To get complete information about the Michelle Kaufmann Designs and their products and process, please refer to the following pages:

• Glidehouse™ Home—MKD's most cost effective design.
  
• Sunset® Breezehouse™ Home—MKD's most popular design.
• mkSolaire™ Home—MKD's newest design.
• MKD Process—Building an MKD Home is simple and predictable.
• MKD Budget Builder—Find out how much it actually costs to build an MKD Home.
• Let the Green In—A description of all the ways an MKD home is an environmentally sustainable building.
• Why Modular—A case study comparing the big benefits of building an MKD modular home versus a site built home.
  
• MKD Map—MKD builds homes in many major markets, and will expand to other areas soon.

Questions

Answers

1. Do you build in my area?

Currently, we are building most MKD homes in the western US. All MKD homes must be built to a state and local building code by factories that are licensed to build to MKD's specifications. We are now offering MKD homes in CA, OR, WA, HI and CO. Refer to the MKD Map to see our service area.

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2. When will you build in my area?

Because each MKD home must be transported in modules to your building site (as well as be built to a state and local building code), it's most cost-effective to have a factory near you build your MKD home. We also qualify and license each factory to build MKD homes to our exact specifications and high quality standards. We are actively looking for local modular factories in as many major housing markets as possible so that we may keep delivery charges to a minimum while providing a very high quality and affordable home for you. Our current priorities are to find modular factories within a few hundred miles of many major housing markets throughout the United States and Canada. Additional areas will be served in the future but it is impossible to pridict when and where these will be.

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3. Where can I tour an MKD Home? Do you have a show home near me?

As we build MKD Homes, we will work with the owners to make their MKD Home available for your inspection. All open houses will be by appointment only, as all MKD Homes are private residences. We will not disclose the location of any MKD Home, during or after construction, until consent is given by the owner, and then only in conjunction with an appointment for a scheduled open house. Contact us, providing a complete description of your project.

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4. How can I find out about when you will open a new factory or announce an MKD open house?

We will announce open houses and factory openings on the LiveModern website.

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5. What is the additional cost to have solar panels on my MKD Home?

Every MKD Home is designed to take maximum advantage of solar energy, but we do not directly build solar solutions. We will work with you to configure the roof of your MKD Home for optimal solar orientation for you to install solar panels on-site. In fact, all MKD homes are solar ready: you decide if you want install solar panels right away or later. To get pricing for the solar panels, please contact these companies: SunPowerGeo and Real Goods. These solar companies have designed for MKD homes in the past and will have the right solutions for your needs.

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6. Can I use an MKD Home as an addition to my existing home?

MKD does not design or build additions to existing structures.

MKD does offer a smaller model for those wanting to add a detached guest home or "granny flat" on their property. In addition to this, MKD can customize a floor plan for those that need a specific square footage in order to follow local building codes (the minimum MKD project is 650 sf).

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7. What are the actual delivery and installation charges to my area?

The delivery and installation charge for your MKD Home depends on several factors:

• the location of the factory—we will be adding factories nearest major housing markets first;
• the MKD floor plan you want—some of our factories only produce standard MKD floor plans with no customization allowed at all;
  
• which floorplan is desired—the 4-br Glidehouse will cost more to deliver than the 2- or 3-br models because it is comprised of more modules and thus is delivered on more trucks;
  
• the location of the building site—generally, we will build your MKD in the factory nearest your site; and
  
• whether or not a crane will be required to install your MKD (a crane is always required for all 2-story MKD homes).

Due to the fact that every delivery is different, the actual delivery and installation charges will be estimated during Step 3 of the MKD Process, and finalized at the end of Step 4. If you think your site is particularly difficult, we offer a Delivery Assessment service prior to designing your home where one of our shipping and setting experts along with an MKD architect will visit your site to develop a delivery and setting strategy.

