How Much Does It Cost to Build a House in 2023?

Landscaping project costs range from $300 for tree stump removal to $16,300 for patio enclosures. Need to install landscaping? Expect to pay around $3,200. Want to build a deck for your backyard? Those average about $7,300. Find more landscaping project prices below.

Find out how much your project will cost.

Updated January 12, 2023

Reviewed by Robert Tschudi, Expert Home Building and Remodeling Contributor.

Written by HomeAdvisor.

To build, buy, or renovate? It's a question most homeowners ask themselves. If you've researched all the options in your ZIP code and decided to build, you may wonder how much it'll cost to build a house. In 2022, the average cost to build a home in the U.S. is $312,866, with a typical range between $135,991 and $523,416. Continue reading to find out the various cost factors that’ll affect your total project cost.

2022 Notice: Material Prices Are Surging

Demand for siding and other building materials has grown over the past year. And as a result, manufacturers are increasing materials prices. Prices have gone up 5% to 10% this year, and many parts of the country are experiencing long delivery times. If you're planning a building project, we recommend starting as early as possible in the season, preparing for potential price fluctuations, and allowing extra time to order materials.

Select your Landscape project

Sunny backyard with brick patio and a pond
Install Landscaping
(30,555 projects)
$3,501 Average National Cost
new deck on upper level of house overlooking trees
Build a Deck
(18,932 projects)
$8,159 Average National Cost
A wooden patio with nice furniture and lots of plants
Install a Patio or Pathway
(16,458 projects)
$4,460 Average National Cost
tree stump being removed with a stump grinder
Remove a Tree Stump
(15,051 projects)
$366 Average National Cost
Person measuring to repair a deck
Repair a Deck
(13,625 projects)
$2,105 Average National Cost
sealing a wooden deck with a paintbrush
Seal or Waterproof a Deck
(9,116 projects)
$938 Average National Cost
grass lawn that has been recently installed
Install Sod
(8,931 projects)
$2,026 Average National Cost
Family playing basketball in driveway
Seal Asphalt Paving
(6,791 projects)
$561 Average National Cost
professional repairing concrete driveway of a house
Repair a Driveway
(5,826 projects)
$1,767 Average National Cost
A blue house with a well-manicured lawn
Reslope a Lawn
(4,894 projects)
$2,174 Average National Cost
Construction worker working in construction site
Hire a Land Surveyor
(4,059 projects)
$542 Average National Cost
commercial truck delivering big pile of mulch
Deliver Soil, Mulch or Rocks
(3,806 projects)
$797 Average National Cost
Landscaper at garden center with plants
Hire a Landscape Designer
(3,134 projects)
$4,564 Average National Cost
land excavation on new home site
Excavate Land
(3,050 projects)
$3,923 Average National Cost
Awning-over-backyard-balcony
Install an Awning
(2,810 projects)
$2,957 Average National Cost
A modern house with glazed arbor
Build a Patio Enclosure
(2,799 projects)
$17,349 Average National Cost
A stone retaining wall and grassy land
Install a Retaining Wall
(2,379 projects)
$6,063 Average National Cost
modern home with artifical turf lawn in backyard
Install Turf
(2,121 projects)
$5,723 Average National Cost
drainage system being installed in trench in yard
Install Drainage
(2,094 projects)
$4,588 Average National Cost
building site being prepared for construction
Clear Land
(2,084 projects)
$3,711 Average National Cost
professional repairing a brick patio pathway
Repair a Patio or Pathway
(1,649 projects)
$1,588 Average National Cost
stamped concrete patio with furniture in backyard
Install Stamped Concrete
(1,577 projects)
$5,089 Average National Cost
concrete being removed with jackhammer
Remove Concrete
(1,253 projects)
$1,118 Average National Cost
garden plants with landscape curbing
Install Landscape Curbing
(1,039 projects)
$1,398 Average National Cost
pergola built over a deck in backyard of house
Build a Pergola
(699 projects)
$4,224 Average National Cost
small pond in a backyard garden with landscaping
Install a Pond
(584 projects)
$3,369 Average National Cost
waterall feature with landscaping in a backyard swimming pool
Install a Water Fountain
(568 projects)
$2,811 Average National Cost
modern home with retractable canvas awning
Repair an Awning
(500 projects)
$722 Average National Cost
professional delivering concrete to jobsite
Deliver Concrete
(407 projects)
$5,466 Average National Cost
wooden gazebo built in large backyard with landscaping
Repair a Gazebo
(195 projects)
$1,273 Average National Cost
wooden gazebo recently built in backyard garden
Build a Gazebo
(176 projects)
$5,696 Average National Cost
trench being dug to construct a dry well in backyard
Construct a Dry Well
(117 projects)
$2,708 Average National Cost
an outdoor misting system next to garden plants
Install an Outdoor Misting System
(95 projects)
$2,740 Average National Cost
An outdoor misting system in a house’s front porch
Repair an Outdoor Misting System
(80 projects)
$522 Average National Cost
landscape architect and homeowner discussing garden plans
Hire a Landscape Architect
(68 projects)
$2,201 Average National Cost
soil samples being tested in a lab
Test Soil
(50 projects)
$1,419 Average National Cost

