You and everyone else wants to build and have a new house, but the question is – is it something you can afford? To have a better budget plan, you may start with free building cost estimating tools that you can find online, and seek out the hidden costs that are usually overlooked when making estimates. Here are tips from the experts.
“Guesstimate” the Cost of Your New Home
1. Look and give Local Builders a Call
Contact local builders, and try to schedule a meeting prioritising those who have handled projects of similar size and features to your planned home. These builders will give you a costing and how much per square foot they will charge. They can also pretty much give you a view on how much your home will cost you. However, it is highly essential that you exactly are aware of the details of what is included in the price. Most builders will provide you with the details including the materials that are to be used to have a better estimate.
2. Count the Square Footage
Have a look at newly made homes with similar features, style, quality, and size of your planned home. If possible, get some info on how much the house cost, deduct the lands price, and divide that amount according to the home’s square foot measurement.
For instance, if the home sells at $250,000 and the cost of the land is somewhere around $40,000, then construction cost will go around $210,000. If the home measures 2,000 square ft., then the cost is $100 per square feet.
Make use of some of the newly built homes in your area to get an estimated price per square footage. After calculating an average square foot cost, you can then multiply that cost with the finished square footage of your planned home to get the pretty close estimate.
3. Expect Some Features to Cost More
The bathroom and the kitchen are the most expensive parts in a home. The size, the number of, and the quality of the windows will also influence the price and total cost. Having high roof pitches and vaulted ceilings can also give your home an increase. When using other homes In making your estimates, though, it is highly important to make sure that the home you used as the basis is close to what your home will be in specifics.
Smaller homes often have a higher cost per square foot as compared with bigger homes. When building large homes, the cost of the more expensive items (kitchens or furnaces) is greatly spread over a square footage of the area.
Consequently, a larger home may have lower square footage cost compared with smaller home. Also, it’s mostly less expensive to build a two-story home than a one-story home with the same square footage. The reason is because a two-story home holds a smaller roofing and foundation and both the plumbing and ventilation are more optimised in two-storey homes.
The reality is the tiny little details of your home actually make a difference in its price. To have valued savings, begin making estimates before selecting your final blueprints. Here are essential things to consider:
When building your dream home, it’s highly advisable to work with even numbers for easier estimates. Have your home size rounded up or down to increments of two feet. This process will reduce wasted materials. And also, it a proven fact that homes that are no deeper than 32 feet are most economical. If it exceeds 32 feet in depth, then you’re more likely to have it specially designed, which then will make it more expensive.
Homes that have a box type or rectangular designs are less expensive to build. Increasing the number of angles and corners will also increase the amount of needed materials, labour, and duration of work. Homes with dome-type shapes also make very efficient use of materials and are less expensive as compared with other shapes.
Your site preparations before construction can greatly influence the cost of your home. Building on flat lots will give you some savings. If hauling is needed, a lot of grading will be required, as well as clearing of trees, or blasting large rocks, making the more expensive cost overall.
- Cost Overruns
Almost always, the final cost of the building is larger than the bid price. Cost overruns happen when overspending of allowances happen, some necessary changes needed to be done, and when unexpected problems are encountered. Proper planning can avoid some of these costs. In general, though, preparing an allowance of around 10% would be a great idea in preparation for these unexpected costs.
- Inflation and Changes in Market Conditions
Usually, an increase of around 3% to 6% yearly will be applied to the cost of building a home. If it will still take years before your construction begins, never forget include inflation into your calculations. When using other homes in comparing prices, try to use those that have been built recently, or within the year to be safe.