Bunnings Boldly Steps Into Modular Homes

Australia’s housing affordability pressures have prompted an unexpected move from Bunnings, which has begun selling modular homes developed by Melbourne startup Elsewhere Pods.

The pods are designed to be delivered and installed in as little as two days and are pitched as flexible, standalone spaces rather than full homes. Two models are currently available, priced from roughly $26,000 for a compact studio, up to around $43,000 for a larger option. Fit-outs can be customised, and while many installs won’t require a full building permit, council rules still apply and vary by location.

What Modular Homes Mean for You

For homeowners and property investors, this move opens up some practical and strategic opportunities:

• Lower-cost property upgrades: Adding a backyard studio, home office, guest space or teenage retreat without the cost, time and disruption of a traditional extension.
• Potential income streams: Depending on council rules, these pods could support short-term rental income, multigenerational living, or home-based business use.
• Faster value-add strategies: Investors looking to improve yield or appeal may see modular builds as a quicker way to enhance a property’s functionality.
• More flexibility, less debt: Compared to major renovations, modular options may reduce the need for large construction loans or long build timelines.

The Bigger Picture

While modular pods aren’t a silver bullet for Australia’s housing shortage, their move into the mainstream signals a broader shift in how Australians think about space, housing and value. Prefabricated and modular builds are becoming a realistic option for people trying to do more with existing property — especially as construction costs remain high.

For HPartners clients, this trend reinforces the importance of strategic financial planning. Adding a modular build can have flow-on impacts for lending, insurance, tax, rental income and long-term wealth planning. Done well, it can strengthen your position. Done without advice, it can create complications.

If you’re considering expanding, investing, or unlocking more value from your property, this is exactly the kind of decision worth reviewing as part of a broader financial strategy.