What Are The Cheapest Ways to Build a House? | Bankrate (2024)

FAQs

What is the most inexpensive way to build a house? ›

The cheapest way to build a home is to design a simple box. Sticking to a square or rectangular floor plan makes the building and design simple. Generally speaking, building up is cheaper than building a sprawling one-story home, so you may want to consider planning for a multiple-story home if you need more space.

Prices will vary greatly based on the size and design of the tiny house you want to build, but you can estimate an average of $150 per square foot. If you want to go really tiny, like a 200-square-foot house, you might pay as little as $30,000, while a 600-square-foot tiny home could cost $90,000 or more.

Perhaps the most expensive part when it comes to building a home is the framing, which consists of wooden beams that make up the home's skeleton. Forbes states that high-quality lumber averages about $33,000 for a home in the United States. Metal stud framing systems begin around $20,000.

You can build a basic home for about $150 per square foot of living space. But it's easy to spend $500 per square foot or much more if you want the best of everything. If you have the time and skills to do some of the construction work yourself, that might bring big savings.

Are Concrete Floors Less Expensive Than Wood? Because material costs for polished concrete floors are six to eight times lower than that of high-quality hardwood floors, polished concrete is significantly less expensive than wood in new residential construction.

In most homes the yard is the extension of a house.

The minimum plot size is regulated to be at least 320 square feet. Since the house needs to have a square footage of 120, this means you have 200 square feet left to build your outdoor space.

Overall, it's cheaper to build a home than to buy one in California, with 13 out of the 20 counties saving you money if you decide to build your house from scratch. Budget-wise, building is more favorable in Southern California whereas Central California caters best to those interested in buying.

Ranch Homes

Ranch homes are the most popular home style in the U.S. They're another rectangular-shaped house, though they come in “T” or “L” shapes, too. A home with a simple and concise layout is the cheapest type of house to build. Ranch homes are typically single-story structures with attached garages.

In essence, the greatest apartments, which are often penthouses, cost a lot more money than the penthouses below. Apartments on upper levels tend to be more costly than those on lower floors for three reasons, which may be broken down into three categories: practicality, security, and status.

What makes a house more expensive to build? ›

Building a house adds costs for land purchase, the permitting process, and multiple inspections. The farther your plan strays from a standard model, the more costly it will be. Buildable lots in urban areas can be prohibitively expensive.

In general, building up tends to be less costly than building out. When you factor in things like digging and pouring a new foundation, building out typically carries a higher price tag (though this isn't always true, and certainly depends on the size of the room and its purpose).

Concrete homes are also a good investment. While Concrete houses can cost more to build than wood-frame houses; once constructed, a concrete house quickly recoups the initial costs with lower utility and upkeep costs.

You've seen some of the advantages of both concrete block and wood frame construction, but what is the cost difference? For the equivalent square footage, concrete block homes tend to be more expensive to build.

It's cheaper to build a concrete patio in terms of both the initial cost to lay a concrete patio, as well as its cost of maintenance over time. A concrete patio costs only $4 per square foot, while a deck costs roughly $6 per square foot for lower-cost pressure treated lumber.

Oklahoma. Cheap labor and building costs help Oklahoma land in the No. 1 spot for the cheapest places to build a home. The average cost to build an 1,800-square-foot home here is the lowest in the U.S.

What is the simplest house to build? ›

Keep the Walls and Roof Simple

The simplest design — and also the cheapest — to build is a box with a straight roof. That means to avoid any protrusions or nooks and crannies in the walls of the house as those add design and construction costs.

An acre is equivalent 43,560 square feet. To give you an idea of exactly how large one acre is, consider that many developers are able to squeeze about 15 houses per acre. It is just about the size of a football field.

Yes, an acre of land is enough for a house. If you want to build a typical single-family home, a residential acre has enough room for a spacious yard. However, if you want to raise livestock, farm, or have more privacy, you may need more land.

While the average cost to build a house was $285,956 in 2022, most homeowners spend $111,892 – $460,414 to build their homes. Even though you can get a general idea of what you may pay, it's important to keep in mind that there are numerous factors that will impact the cost to build.

