Custom House Construction Cost Estimate / Quotation

Custom Home Construction Costs
Source: Toolbase Services

If you are considering having a custom home built, the following information will help you get an idea of the cost of building exclusive of land. However, you will first need at least a preliminary plan of the proposed house. You should also carefully consider how much you can, or want to, spend. Consulting with a mortgage lender or financial planner is advised as a first step.

There are many variables to consider in developing a rough estimate of construction cost due to the wide range in materials and options that might be used. For example, marble and hardwood floors are more expensive than vinyl and carpet (which themselves can have a wide variance in quality and price). Also, most labor and material costs vary from one area of the country to another. However, you should be able to get a pretty good idea of what to expect before seeking bids from builders.

GETTING A ROUGH ESTIMATE

A good approach is to look at prices of new homes for sale in your area that are similar to what you are considering, and then calculate square foot costs after subtracting out the cost of land. However, bear in mind that custom homes inherently cost somewhat more than "production" homes. An excellent source for new home prices that will eliminate actual site visits or phone calls is the NAHB's homebuilder.com website which lists thousands of homes for sale throughout the country, with floor plans, specifications, prices, etc. Developed lots are also listed which can help give you some idea of the land portion of the price.

A more detailed approach is to consult construction estimating guides such as those by R.S. Means, F.W. Dodge, and HomeTech. These books typically provide approximate square foot costs for several types of construction and levels of quality. They also provide cost information for most materials and labor that go into house construction, along with "geographic multipliers" that are used to adjust prices depending on locality. Bear in mind that these guides give an approximate cost for typical constructions and components, which can vary significantly.

Finally, talk with several custom builders in the geographical area in which you plan to build to get a rough idea of what it may cost to build your house. Builders can give you a range of costs with the associated quality/features. If you are serious about building and feel comfortable with a particular builder, consider having the builder work up some more detailed plans and an estimate of costs as part of a design-build process. It may be to your advantage to start with a plan that the builder has used before and "customize" it to suit your objectives.

GETTING A BID

Once you have determined a plan with the features you want and can afford, you can submit the plans and specifications to several builders for bids. You can then compare prices, remembering that price alone should not determine your choice of builder. It would not be unusual to get bids that vary quite a bit due to:

Differences in design details and materials, unless plans and specifications are very specific (getting a true "apples-to-apples" comparison is difficult).
Builders may have more or less experience with certain house styles, types of lots, materials, etc.
Costs for building permits and inspections, insurance, construction loan costs, utility hook-up fees, etc., may or may not be included.
Quality and/or speed of work depending on number of on-going projects, availability and skill of workers, etc.
Varying overhead and administrative costs, and profit margin.

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To learn more about a particular home builder or view pictures of completed projects, click on the corresponding link below. The builders are sorted by location.

Baguio

R. A. Gacoscos Construction

Caloocan

DFCi Builders

RGU Construction

Cavite

Blue Circle Builders Quality photos!

DHY Construction

Cebu

ET & p Design Construction

Manila

DNA Engineering & Construction

MV Tamina + Architects

Marikina

Amedescon Quality photos!

Parañaque

Macaballug & Castrillo Architects

Gundan Jr & Associates Quality photos!

Taguig

AB Garcia Construction

Plumb Bob Construction Quality photos!

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