To give you a concrete example, the Glidehouse that was build for Sunset Magazine's Celebration Weekend was delivered to the Sunset campus in Menlo Park, CA (San Francisco Bay Area) from the factory near Vancouver, BC (a distance of nearly 1,000 miles). It was delivered as a 2-br model in 2 modules. Each module cost approximately $9,000 (USD) to transport and $2,500 (USD) to install, so the total building cost about $23,000 (USD) to deliver and install. For another example, we estimate that a 2-story Glidehouse to be delivered to the Seattle area from the factory near Vancouver, BC (a distance of about 160 miles) will cost about $1,000 (USD) per module to deliver and $1,500 (USD) per module to install, or about $5,000 (USD) total. Note that these examples are just that: your MKD Home may cost more or less to transport.

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8. Can you help me find a lot or do you have lots available?

MKD does not offer this service. Please consult with a local realtor based on the lot description discussed in answers 15 and 19.

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9. Can an MKD Home be designed to include a fireplace?

Yes. The specific heating solution for MKD Home will be designed in Step 3 of the MKD Process. Once the space for your fireplace is designed, you can order one to be installed at the factory (from among our upgrade options, or install one of your own choosing.

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10. Is an MKD Home suitable for the extreme conditions of my area?

Every MKD Home is built to local building code. We offer custom designs to suit the conditions in the areas where MKD homes are offered. For example, the Glidehouse featured in Sunset Magazine was custom built for its eventual location, the Cascade Mountains east of Seattle. It was engineered for 220 pounds per square foot snowload, while the standard Glidehouse is specified for only 35 pounds per square foot (for coastal or desert areas). In addition, the insulation, HVAC and glass package was engineered for a cold winter and hot summer. The result is that the annual heating and air conditioning cost for this 1,560 sf home is about $350 (USD) per year.

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11. Is security an issue with a house that contains so much glass?

An MKD Home is no less secure than any other house built using glass. However, you can increase security by installing a security system.

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12. Is there a laundry room including in your designs?

Every MKD Home comes with a laundry closet or room. Usually it is located just off the kitchen, and is large enough to hold a stackable washer/dryer. The laundry facility is not illustrated in some of the floor plans because its location is easily moved to fit your needs. Its location can be decided by you during Step 3 of acquiring your MKD Home.

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13. Can I build an MKD Home on top of a basement?

An MKD Home can be built on any stem wall or perimeter foundation that a traditionally built house can, including a partial or full basement. However, we would need to design the location of your staircase from the basement to the first floor. Please let us know during Step 3 of the MKD Process that you want to build your MKD Home on a basement. For an extra fee we can also design the basement for you during Step 3 of acquiring your MKD Home.

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14. How do I know if an MKD Home can be transported to my site?

Your MKD Home modules can travel by truck on single lane roads as long as it has enough clearance for height and width. The standard MKD modules as they sit on the truck are either 14' or 15'6"  wide and 15'6"  high (pavement to top of roof). The truck length is 75-80 feet (module plus cab length), so very tight turns should be avoided. Often a crane will be required to put the MKD Home modules onto the foundation, so access for the crane to your building site is an issue. If you think your site is particularly difficult, we offer a Delivery Assessment service before any design work is done where one of our shipping and setting experts and an MKD architect will visit your site to develop a delivery and setting strategy.

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15. What kind of land do I need for my MKD Home, and what is the minimum lot size that I need?

Your MKD Home can be built on the same land as any other house, including sloped lots, except there needs to be ample room to get the MKD Home modules up to and on your lot by truck.

Every standard and custom MKD model needs a different minimum lot size. Consider these factors to decide how much land you think you need:

• footprint of the house (the square feet and dimensions of each floor plan is published online);
• whether or not you want a garage or carport (approximately 500 square feet for 2 cars);
• whether or not you want decking;
• the size and location of your driveway;
• how much lawn and/or garden area you desire;
• whether or not you will be on a septic system, in which case the size of your leach field will need to be factored in; and
• your local setback laws (the spaces on your lot boundary that you cannot build upon).

Add all of these together to get your minimum lot size. Note that this minimum lot size assumes that most of the lot is buildable. For very small or narrow lots, there are several MKD designs.

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16. Where have MKD homes been built?

Please see the MKD Map for projects that are completed and are in progress. Please note that we will not divulge the street address of any MKD project, not even for a drive by.

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17. Where are MKD Homes built?

