How Much Does It Cost To Build Own House In 2020?
There is one problem though. How much does it cost to build a house? If this question has you stumped, fear not. This article will walk you through everything you’ll need to figure this out. First, it will take you through expectations to have before you build a home. Then, it will go over the price per square foot you should plan for depending on unique elements pertaining to your project. You will learn to allocation funds in your house building plans and then about the steps to building a house. This guide will review the major benefits and cons of taking on a project like this. Finally, it will cover how much can actually be saved by choosing to build instead of buy.
What You Should Expect Before Building a House
This very well could be the most rewarding thing you will ever do, but it may also be the most challenging. Building a house from the ground up is no walk in the park. Before you start, it is important that you drill this into your head now: problems are going to come up, and you have to be okay with that. Issues will likely change the timeline or price of the project. Though this can be stressful, it is normal. If you properly prepare for the upcoming storms brewing on the horizon, they will be able to be dealt with calmly and successfully.
Secondly, it is important to have money set aside for if (and when) things do stray from the plan. Some are able to take out loans for large projects such as this one. Others might have enough saved up to pay out of pocket. Regardless of the method you plan on using, set up a buffer. Usually having an extra $5,000 to $8,000 set aside for emergency use is good. Hopefully, it will never have to be used. It could keep you out of a potentially sticky, project-pausing situation though.
Cost Per Square Foot to Building a New House?
How much does it cost to build a small house? What about a massive one? It can be difficult to make these estimates when they have so many moving parts. The average cost to build a house worthy of the American dream is $237,760. Most American homes measured in at about 2,776 square feet for a family. Data collected by the U.S. Census in 2017 shows some rough averages of these costs. Below are the findings of a recent report of theirs.
In the southern area of the U.S., homes will run the homeowner about $100.01 per square foot. Next is the midwest, which costs about $106.79 for that same area. Priced after that is the west, where it costs about $139.48 per square foot. Finally, the northeast comes in at about $161.53. Of course, these numbers can be affected by things like population density, land value, and nearby attractions.
Note that these prices are highly subject to change. A house can be built using the cheapest supplies available just like they can be built with the most expensive. They can be constructed on a beachfront lot with a view of the ocean. On the contrary, they can be built nearby a loud highway. Some may also be wondering, “how much to build a house on my land?” This is less expensive since people interested in building their own houses can make choices that either increase or decrease costs depending on their budget.
Plan Your Budget
For ordinary people, thousands of dollars are not exactly pocket change. Fear not though. With responsible and diligent budgeting, this dream project can be achievable. A crucial part of this process is to hire the right help. Interview several contractors and decorators before choosing one. Get recommendations and ensure that you have complete faith in their ability to work efficiently within your budget.
While putting together a budget, make note of things that you can do yourself. It is not so hard to paint a wall. With patience, you could install some simple appliances. Doing these little things in-house can end up making a big difference at the end of the day. When organizing a budget, you will probably not be alone. Sure you can use a cost to build a house calculator via the Internet or calculate your cost per square foot to build a house by hand. Your contractors should help you out with this part though.
Along the way, it is important that you are concrete in what you are comfortably willing to spend. Professionals may try and convince people that they need to spend more. Sometimes, it is to make their job easier or squeeze some extra payout of a job. They may also recommend things over budget because they genuinely see value in their suggestions. Whatever their reason, do not let anyone else in control of your expenditures.
Main Steps of Building
Steps and costs obviously vary by size, but here are some rough estimates. In this process, the first thing to be laid down is a solid foundation, which comes in at roughly $6,000. Then come the exteriors like walls, floors and the roof complete with a gutter system, which costs between $25,000 and $55,000. Once the skeleton of the house is standing, windows are put in along with utilities (~$25,000 to $30,000). Lastly, it is time for interior design. This is the part that people usually love the most. It is also where the price is highly manipulative. Designer pieces can be easily exchanged for some on the cheaper side. Decorating can be as inexpensive as $25,000 or run a person $80,000. It is usually best to splurge on more permanent pieces than on things that might be replaced during re-decorating.
Build Your Own House: Pros and Cons
Building a house is not all good-times and sunshine. It can be draining to both a person’s bank account and their energy. It is a lengthy process that involves many tough decisions and can at times feel like a second job. Below are some of the major cons that should be considered:
- It takes roughly 7 months to build a home suited for a family. It can take up to a year or several depending on various elements.
- This process takes up a huge chunk of free time that could be spent on other projects or just relaxing.
- Run the risk of exceeding budgeted time and funds. When buying a completed house, these factors are more certain.
If these cons are not enough to deter you, then perhaps pursuing this project is right for you. After all, there are many benefits, such as these ones here:
- Houses that were built can oftentimes be sold for more than it cost to construct them. This leaves the homeowner with a profit as opposed to a deficit on their project.
- Though this process is difficult, it can also be really fun! You will be able to unleash your creative juices and turn your imagination into reality.
- You get to create your ideal living space without making major sacrifices.
How to Save on Building Materials
Everyone is aiming for the cheapest house to build without sacrificing quality. Building materials do not always have to be purchased at their retail price. Many construction stores such as Lowe’s and Home Depot hang up flyers advertising sales on certain materials or store-wide events. Great deals can also be found online. Another slightly more obsolete trick is looking to buy used materials. Wood and other materials can be salvaged from old, ripped down projects. Not only might these materials be cheaper, but they may have historic value. Simultaneously, it is oftentimes more environmentally friendly.
Is This Endeavor Right for You?
Ultimately, this is a fun and rewarding project for those brave enough to take it on. A family was to be willing to invest their time, money, and heart into putting together their new place. Looking at house plans with their cost to build is a good place to start. As the process progresses, patience and vision are key. In no time, you will be moving into your new place with excitement and pride.