New Home Construction Costs

130-280/sq ft

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Forgot to exclude$350 per sq ft as an estimate

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Rookie.

Zip Code 71106, somewhere around Shreveport, median square foot listing price is $145 a foot. That includes land.

That is $90 of so less than national average at $233 or so.

It is heavily dependent on style of home, if it is truly custom versus a choice from a builders portfolio or a spec/trac house. Also dependent on level of finishes. lot size/topography and of course location. If you are talking about a true custom with finishes on the upper end probably about $300 a foot. If its is a "custom" based on a builders portfolio - if they have built it several times before - with the same level of finishes probably around $250.

Custom and semi-custom home construction costs are OUTLANDISH when compared to home values in just about any area. If you have built your dream home at $400 a foot less land and similarly finished homes are selling for $300 a foot including the land your home is going to sell for about $300 a foot plus whatever the difference is the value of the dirt.

2 times in the last 10 years we have relocated and were going to build. Both times found a lot, called local builders, some of who were building trac and spec houses in the area, and asked for a ball park square foot figure, non-binding of course, for a home similar to those they were building as spec/tract houses. Both times they all gladly answered with a figure that was 2X or more what they were selling the same house including the dirt for. For the same house in a subdivision that was listed at $135 a foot the answer would be $300 or so a foot....their design and one they had built many of recently. When I asked what the difference was the answer was always "custom" homes are more expensive to build LOL. There is some increase in costs in building one on one lot compared to 10 on 10 lots in a subdivision of 100 lots....but there ain't 2 or more times as much. Both times we bought an existing home.

I built some spec houses in the mid-90s. Very difficult way to make a living...it is a hustle for certain and very few people can do it and make money doing it. Most people could not do it and not lose 3-4 times what it would be worth when finished. I made some money doing it BUT when all was said and done I made about $20 an hour, if that, and would have been about as well off selling apples on a street corner. Did manage to cut my business tax burden quite a bit so it was not the worst decision I ever made but it is very tough to do it and make money doing it.

We are in the process of building a retirement home ourselves. I am doing it all. I will have to have a plumber pull a permit to install a backflow preventer and that is the only contractor who will be involved. All in, land, land developing, permitting, construction etc. we will have somewhere in the neighborhood of $91 a square foot in it. Similarly finished homes in the area on similar lots are listing for $246 a foot. I would bet those builders are not making 20% when all is said and done. Good, solid builders who have been in the business a loooooonnnnnnggggggg time.