, this type of house is very popular, because you can find all the rooms on one floor and this is a great advantage with children. In addition, a bungalow is extremely durable. You can move in as a young adult and stay in this house all your life. As a pensioner, the absence of stairs and the single storey are a great advantage. Choosing the right house is not easy. You invest a lot of money in the construction or purchase and it is a decision for life.

You want to buy or build a house, but don’t know which one is right for you? Then take a look at our guide to house types from A – Z! Here you will find all house types, from country house to terraced house!

Special feature of a bungalow: large, open and inviting

The most important feature of a bungalow will probably be the single-storey. All living spaces are located on one floor and, accordingly, the plot is large. The house is detached and usually has a flat roof. In the meantime, however, you can also find a different roof shape, especially in newly built houses. Mostly the bungalow has a developed cellar and attic, which are used however mostly exclusively as storage space. Inside a bungalow, you will find a large, open living space, floor-to-ceiling windows and large doors. The aim of this design is to make the living area as bright and open as possible.

Room layout: Everything on one floor

Due to the fact that the living room and bedroom are on one floor, there are not many possibilities to arrange the rooms. Usually you find the living room and the kitchen on one side of the house and the private rooms on the other side. Most of the time, you can see the classic distribution of rooms as soon as you enter the bungalow. One comes into an open living room with adjoining kitchen and the living room. In many cases, there is a hallway on the other side, which leads to the bedrooms and main bathroom. Of course, when you build a bungalow, you have the option of splitting your house up to suit your needs. However, this is the standard.

Advantages & disadvantages of a bungalow: Garden, no stairs & more

Before you decide to buy or build a house, you should always consider the advantages and disadvantages of this type of housing in advance. Especially the financial question plays an important role. You have to decide for yourself and maybe also for your family if you fit into a bungalow and if you agree with the disadvantages of this property. We have summarized the most important facts for you.

Tip. Are you interested in buying a house? Here you can find more about financial planning, estate agents, loans and additional costs!

Advantages: no steps, lots of light and large garden

One of the greatest advantages of a bungalow is the absence of steps and the associated accessibility. Especially for small children and seniors this is a great advantage, as dangers are minimized. The large window fronts bring a lot of light into the large living space and since the garden usually goes around the house, one has with many bungalows the possibility of entering this from each room. It is not uncommon to have a second terrace attached to one of the rooms. This is a great advantage especially for older children. Finally, the individual room layout plays an important role. Since there are no load-bearing walls in a bungalow, the rooms in a solid or prefabricated house can be designed individually.

  • No steps and barrier free
  • Large window fronts
  • Large garden and access possible from all rooms
  • Individual room distribution

Disadvantages: large property with corresponding costs & prices

Especially the comparatively high cost factor plays a big role with a bungalow. Since you cannot build in height with this type of house, but only in width, you need a larger plot of land than with other building types. You will learn more about this in the course of this article. In addition, you need more square meters because of the hallway, which must lead to all rooms. In addition, due to the large roof, more insulation is needed and especially with older bungalows, the thermal insulation is usually not sufficient. You should also note that the many window fronts, the entry opportunities for burglars are greater.

  • Property larger and more expensive
  • More sqm through corridor
  • More about insulate (roof)
  • Older bungalows mostly poor thermal insulation
  • More entry points for burglars

Land: selection and characteristics of the right plot

Especially with a bungalow you should consider a few things when choosing the right plot. You should not disregard the length and width of the building for this type of construction, because the following applies: living space is not the same as the area of the plot. We recommend that you seek professional assistance in your search. Especially when it comes to the condition and history of the land, you should not forget aspects such as building ground investigations or contaminated sites, because these could lead to high costs later on. We have summarized the most important key points for you and written them down compactly.

You want to learn more about the topic of land? Here you will find an article with many useful tips!

What size is needed for the property?

There is much more to a plot of land than just the residential building. One should plan already with this that one cannot build in the height, but exclusively in the width. Nevertheless, some things should not be ignored. Green spaces, storage areas, a garage or a driveway usually take up more space than the actual building. These things combined with the residence take up quite a bit of space and you should factor that into your budget planning. It is also the reason why the land prices for a bungalow are comparatively high.