Building a House Cost Calculator

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National Average $312,866
Typical Range $135,991 - $523,416
Low End - High End $1,500 - $900,000

Cost data is based on actual project costs as reported by 1,139 HomeAdvisor members.

Top Factors That Affect Your Home-Building Cost

For a home-building project of a standard 2,200-square-foot house, construction materials and labor costs will account for most of the budget. More minor cost factors include your chosen interior and exterior finishes, any site preparation you need to do to get your home ready, and room add-ons such as a basement or tennis court.

How Your Home-Building Cost Breaks Down

See the estimated average percentages your factors contribute to your total cost.

Construction Materials
50%
Labor
40%
Interior & Exterior Finishes
5%
Site Preparation
3%
Room Add-Ons
2%

1. Construction Materials

Expect to spend about 50% of your total budget on home-building materials. Lumber is the most expensive out of these, with costs averaging $25,000 to $65,000 nationwide, with prices continually increasing. Also account for the cost of materials for concrete, flooring, siding, drywall, and roofing at the very minimum. Larger homes require more materials as well.

2. Labor

The pros who build your house represent about 40% of your project costs. The labor costs vary relative to the size of your house, your geographic location, and your contractor's ability to find affordable subcontractors. These factors are on top of the size and complexity of your home. Large custom-built homes have a higher labor cost than smaller modular homes.

3. Interior & Exterior Finishes

Interior home finishes refer to all the natural and synthetic materials used to cover the interior of a building's frame. The exterior finish also contributes to your property's overall look and feel. Both add the special touch that'll make your new house a home sweet home. There are endless options available.

4. Site Preparation

Whether you need to purchase land accounts for the majority of this cost factor, with the average lot size of a new single-family detached home at around one-fifth of an acre. You also need to finish the lot if needed, such as connecting to utility, sewer, and cable lines. Plans and permits are also part of the site preparation process before you start constructing your home on the land.

5. Room Add-Ons

A house can be as large or as small as you want it to be, and it can also have as many or as few rooms as you need as well. If you have the budget for it, add a basement, theater room, or outdoor space with an expansive garden or tennis court.

What Your Home Building Budget Gets You

When building a house, your budget will play a critical role in determining how much you can get done. Whether you opt for bare bones construction to build a simple home or brand-new, high-end components you and your team hand-pick for the house of your dreams, select the cost range that best suits your needs to get started.

My budget is

1
Construction Materials

Pick prefab kits and a smaller home size. 

  • Smaller homes mean fewer materials you need to purchase. 

  • Choose a prefabricated kit vs. customizing each house component.

  • The material quality you choose makes a huge price difference. Use lower-end aluminum or vinyl siding or cinder blocks vs. wooden or metal framing to save money if you live in a warm climate.

2
Labor

Be your own general contractor.

  • A general contractor costs around 10%–20% of the total project. Act as your own to save around $20,000–$60,000. 

  • Keep in mind that it may take years to build a standard 2,600-square-foot home if you do it yourself.

  • The bigger the build, the more labor costs you should expect.

3
Interior & Exterior Finishes

DIY what you can.

  • DIY as many elements as you can to save on costs.

  • This could be painting inside and outside your home, which can save up to $10,000.

  • Pick budget-friendly finishing options, such as inexpensive appliances, premade cabinets, and vinyl flooring.

4
Site Preparation

Start with land you own.

  • Own the land to avoid purchasing a lot, which costs anywhere from $3,000–$150,000.

  • Or, build on a finished lot to avoid extra fees like connecting to the city electric grid, depending on how close your home is to the nearest lines.

