Average price per square foot to build

The frame of your house is the skeleton that'll support your finishing features, like drywall, windows, doors, and even your roof. It's the backbone of every house and is traditionally made of wood. Framing costs $20,000 to $50,000. If you don't live in a cold climate, ask your builder about using cinder blocks, a great way to save money. But be forewarned: It's not a great insulator. 

Your home's frame will dictate the size and location of rooms and other essential features like roofing. Framing includes the home's overall frame, trusses, and general metalwork. Usually, framers also do the home's sheathing and subfloor installation and install the windows and doors. 

If you want to make changes after the framing has begun, it'll increase the price. Increases depend on many variables specific to each project, creating a general estimate for this guide impossible. Even seemingly simple changes like adding a door, moving the window's location, or adding loads to a second floor all affect the final bill. If you want to keep your costs lower, avoid these kinds of changes.

Plumbing, Electrical, and HVAC

Plumbing, electrical, and HVAC comprise most of your major system costs because of the sheer volume of work and labor-intensive nature required in each of these areas. Major systems installation costs range from $30,000 to $75,000. Plumbing, electrical, and HVAC work are critical to your property's safety, integrity, and efficiency, so this isn't the place to try and cut costs. The size and type of systems can affect the price of these installations.

For example, a new HVAC unit installation costs around $5,000 to $10,000. Here's a look at more costs associated with major systems:

Interior Home Finishing

Interior home finishes refer to all the natural and synthetic materials used to cover the interior of a building's frame, and they also add the special touch that'll make your new house a home sweet home. On average, interior finishing costs $50,000 to $100,000 but can run much higher. It's one of the more expensive components, and there are endless luxury options available. Think custom countertops and a crystal chandelier over your breakfast nook. How much you'll pay depends on your budget and personal style. 

Consider anything you can DIY to reduce costs. For example, if you have the time and skill to do the painting, you can save up to $10,000. These savings might let you splurge on granite countertops, solid wood kitchen cabinets, or an upscale appliance or two.

Before tackling any project, you should examine what it entails. That includes both the work involved and the prices. With that in mind, here are some of the most crucial steps when building a house and their average costs.

Plot Of Land

If you want to start your home on the right foot, you need to choose the land you build on carefully. You can’t decide based on looks or good views alone. A plot of land may seem nice but could contain contaminants in the soil, come with high zoning costs or be prone to natural disasters.

As a result, it’s vital to do your due diligence and check all factors. Failing to do so can add thousands to your building expenses. In general, a plot of land may cost $3,000 – $150,000.

Lots tend to be finished in urban areas, meaning they hook into water lines, sewers and the electric grid. Comparatively, you’re more likely to find unfinished lots in rural areas, resulting in lower costs. The average per-acre cost of raw land in a rural area is only $3,800, according to the United States Department of Agriculture (USDA) Land Values summary.

Additionally, you will need to clear and prepare the land before building. The national average cost is around $2,680 per acre of lightly forested land, but heavily forested areas can cost twice as much or more.

Building Permits And Regulations

Once you purchase your plot of land, your contractors and subcontractors can start preparing. They’ll need to contact your local municipal office to receive the necessary permits. Sometimes a contractor already has a relationship with your municipality which speeds up the process.

Building permits are official documents that authorize you to begin constructing the property. The requirements, building codes and associated fees vary depending on where you want to build. So, it’s wise to check fees beforehand. During the construction process, a representative from the local Department of Building and Zoning will inspect the project to ensure it’s up to code.

Some of the permits you may need, and their average price range, include:

• Building permit: $1,200 – $2,000
• Basement permit: $50 – $2,000
• Electrical permit: $50 – $500
• HVAC permit: $250 – $400
• Plumbing permit: $50 – $500

Contractor(s) And Labor Costs

A crucial figure in your project is the general contractor. This individual oversees the entire construction process of your home from beginning to end. They take on important responsibilities, including obtaining cost estimates, vetting and hiring a team of subcontractors and ensuring deadlines are met.

A general contractor is technically different from a custom home builder. The latter specializes in custom homes and draws up blueprints – two features the general contractor doesn’t share.

A general contractor charges around 10% – 20% of the construction’s total cost, sometimes called “cost plus.” Some contractorsagree to an hourly rate of $50 – $150 per hour.

After you have a contractor, you need subcontractors. Each one specializes in a certain type of installation or task, such as security system installation or carpeting. They charge a similar hourly rate to general contractors.

Foundation

Breaking ground is the next step once you finish all the prep work. At this time, a crew comes in to dig out the space needed for the foundation of your home.

The foundation isn’t the same for every home. The company will pour concrete depending on the type of foundation you choose, including slab, crawl space and basement. The slab is generally the cheapest and basement is usually the most expensive. Crawl space tends to sit in the middle, cost-wise. The size will also influence how much you end up spending.

Your preferences and budget will determine which one you choose. However, each one has its advantages and disadvantages. The cost for a foundation averages $15 – $130 per square foot. The typical project costs around $8,450.

Here’s a cost breakdown by type based on averages:

• Concrete slab foundation: $5,200 – $13,000
• Monolithic: $5,200 – $13,000
• Stem wall: $7,000 – $21,000
• Pier and beam foundation: $8,000 – $15,000
• Pile foundation: Minimum of $28,000
• Basement foundation: $30,000 – $70,000

Framing

The frame acts as the bones of your home. It supports all the finished features, including your windows, roof, doors, walls, and even garage (if you want one). The overall cost to frame a house includes both labor and materials.

So, you will need to factor in how long it will take to complete this stage of construction, along with the amount of materialneeded. As a result, a bigger or more complex home will likely cost more.

Usually, you can depend on the framing to cost $20,000 – $50,000.

Exterior Work

Once you finish the basic components of the interior fixtures and drywall, you start on the exterior. That involves installing features such as doors, roofing, walls and windows. This may also be the step where the builders work on walkways, driveways and patios. However, some crews prefer to wait until the very end of construction to pour the driveway.

Exterior work helps complete the look of your property and generally costs $40,000 – $60,000. Multiple openings and your chosen finish affect this price, though.

HVAC And Other Major Systems

Electrical, HVAC and plumbing account for most of your system costs. That’s because installing these systems is usually labor-intensive. But you can’t skimp in this area since these major systems are critical to the health and safety of the home’s occupants. They also impact the efficiency of your property, meaning cutting corners will cost you in the long run.

Installation costs around $30,000 – $75,000 overall, but the type and size of the systems may change that.

Interior finishes

You can estimate interior finishes will cost $50,000 – $175,000, but only based on averages. Interior home finishing can run much higher than that because it’s based on personal preference.

You don’t make decisions in this area based on utility. Instead, you want your dream home to accurately reflect your style and unique tastes. As a result, any special touches or customizations will result in higher costs. However, you may be able to reduce some costs if you DIY any features.

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