Why Are SIPs So Expensive?
Why Are SIPs So Expensive?
If you’re considering building with SIPs (Structural Insulated Panels), chances are you’ve heard the comment: “Aren’t they expensive?” It’s a fair question. On the surface, SIPs often appear to cost more than traditional timber framing. But here’s the catch: that’s only if you’re comparing the upfront costs without looking at the bigger picture. Once you view SIPs through the lens of high performance, the narrative changes completely.
Upfront Cost vs. Actual Value
Yes, SIPs cost more per square metre than "code minimum" framing. But a SIP panel isn’t just structure. It’s structure and high-performance insulation and airtightness all in one. That means fewer layers, fewer trades, fewer delays, and less room for error.
The mistake many make is comparing a SIP structure to the cheapest version of a timber frame build, which typically lacks thermal performance and airtightness. That’s not apples-to-apples.
If compliance is your only goal, then of course SIPs are going to seem more expensive. But if you want real performance, you're comparing entirely different outcomes.
Performance That Pays Off
When you build with SIPs, you’re locking in long-term value. Better thermal performance means less heat loss, lower energy bills, and a home that stays comfortable year-round without relying on oversized heating and cooling systems.
Airtight construction also means better indoor air quality, reduced noise, and protection from mould and moisture issues.
Achieving SIP-level performance with traditional timber framing is difficult, expensive, and uncertain. It requires multiple layers—framing, insulation, wraps, tapes, sealants—and relies heavily on labour quality and coordination. SIPs deliver high performance in one foolproof system.
Structural Efficiency = Lower Build Costs
SIPs also provide structural advantages that can reduce other build costs. Their inherent strength means better bracing capacity, which can eliminate or reduce the need for expensive steel portals. Because SIPs can span further, they often reduce the number of roof or ridge beams required, and are especially cost-effective in skillion roof designs.
In floors, SIPs can span longer distances compared to traditional systems, which often allows for fewer bearers or pile lines—cutting down on material and labour.
Faster Build, Lower Risk
SIPs are pre-cut and delivered ready to install. This speeds up the build process dramatically. Less time on site means fewer weather delays, reduced labour costs, and fewer variations.
And because it goes together like a system, there are fewer mistakes and less rework compared to traditional builds that rely on multiple crews working across different layers of construction.
The Long-Term View
If you only compare what you spend to get out of the ground, SIPs can look expensive. But when you factor in the total cost of ownership — including energy bills, comfort, durability, and the cost of compliance with future code changes — they become one of the most cost-effective options out there.
The Future Is High Performance
New Zealand’s building code is only going in one direction: better energy efficiency. SIPs don’t just meet the current standard — they exceed it. By building with SIPs today, you’re future-proofing your home and avoiding costly upgrades down the line.
The Bottom Line
SIPs are only “expensive” if you’re comparing them to outdated, low-performance methods. But if you’re aiming for a home that’s healthy, energy efficient, and built to last, SIPs aren’t expensive at all. They’re smart.
When performance matters, the value stacks up fast.
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Planning a build?
Let’s chat about how SIPs could work for you.