  • If you buy land in a metropolitan setting, developers will most likely have finished the lot prior to listing it.

5
Room Add-Ons

Skip the add-ons.

  • Avoid extra rooms or features like a pool, attic, or basement.

  • Once the framing has begun, adding a door or moving a window will add to the project total.

Building a House by Square Footage

The most significant cost determinant? You guessed it: It's the size of your dream home. Simply put, the bigger the build, the more material and labor costs you should expect. The cost to build a new house is about $150 per square foot, and the average new home constructed in the U.S. is approximately 2,200 square feet. 

If you'd like to know the general price range of your dream build by size, take a look at these averages below. A simple omission like an extra bathroom or pantry can greatly affect your pocketbook.

House Size by Sq. Ft. Average Price Range
800 $80,000 – $160,000
900 $90,000 – $180,000
1,000 $100,000 – $200,000
1,200 $120,000 – $240,000
1,500 $150,000 – $300,000
1,600 $160,000 – $320,000
1,800 $180,000 – $360,000
2,000 $200,000 – $400,000
2,500 $250,000 – $500,000
2,700 $270,000 – $540,000
3,000 $300,000 – $600,000
4,000 $400,000 – $800,000
5,000 $500,000 – $1,000,000

The house footprint will also impact the total project cost. If you're looking to save money, opt for a small footprint rather than building outward. For example, building upward with a two-story design can decrease the footprint. Where you build can also play a big role when it comes to costs, which we'll explore later.

Number of Bedrooms

A large bedroom with a minimalistic bed
Photo: bennnn / Adobe Stock

In the U.S., three-bedroom homes typically range from 976 square feet to over 2,400 square feet. Four-bedroom homes range from 1,900 to 2,800 square feet, and five-bedroom homes range from 2,500 feet to the mid-3,000s. The table below gives you a sense of the home cost by the most common bedroom sizes.

Number of Bedrooms Average Cost
3 $146,400
4 $285,000
5 $375,000
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Building a House by Location

Metropolitan settings like New York City or San Francisco have a higher labor cost, so builds in these bigger cities can run $400 per square foot or more.

U.S. State Average Cost
Alabama $290,000
Alaska $525,000
Arizona $412,500
Arkansas $117,500
California $400,300
Colorado $260,100
Connecticut $550,000
Delaware $327,060
Florida $295,000
Georgia $250,000
Hawaii $412,840
Idaho $315,520
Illinois $265,440
Indiana $219,300
Iowa $214,040
Kansas $200,000
Kentucky $280,580
Louisiana $213,400
Maine $282,140
Maryland $290,000
Massachusetts $425,000
Michigan $245,000
Minnesota $236,980
Mississippi $240,000
Missouri $226,760
Montana $298,960
Nebraska $210,900
Nevada $323,500
New Hampshire $307,500
New Jersey $405,000
New Mexico $317,500
New York $600,000
North Carolina $385,000
North Dakota $270,000
Ohio $222,480
Oklahoma $275,000
Oregon $287,500
Pennsylvania $397,500
Rhode Island $338,180
South Carolina $350,000
South Dakota $204,420
Tennessee $282,500
Texas $264,100
Utah $235,000
Vermont $256,700
Virginia $380,000
Washington $325,000
West Virginia $301,120
Wisconsin $310,000
Wyoming $290,420

Building a House by Labor

Average rates for 7 different service pros, including electrician, plumber, interior designer, and architect
Photo: Hispanolistic / E+ / Getty Images

Besides square footage, the construction pros who build your house represent 30% to 50% of your project costs. As you might guess, the labor costs vary relative to the size of your house, your contractor's buying power, and their ability to get reasonably priced labor. These factors are on top of the size and complexity of your home.

Large custom-built homes have a higher labor cost than smaller modular homes. Modular properties are prefabricated, with up to 90% of the work done off-site in a factory setting before it's shipped to its final destination and assembled. Large custom builds are constructed from the ground up on-site with no prefabrication. The lack of factory-made elements significantly increases labor costs. 

Some labor costs (not including material fees) include:

Before Building a House 

You can't build a home without buying the land first. The average lot size of a new single-family detached home sold in 2016 was 8,562 square feet, just under one-fifth of an acre. While there aren't many rules on how much land you have to buy, think about the overall home size, including the backyard and front yard. You also need to set aside space for fencing on your property line and where your home's utility grid will go. 

