Factors Affecting Building Costs

The cost to build a home is influenced by five key factors:

• size
• quality
• site considerations
• desired timeframe
• complexity

A larger house with more bedrooms naturally requires more materials, more labour and occasionally more specialised equipment.

When it comes to building quality, higher-quality materials demand better finishing and craftsmanship, which costs money. The terrain and condition of the land being built on also have a big impact and an architect is best placed to maximise a lot and floor space.

While many factors can be managed by the client, it is the site costs where control is lost.

There will almost always be costs associated with the site, whether that be levelling the surface or removing greenery. If you have a sloping block you may face significant site costs for the land itself. Your design may also need to be modified unless you choose to build a home designed for a sloping block.

The location of your home can also impact the costs, based on the council or state requirements, as well as factors such as Bushfire Attack Levels obligations.

Architects design to make the absolute most of the space, to make it inspiring, so that can mean more complex structures, which can increase the cost too.

The price of the building often doesn’t include optional extras like landscaping, fencing, swimming pools and local council costs, which can also add tens of thousands of dollars.

Source: REA