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Siding underlayment varies based on the type of material, but most siding is installed on top of a vapor barrier, a moisture-resistant house wrap, sheathing made from plywood or oriented strand board (OSB), and a layer of insulation sheeting. Having the correct underlayment is a critical part of properly installing siding and will protect your home from water intrusion, structural damage, and energy loss.

Vinyl siding is the cheapest option in terms of upfront costs. The average cost to install vinyl siding is around $12,173, with certain types like vinyl shake, clapboard, or dutch lap costing as little as $2 to $3 per square foot. While vinyl is very low-cost, it may not last as long as natural materials or metal, with a typical lifespan of 20 to 40 years. In contrast, metal siding is more expensive initially but can save you money in the long run due to its longer lifespan, which is often double that of vinyl. It's recommended to consult a siding professional to determine if the lowest-cost option is the best material for your specific home.

Stucco siding is the most energy-efficient option on its own, but you can choose insulated vinyl, insulated metal, or insulated brick or stone facade siding that improves energy efficiency even further. These options include a layer of foam insulation under the siding to reduce heat transfer between your living space and the exterior. If you live in a particularly sunny climate, a reflective option like insulated steel or aluminum siding can maximize efficiency.

You cannot install clapboard siding on a bare, unprepared surface. Clapboard siding requires a clean, sturdy base made from plywood or similar materials, sometimes called backerboard. Then, it needs an underlayment or sheathing, a moisture membrane to help protect the exterior wall.

Note that sometimes clapboard siding is caulked as it’s installed for additional protection. We don’t suggest this: Caulking the siding can trap moisture inside the clapboards and lead to moisture damage over time. The siding needs some space to “breathe,” especially in rainy weather.