Land Purchase

On average, purchasing your own lot costs anywhere from $3,000 to $150,000. Pricing varies significantly depending on the lot size, location, and whether utility connections are already at the site.

In 2020, the National Association of Home Builders reported that the median lot price reached a record high of $53,000. The most expensive lots were in the New England region, where the median lot values reached $120,000, and the second-most expensive area was the Pacific region, with a median lot value of $103,000.

Clearing land for construction prep costs around $1,300 to $5,100. If you bought your own lot, you might have to hire an excavation contractor near you to clear it, but the land might already be prepared for building in most developments. Costs you may incur include:

Finished vs. Unfinished Lots

The construction site of a country house
Photo: Tatyana A. - tataks / Adobe Stock

If no utility, sewer, or cable lines have been pulled to a site, it's considered an unfinished lot. You'll usually only run into this issue in rural areas. If you buy land in a metropolitan setting, developers will probably have finished the lot prior to listing it. When building on unfinished lots, plan for some additional costs, such as:

  • Connecting to city sewers cost: $550–$2,300

  • Connecting to the city electric grid cost: $1,000–$30,000, depending on how close your home is to the nearest lines

  • Connecting to city water lines cost: $1,000–$5,000, with one fee for both water and sewer

Plans and Permits 

Whether you're looking for a small two-bed country-style property or sprawling modern farmhouse, you can find a variety of stock plans or pre-designed home plans with features homeowners typically want. Expect to pay $500 to $5,000 for stock plans that'll give you an overall vision of a home while saving you architectural fees. Custom plans will require an architect and can cost anywhere from $2,000 to $20,000. These plans are tailored to the exact vision of the buyer. 

Once you've purchased your chosen house plan, give the "bid set" to your builder. The bid set consists of all relevant plans, including elevations, wall sections, and floor plans. Based on this, your local construction manager can give you an accurate "cost to build" estimate.

To build a new home (or add to an existing house), you'll also need a building permit. The cost of a building permit for a home is between $1,200 and $2,000. Permit costs can vary based on your location and the permitting requirements in your area.

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Building a House by Construction Type

Constructing your home from scratch can be a costly and time-consuming process. Below, we break down the most significant elements of building a home, from the materials needed to framing and plumbing requirements.

Materials

Expect to spend about 50% of your total budget on home-building materials. Lumber costs an average of $25,000 to $65,000 nationwide. For a new build, concrete costs about $1,000 to $10,000. Flooring typically costs $1 to $5 per square foot

The quality of the material you choose makes a big difference. For instance, siding costs about $2 to $15 per square foot. But if you're working on a tight budget or want to splurge elsewhere, you can clad your home in lower-end vinyl, wood, or aluminum siding for $2 to $5 per square foot. On the other extreme, you could also use high-end stone for $35 to $50 per square foot. Your pro should be able to give you an estimate based on your design.

Material Average Price
Lumber $25,000 – $65,000
Concrete $1,000 – $10,000
Drywall $10 per sheet
Flooring $1 – $5 per sq. ft.
Siding $2 – $15 per sq. ft.
Insulation $0.10 – $1 per sq. ft.
Roofing $1,000 – $3,000

Framing

A worker walking on a house construction site
Photo: ArtistGNDphotography / E+ / Getty Images

The frame of your house is the skeleton that'll support your finishing features, like drywall, windows, doors, and even your roof. It's the backbone of every house and is traditionally made of wood. Framing costs $20,000 to $50,000. If you don't live in a cold climate, ask your builder about using cinder blocks, a great way to save money. But be forewarned: It's not a great insulator. 

Your home's frame will dictate the size and location of rooms and other essential features like roofing. Framing includes the home's overall frame, trusses, and general metalwork. Usually, framers also do the home's sheathing and subfloor installation and install the windows and doors. 

If you want to make changes after the framing has begun, it'll increase the price. Increases depend on many variables specific to each project, creating a general estimate for this guide impossible. Even seemingly simple changes like adding a door, moving the window's location, or adding loads to a second floor all affect the final bill. If you want to keep your costs lower, avoid these kinds of changes.

Plumbing, Electrical, and HVAC

Plumbing, electrical, and HVAC comprise most of your major system costs because of the sheer volume of work and labor-intensive nature required in each of these areas. Major systems installation costs range from $30,000 to $75,000. Plumbing, electrical, and HVAC work are critical to your property's safety, integrity, and efficiency, so this isn't the place to try and cut costs. The size and type of systems can affect the price of these installations.

