This study might help to assist the Industrial Building System in Malaysia and other third world in finding a new method in construction. This method provides many advantages in the construction industry such as, speed in construction, cost effective and environmental friendly. The idea is to use foam concrete with three different densities for the different components of the house. A density of 1250 Kg/m3 for the columns (as stud) , 1400 Kg/m3 for the slab and 1600 Kg/m3 for the beams. Beams, columns and the waffle slab will be designed to replace the conventional frame by using the stud theory method. This study reached a conclusion that the newly designed house has many benefits for the occupants and to the environment furthermore it is cost- effective than a conventionally built house by 17.2%.