We currently use several factories to build MKD Homes. Each is pintpointed on the MKD Map. Note that the mkConstructs factory near Seattle, wholly owned by Michelle Kaufmann Designs, will build most MKD homes for the West Coast. We are in contact with other factories in major housing markets.

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18. May I visit an MKD factory?

All MKD clients are encouraged to visit the factory during the building process of their own MKD Home. However, none of the MKD factories provide tours to the general publis. These are construction sites, and OSHA and insurance regulations prevent factories from providing tours to the general public.

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19. How can I determine if an MKD Home can be built on a lot in a particular city or county?

Because all MKD homes are built to meet or exceed all local building codes, we have never had a problem permitting an MKD home with a local building department. You will need to call your local planning department to determine if there are any zoning ordinances that might restrict the building of an MKD Home on a particular lot. There are very few jurisdictions that will present any problems. An MKD Home is classified by building and planning departments as a modular home. Even though it is built in a factory, an MKD Home is quite different from other factory-built homes, commonly known as manufactured  homes (or, if built before 1976, mobile homes). Many cities and county zoning ordinances restrict the locating of manufactured or mobile homes to limited areas, so you need to be careful in describing an MKD Home. It is a modular home. Also, we recommend that you do not use the term "prefab" when describing an MKD home to your building or planning department. It means something quite different to the building department: they immediately think of a manufactured or mobile home.

When talking to your building or planning department, it often helps to have a little bit more information than they sometimes do about the difference between manufactured and modular homes. Here are some good resources:

What is a Maunufactured Home?

What Is a Modular Home?

How Modular Homes and Manufactured Homes Differ

Facts About Modular Homes

If you are purchasing land, you will also want to check with the current owner to determine if there are any deed restrictions that might prevent the building of a modular home on a particular. Again, this is quite rare but you should check for it. What you will find more often are rules (usually enforced by homeowners associations) that dictate the "look" of any new home, to ensure that it blends in with the neighboring buildings. We can work with you to design the exterior finishes of your MKD Home to fit in almost any neighborhood.

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20. Your base factory cost for building an MKD Home increased recently. Why?

Effective January 1, 2005, the factory base price of the Glidehouse increased from $120/sf to $132/sf (USD). Effective August 1, 2006, the factory base cost was increased to $140/sf assuming all standard finishes. Simlarly, the base factory cost of a Sunset Breezehouse increased from $140/sf to $150/sf  on August 1, 2006. Cost increases, if any, for upgrade items that are not included in the factory base cost will be quoted for all customers that are currently under contract.

When we introduced the Glidehouse at the beginning of 2004, MKD established our factory cost based on materials and labor charges at the time. We'd been able to hold to that price far longer than we had anticipated, due to the continuing efforts of MKD to keep costs as low as possible in our streamlined process.

As you may know, however, the cost of home building has risen dramatically in the past few years, due to the sustained high demand for single-family new homes. Materials cost increases have been especially dramatic, including a 27% increase in lumber costs in 2005 alone (according to statistics compiled by the National Association of Home Builders). Other materials cost increase have been just as dramatic in 2005: gypsum 20% and steel 43%.

The 10% price increase that took effect January 1, 2005 is modest compared to industry trends since the glidehouse was introduced. For example, average prices for a single-family new homes rose by 18.1% nationally in 2005 (22% in California), according to the National Association of Home Builders. The August 1, 2006 price increase of 6% was again far below the national average for construction costs increases for the previous 18 months.

No one else in the industry can match this track record of only a 14% price increase since 2003. This is because our production process is becoming more efficient as we build more homes.

While we hope that the cost of home building will not accelerate as much in the future as it has the past few years, due to the modest rise in mortgage interest rates that is slowing inflation of building material costs, we encourage MKD customers to plan proactively to avoid any future cost adjustments that must be reflected in the factory base cost of their MKD Home.

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For More Information, Inquiries and Orders

To start the process of building your MKD modern modular home, contact Marshall Mayer, marketing and sales representative for Michelle Kaufmann Designs, by providing details about your project (the inquiry form is on the MKD website, but your inquiry will be received and reviewed by LiveModern).