How Much Does It Normally Cost to Build a Custom Home?

How Much Does It Normally Cost to Build a Custom Home?

Are you considering getting a home built from the ground up? Working out the cost can be tough, as so many different factors are involved. If you know what elements are at play, you can work out a better prediction of the final cost.

We can help by breaking this down into four main areas. Read on for our must-know guide on the cost to build a custom home.

Price by Region

The first major factor that will impact the price is the region you choose to build in. The price per square foot can vary vastly, depending on the larger geographical area you choose. This can also increase as you narrow down the location to towns, cities, and districts within this.

Each area will also have very specific building regulations. Some states may let you build freely, while others may add charges for planning permission and permits. A real estate agent who sells your land for building a house or home builders should be able to advise on this.


The next factor to consider is the size of the home. Increasing the size pushes up your material, labor, and land costs.

Size does not always have to equate to increased expense. A small home built to high specifications could cost more than a larger one with modest fittings and materials.


The design of the home can also add to the price. The more complex, the more expensive it will be as more labor is required. It also increases the number of materials needed to construct.

Large one-story homes generally cost more than two-story as they require more foundation work. Elevation changes and gradients, either in the topography or the walls, also increase the cost. The height of walls and the number of angles can also push up the cost to build a home.


The specifications can be divided into three categories. these are structural, systems, and finishes. It is not only the cost of these that will impact custom home prices but the complexity of their installation as well.

Structural specifications are the materials used to build the shell of the home. People can use everything from traditional stone and brick to shipping containers to build homes, and each has a different value. Materials for making a home energy efficient may also increase the value of the property.

Systems are the internal operating features of the home. It may include HVAC systems, smart operating protocols, solar heating, and insulation. Each individual system will come with a lot of options which vary in price themself.

Finally, fittings are the items in your home. They include bathroom and kitchen fittings and cabinets, windows, doors, surfaces, lighting, and appliances. This is a huge area, and you can offset expenses in one area by cutting back in another should you aim to keep costs down.

The Final Cost to Build a Custom Home

Averaging out these factors should give you a much better understanding of the cost to build a custom home. However, it is not a replacement for consulting a professional architect or home builders who will have a much better understanding of current material, land and labor costs.

If you enjoyed our article, visit the rest of our blog. We have everything to help when finding, building or selling a home. Stop by today so we can help you get the dream property you deserve!