Checklist: Choosing the perfect plot of land

Before you buy your chosen plot, you should first check the development plan. Check whether the plot is already developed, i.e. whether it is connected to the public road network as well as to the utilities (sewage, electricity, water, possibly gas). If this is not the case, you may still have to pay very high sums.

Then you should check possible rights of way and the mortgages in the land register. Does someone else have permission to enter your property without your consent in order to get to something? And how is the mortgage fixed with the credit institution? These are all things that are recorded in the land register and which you should check before buying.

If not yet available, you should have a ground investigation carried out. Especially if you plan to build a basement, you must check in advance how high the groundwater is and whether the construction is actually possible.

Last but not least, don’t ignore the contaminated sites before you sign the purchase contract. It is possible that oil, scrap metal or chemicals could be found during construction. We recommend that you read up on the history of the property. Talk to previous owners or look at old maps. Any signs of contamination should be ruled out before buying.

Here is a brief summary of the checklist:

  • Development plan
  • Land Register
  • Soil investigation
  • Legacy

Your surroundings: location is everything!

One of the most important factors is, of course, location. No matter if you want to build or buy. Your bungalow should have a good environment. What is the infrastructure like? Where is the nearest school or how far is it to my work? Do I like the surroundings? These are all aspects you should consider before buying. Talk to neighbors and scout out the location in advance. It is possible that this house will be for your whole life, so you should feel comfortable.

Bungalow as a prefabricated house: Is that possible? Criteria & Planning

A prefabricated house offers a number of advantages during construction. Among other things, it is faster, you have less personal effort and in most cases it costs less money. Many providers also have bungalows in their repertoire and some specialize in single-storey houses. One of the biggest perks here are the model homes. There are small towns with houses which you can visit. You have the opportunity to see your house in advance from the outside and inside and make changes. We show you here the most important steps how you can build your bungalow as a prefabricated house.

Correct and considered planning

First of all, you should start planning your future home. Go to a model city or look for inspiration on the internet. Building a house is a big step and you should plan everything carefully. How big should the house be? How many rooms do I need? What kind of construction do I prefer and will I still like it in 10,20,30 years? These are all questions that you should answer for yourself before building.

Find the perfect provider

Once you’ve answered all your questions, you can start looking for the right contractor. Not everyone will offer your dream home and in most cases something will have to be changed on the model homes. However, you have a big advantage if you choose a bungalow. Since you do not have to pay attention to any load-bearing walls in this type of house, you have the possibility to change the room design individually. We recommend you to look at many show houses and in case of need to look for a new provider.

Perfection down to the last detail: floors, bathroom & co.

The floor plan and the room layout are now fixed and you can take care of the details in your house. Which floors would you like, how should the walls be plastered or what should your bathroom look like? Different suppliers have different designs and you can ask them for advice. Plan down to the smallest detail so that you are satisfied with your new home.

Tips & ways to finance your bungalow

Building a house is always a big investment, especially in your own future. On the one hand it is a capital investment, on the other hand it is a great advantage to be able to live rent-free in old age. You’ll be independent in this regard and won’t have to worry about the issue. Nevertheless, you have to be able to finance the construction of a bungalow first, which is why we have summarized a few useful tips here.

Price of a bungalow: The location makes the difference

A bungalow is usually more expensive due to the large plot of land. The price of construction can often be in the mid six figures, but this is influenced by a number of factors. Besides the size of the house and the plot, a significant factor is the location. Should the bungalow be built in a rural area, the price is usually lower. If you want to build near the city centre, you have the advantage of a good infrastructure, but this also affects the price. We recommend that you get different offers and set your personal priorities, especially for the location.

Financing: Loans, Equity & Co.

To build a house, you always have to take out a loan, because building solely with your own capital is hardly possible. The requirements to get a loan include a good credit rating and a secure income. The credit institution wants to ensure that the money can be paid back regularly. Furthermore, one should raise 20%-30% of the costs from the equity. Possibly one has also the chance on national promotions for the building or purchase of a bungalow. Especially if you have a large family and want to build energy efficient. However, we always recommend that you look at several offers and make sure you have solid financing.

If you want to learn more about real estate loans, you will find many useful tips about loans, equity, interest rates & Co.