Does It Cost More to Build a Custom House?
When you look at the statistics that Newcastle new home builders provide, you’ll see that the average cost of homes is around $320,000 in 2021. But when it comes to the home you’re about to build, the price will be affected by several factors. From the location of the land and the materials you choose, the cost will either be beyond or less than the average price.
Then there’s the impact of the pandemic that you need to worry about. From the restrictions implemented and the reduced productivity, it can take longer to complete certain projects. Generally speaking, It will cost more to build a custom home. So today, we’re looking at the reasons why a custom house costs more than other volume-built homes.
Custom Builders VS Volume Builders
Whether it’s a duplex building or a stand-alone home that you’re planning, you have to consider what custom builders and volume builders offer. The former type erects homes that are built according to every specification by the client. They can easily incorporate these changes into your plans. Since their approach to projects is personalised and tailored, custom builders will only take a certain number of projects in a year.
Volume builders build using existing house plans. Meaning there’s not much room for personalisation. They build a large number of homes yearly. The number can even get up to the thousands. Homes from such builders typically come in a set. If you’re already satisfied with the designs presented by a volume builder, it could save you a lot of money.
How Much a Custom Design Is
When you choose custom home builders, the initial step involves the home design. In the process, you can choose from any of the three options:
- Work with an architect
- Employ a drafting firm
- Choose the in-house design team of a builder
This step alone has varied prices. For example, a drafting firm may charge a minimum of $3,000. When you choose to hire an architect from a firm, it can cost you at least $50,000. Are you wondering why it’s expensive? That’s because an architect’s fee is dependent on the whole build of the project. They may charge around 10% to 15%. Cost-wise, you might spend a total of $200,000. Opting for the design team of a custom home builder can cost about $10,000 to $15,000.
The Cost of Building a Home
If you want to know roughly how much building your home will cost, measure your designated piece of land by square metre. From there, it’s easy to estimate the costs. In this case, one square metre is priced from $1,000 to $3,000.
It’s important to remember that this is just a rough estimate. Several factors come into play when finalising the costs of a custom home. For example, high-end elements in the kitchen and bathrooms, as well as necessary fixtures can add more to the original cost.