Building a new house or renovating an existing one gives you a golden opportunity to create the perfect home. You can finally integrate all the features and fittings you desire. It is arguably a better alternative to purchasing a house, especially if you are particular about what you want in your dream home. The key component that will impact your choices when building your home is the cost of construction per square foot. The cost of construction is different from the cost of renovation, but you can learn more about that by reading Cost of Renovation vs. New Construction Commercial
The problem is, construction costs vary depending on where you live. To keep things simple, we will go over the cost of construction per square foot in Alberta and Ontario.
Cost of construction in Alberta
Generally speaking, the cost of housing projects can range between $150 and $200 per square foot. While it mostly depends on the additional features you might incorporate, this number is a good starting point.
When it comes to the cost of your land, the numbers can vary depending on where you plan to build. For example, a plot of land in Edmonton will start at approximately $120,000. This is how much a small lot would cost in the city. Larger lots, as well as large pieces of land outside the city usually cost a few hundred thousand dollars.
After doing the math, a 2,000 square foot home in Edmonton on a small lot would cost roughly $400,000. In comparison to the average house prices in Edmonton, this is a really good deal. Especially when you take into account that this project is your custom home.
Admittedly, it is difficult to put an exact number on the cost of home construction in Alberta. This is because there is an assortment of variables with both materials and land. Nevertheless, it’s clear to see that building a home is a more economical and beneficial option in this market.
Cost of construction in Ontario
The average cost to build a stand-alone home is between $130 and $400 per square foot. However, the cost could potentially be higher or lower. It ultimately depends on where you want to build your home and the builder you are employing. Additionally, there is also the house’s design and the materials.
Moreover, you should understand the primary factor influencing the cost of construction. That being whether you want your home to be pre-designed or custom-built. As you can probably tell, the former option will cost significantly less to build.
Ontario is the largest province in Canada in terms of population. Consequently, it has the fastest-growing housing market in the country. It would be a lot cheaper to build a house in smaller cities, towns, and villages in the province. For instance, developing a house in the Greater Toronto Area typically costs between $110 and $400 per square foot. Building a house in Ottawa has a cost that ranges from $235 to $375 per square foot.
Creating a budget
As is the case with many construction projects, such as home renovation, one must create a thorough budget. When it comes to costs, developing a feasible budget requires a comprehensive plan on top of substantial research. Overall, there are three key steps to follow:
- Prioritize the needs of remodelling. Ask yourself some questions. What exactly do you want this project to do? What details will make this a reality? What can you compromise on? What are you willing to spend a lot of money on?
- Develop a meticulous plan, as well as cost estimates. After establishing a goal, you need to create a thorough plan that includes the expected costs. This will help build a budget and convey what it is you want regarding your contractors. Create a spreadsheet that includes each project stage and the likely cost for materials and labour.
- Request bids from an array of contractors. Seek out reputable local companies and request that they create a bid for your house construction or renovation. Acquire bids from a minimum of three companies so that you can compare the costs as accurately as possible.
There are a wide variety of factors that impact the cost of construction per square foot, not the least of which is the province or state. You should do some research into your options and obtain an accurate idea of the total costs before commencing construction. To get a quote for your next construction project, don’t hesitate to contact our Mississauga construction location. Moreover, if you would like to learn about renovation costs per square foot, check out our article Retail Renovation Cost Per Square Foot.