For example, a new HVAC unit installation costs around $5,000 to $10,000. Here's a look at more costs associated with major systems:

Interior Home Finishing

Interior home finishes refer to all the natural and synthetic materials used to cover the interior of a building's frame, and they also add the special touch that'll make your new house a home sweet home. On average, interior finishing costs $50,000 to $100,000 but can run much higher. It's one of the more expensive components, and there are endless luxury options available. Think custom countertops and a crystal chandelier over your breakfast nook. How much you'll pay depends on your budget and personal style. 

Consider anything you can DIY to reduce costs. For example, if you have the time and skill to do the painting, you can save up to $10,000. These savings might let you splurge on granite countertops, solid wood kitchen cabinets, or an upscale appliance or two.

Exterior Home Finishing

 A worker installing new roofing to a house
Photo: sturti / E+ / Getty Images

Just as important as building a new home that fits your needs and personal aesthetic, the exterior finish also contributes to your property's overall look and feel. The exterior finish is the material or coating used to decorate and protect the exterior wall surfaces. This can include masonry veneer, stucco, siding, and shingles.

Exterior finishing costs about $40,000 to $60,000 and includes exterior walls, roofing, windows, and doors. The number of building openings and types of exterior finishes will affect this price:

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Additional Cost Factors 

Here are some additional items to consider if you’re interested in adding a pool, backyard, or even a basement.

Outdoor Space

When you’re thinking about building a house, don't forget about planning out the cost of outdoor living space. The national average is about $7,670 for an outdoor living space, with a typical range between $4,150 and $11,190.

Pools are a great feature that adds value to the property. In-ground pools cost anywhere from $36,000 for a more basic model to $100,000 for a luxury custom design. Outdoor kitchens will cost between $5,530 and $22,150, and large decks cost $4,080 to $11,300. While these features can increase the value and enjoyment of your home, they can also impact its construction and upkeep costs.

Basement

You'll spend an average of $110 to $300 per square foot on building a home with a basement. Finishing a basement costs an additional $7 to $23 per square foot, while the lower end of the budget will get you a basic finish with inexpensive materials and some lighting and electrical outlets. You can turn the basement into a real living space at the higher end, with multiple rooms, including a bathroom. 

Budgeting for the Cost of Building a House 

When calculating the cost of building a house, the best advice is to budget the dollar amount each project requires as well as the necessary space and time to build. If you're unsure how to calculate the project cost—including architect rates, permit costs, material prices in the current market, and the finishes—allot a buffer of around 20% on top of your budget for emergency circumstances. 

"Smaller costs—such as those for surveys, driveway paving, and soil testing—must be considered upfront because they add up quickly and can blow your budget," says Cati O'Keefe, Expert Home Building & Sustainability Contributor.

Frequently Asked Questions

Is it cheaper to build or buy a house?

It’s generally less expensive to build a home versus purchasing an existing home. Currently, the national average to build a house costs around $281,000, while the national average to buy an existing home is around $447,000. 

However, this depends on many factors, including how customized your home will be, how much work you do yourself, the price of land, and where you live. Talk to a local realtor or home builder near you to better understand the current housing market and what will work best for you.

Can I DIY build my own house?

Yes, you can build your own home If you have the time and appropriate skills. Doing so can save around $20,000 to $60,000 for the cost to build your own home, most of which comes from acting as your own general contractor. 

Building a typical 2,600-square-foot home can take an entire professional crew and subcontractors many months to put together. If you do it yourself, you'll need to understand the complexities of construction, building codes, and timelines, and you’ll have to spend money hiring labor. Some DIY-ers can take years to build their own home.

How much is the cost of building a house by type?

The cost to build a new home varies across types, from $50 to $400 per square foot. Here's a look at the costs associated with each kind of popular home build:

How do you finance building a house?

A construction loan is one of the most common financing options available when you want to build a home. You’ll typically need a high credit score and make a down payment when you apply for the loan. Other alternatives include federal construction loans for active and retired service members, hard money loans, and construction loans backed by the Federal Housing Administration.

How long does it take to build a house?

It takes about 7.2 months to build a house, according to the most recent data from the U.S. Census Bureau’s Survey of Construction. Keeping in mind the current demand for housing, labor shortages, and supply-chain issues, allot a few extra months for delays and other unforeseen circumstances when building a house.