With the U.S. housing supply at an all-time low, you might find it difficult to buy that dream home you’ve been saving up for all this time.
Fortunately, you have another option. Building a house gives you more control over your budget as well as the overall design of your home.
That brings us to the question, ‘How much does a custom home cost?’. Keep reading to find out if it’s a realistic option for you.
The Home Building Process
There are so many factors involved in the home building process, it’s difficult to come up with a ballpark figure for building your own home.
Some of the elements that can affect the cost to build a custom home include:
Size of the Home
Naturally, large homes use more materials than smaller ones do. The average building cost for a home in the U.S. is $150 per square foot, but this can vary widely depending on many factors.
The Location of Your Building Site
Material and labor costs vary depending on where you’re building your home, but other factors come into play, too.
If you’re building a home in a remote location, you can expect to pay more for transport or land preparation. Some lots might require additional land preparation that adds to your costs, too.
The Complexity of the Build
When you build a house with unique features and a complex layout, you’ll end up paying more. That’s because building materials come in standard sizes.
When your contractor has to manufacture custom parts for every area of your home, you’ll pay a lot more for materials.
Desired Finishes
The final difference in costs between a standard house and a luxury one can amount to millions of dollars. So, if you’re working on a tight budget, you must steer away from adding high-end finishes and materials without considering costs.
Many wannabe homeowners end up with a half-built house after running out of money due to unexpected costs.
How Much Does a Custom Home Cost To Design?
According to Ogicon.com, having plans drawn up is one of the boxes you must tick before you can determine the cost to build your custom home.
Custom home design means hiring a team of experts to create a plan for constructing your dream home. These include an architect, engineers, and interior designers.
Each of these professionals charges between $50 and $200 per hour, depending on their qualifications and experience.
Remember, you’ll also need to pay a fee for the submission of these plans to your local municipality, and any permits required in your area.
Build or Buy?
Now that you’re aware of some answers to your questions about, ‘How much does a custom home cost?’, you’re better equipped to decide whether to build now, or buy later.
Your best option is to hire an experienced contractor who can work with you to create a dream home that’s within your budget.
Would you like some more insights into investing in real estate? Browse our blog for all the ins and outs associated with real estate investments.
