SIP panels cost, advantages, and more

If you’re thinking about building a house, one of the things you need to decide is how you’re going to construct it. If you’ve been exploring energy-efficient building options, you’ve likely come across structural insulated panels (SIP panels). These high-performance panels are becoming a popular choice in construction, especially for those looking to reduce energy bills and build faster. But how much do SIP panels cost? Let’s break it down for you.

What are SIP panels?

SIP panels or structurally integrated panels are high-performance construction panels that can be used for walls, roofs, and even floors in residential and commercial construction. They are known for their impressive energy efficiency, helping to keep homes warm in the winter and cool in the summer.

These boards are manufactured like a “sandwich”, with two outer layers that are, in most cases, made out of oriented strand board (OSB), or out of cement particle board (CPB). 

The layer in between, or the sandwich filling, is a thick and rigid insulation such as polyurethane. All three layers are then bonded together to make a sturdy construction panel.

Since most SIPs are factory-manufactured, they are already extremely airtight. These boards are also easy to fabricate to fit any home size and in doors and windows. These panels are basically shipped to customers as ready-made walls, ceilings, and floors for their homes.

Once installed, the panels can be covered with any cladding you want, such as brick, veneer, stone, and timber.

How much do SIP panels cost?

On average, panels cost between $10 and $30 per square foot. However, this can vary greatly depending on the factors mentioned above. If you go for a more basic foam core with thinner panels, you might be looking at the lower end of that range. For thicker, more advanced insulation material, you could be looking at higher costs.

What factors affect SIP panel costs?

When talking about SIP panel pricing, several factors come into play. 

• Size of the project: The cost of SIP panels is usually calculated per square foot, so the larger the project, the more materials you’ll need.
• Material costs: SIP panels themselves consist of construction materials like the foam core and OSB. Depending on the insulation material used, whether EPS (expanded polystyrene) or polyurethane, the price can vary. Higher-quality materials, naturally, come with a higher price tag.
• Pre-cutting and customization: SIP panels can be customized or pre-cut to fit your specific design, including features like electrical chases (the channels for wiring). This is convenient but can also increase the overall cost of SIP panels.
• Installation costs: SIP panels are relatively quick to install, but labor costs will vary depending on your location. Pre-cutting options can reduce labor time and costs but expect those savings to show up in some projects more than others.
• Panel thickness: The thickness of the panels (which can vary greatly depending on the project) also impacts the price. Thicker panels offer more insulation, but they also come at a higher price.

Is SIP panel pricing worth it?

SIP panel construction may seem more expensive than traditional timber home construction. However, the savings with choosing SIP panels come in a lot of ways.

For example, labor costs are reduced by almost 55% in comparison to conventional constructions. The time taken to build the structure is also reduced by as much as 50%. 

Furthermore, using these panels pretty much guarantees energy savings, and you will need to invest in smaller HVAC systems for the space as well.

And finally, as icing on the cake, there is a reduction of almost 96% in on-site construction waste, which reduces what you would have had to spend on waste disposal as well.

In the long run, the energy savings can help offset the initial material costs, especially in climates where heating or cooling expenses are high.

What are the advantages of choosing to construct using SIP panels?

• SIP panels are energy-efficient and are great thermal insulators. This is because the panels have an insulated foam core built into them at the time of manufacture. This property of SIP panels greatly reduces the load on HVAC systems in maintaining indoor temperatures, and therefore, reduces your energy bills. Plus, you get an airtight construction. This means no air from inside can escape, nor can air easily leak into your home. This makes it easier to keep the indoor temperature constant.
• Because SIP homes are airtight, traditional home ventilation is often not sufficient. Often, builders incorporate what is called Mechanical Ventilation with Heat Recovery systems. These systems allow clean air to circulate throughout the house while getting rid of pollutants and unnecessary humidity. Since these systems operate 24/7, your home becomes healthier.
• The ease with which SIP panels can be customized gives architects the benefit of being able to construct elaborate and unusual designs that other construction materials might not allow for.
• SIP structures are seven times stronger than timber frames.
• Also, SIP structures do not need roof trusses, which allows homeowners to opt to put in an extra living space, such as a guest bedroom, right under the roof.
• SIP panel homes get built faster than traditional homes. The high strength-to-weight ratio of the panels allows builders to fit large portions quickly.
• SIP homes are built to last. There are homes built using SIPs that are more than 90 years old. 

What are the disadvantages of using SIP panels?

While SIP panels offer many benefits, there are a few disadvantages to consider:

• SIP panels can be more expensive than traditional construction materials due to the cost of SIP and customization needs.
• Once pre-cut, modifying the panels on-site is challenging, making changes to the design difficult.
• Not all contractors are experienced with SIP installation, which could lead to higher labor costs or mistakes during construction.
• If not properly sealed, SIP panels can be vulnerable to moisture, potentially causing damage to the foam core or OSB layers.
• SIP panels, especially those with foam cores, can attract pests such as termites if not adequately protected.

Last thoughts

Despite the upfront panel pricing, SIP panels often offer significant energy savings over time. Thanks to their excellent insulation properties, they help reduce energy usage in homes and businesses, making them an environmentally friendly choice. 

Plus, the quicker installation time means you save on labor costs, and with fewer gaps for air to escape, you’ll enjoy more consistent indoor temperatures and better comfort.

Written by Narayan Shrouthy. May 13, 2022

Narayan is a content writer for Kukun. With experience in both content writing and editing, Narayan mixes his writing and love for reading with his passion for music. As an active musician, He aims to be a key player in Kukun's content experience.