On average it can take approximately 6 months to complete the build of a house. However, it can be as little as 4 months or potentially more than 12 months. For a pre-designed house, you are looking at roughly 4-6 months, while custom designs can take longer at an expected 10-16 months.

While main flooring in high traffic areas like the living room and kitchen are areas to splurge on, less used spaces like bedrooms, basem*nts, or playrooms are a great option to save on. Function vs. Space: In most cases the larger the house, the more expensive your build will be.

In February 2023, most pundits believe the construction materials cost will continue to fluctuate. The consensus is that the cost of most materials will not return to pre-pandemic levels this year, though they should come down or at least not increase as dramatically as they have been.

As mentioned above, the US Department of Energy National Renewable Energy Laboratory (NREL) identifies ICF construction as one of the best building methods for energy-efficient homes.

Price. Brick houses generally cost more than wooden ones, but they also have a higher resale value. For first time homeowners and people on a budget, choosing wood can get you closer to your goal of owning a home.

What is the most efficient house shape to build? ›

Dome-shaped homes are the most energy-efficient since they have fewer corners. This allows wind to travel over the home easily without air pressure changes, which all in all reduces air penetration and thus maintains a more even temperature.

Hard surface flooring will give you the best return on investment, or ROI. Hardwood will be your best bet with the highest ROI since it's the long-standing preferred flooring choice. If you currently have hardwood floors, consider refinishing them if they need a little pick me up.

Porcelain and ceramic are some of the longest lasting flooring materials available, and they require little maintenance. Tile flooring is also moisture resistant, making it the perfect choice for areas where spills are common like bathrooms, kitchens, and laundry rooms.

Living on the ground floor will help you save on utility bills. The lower floors make for a less expensive air-conditioning bill in the summer as the cool air naturally reigns in lower locations. Also, you'll likely have less exposure to natural sunlight, which will keep your place cooler in the hot months of summer.

The Framing

A home's framing is its skeleton. Because so much material and skilled labor is required, this is an incredibly expensive part of building a home.

The price of a newly built home is often higher than that of an older home by a staggering 30% or more.

When you purchase a home, you pay for it each month. However, it's not just your mortgage payment that you pay. You also pay for insurance, property taxes, utilities and maintenance costs. When you're trying to budget for your future home, it can be hard to determine how much each one of those will cost a month.

Lowest price per 5 acres: $6,500

So for both 1 acre and 5 acre plots, the cheapest states to buy land in 2023 are New Mexico, Arizona, Mississippi, followed by Colorado and California. Some great news for you here is that at Compass Land USA, we do a lot of work in Colorado, and Arizona.

InMyArea.com performed a study that took a look at the median prices per acre in 2021 and found that Arizona had the cheapest median cost per acre, at $4,164. The data includes the price of land with existing homes and the cost of land designated as a homesite was also included so that you can have some comparison.

Generally speaking, building up tends to be less expensive than a basem*nt. That said, not too long ago, lumber was at an all-time high and basem*nts were the better option. Check with your builder and they can advise you on the pros, cons, and cost of each.

Is it cheaper to build a 1 story house? ›

A single-story home is more cost-effective to design, but it will cost more to build than a two-story home. To make things more complicated, they'll likely cost less to heat and cool over the years. Crunch the numbers and choose the home design that fits your budget.

A bump-out addition expands a room but falls short of the size, complexity or cost of a home addition. Most bump-outs expand a room by another two or three feet but some can be as large as a room.

Ranch-style homes are not only popular but also one of the most cost-efficient home styles to build. These homes typically come in a rectangular shape, though many resemble “T” or “S” shapes. The ranch style's simple layout reduces complications in construction.

Remember that if you buy a traditional barn, you are going to have to pay the conversion costs on top of the original purchase price. It's still cheaper to build a new barndominium, even if you have an existing structure.

Mississippi has the lowest cost of living in the United States. With a cost of living index of 83.3, expenses are nearly 17% less than the national average. Mississippi's housing costs are the lowest in the nation. The price of a median, single-family home is $140,818.