Design
Complexity-
Another aspect of your project that can add to
the cost is the complexity of either the design
and/or the structure. Obviously, it would be
cheaper to build just one big four-sided box for
your house with a very simple roof on top of it,
than something of greater complexity. An old
contractor rule of thumb is- Figure the cost per
square foot and then add $2000 for every corner
in the floor plan. That may not be the best
multiplier, but you get the idea. Also, it is
much easier to build on a flat site with a
concrete slab as your first floor than it is to
build on a hillside where you may have to have
wood or other framing for all your floors. Wood
framed floors are much more expensive per square
foot than slab floors, even if they are on a
flat site.
Site
Improvements-
So far, the costs we have
been talking about here are limited to the
building itself. You will also need to consider
the costs of site improvements such as
landscaping, parking, sidewalks, exterior
lighting, etc. For smaller residential
projects
these costs may be very minor, as much of these
items may be existing to remain. But keep in
mind that many jurisdictions are constantly
looking for ways for owners to pay for and
execute improvements to old, cracked public
sidewalks, driveways and other street
improvements. The may attach these kinds of
conditions to some residential additions and
remodels.
For multi-residential and
commercial projects, these costs may be much
more significant. As of this writing, you can
generally figure that these costs will run in
the $8-$10 per square foot range.
Back &
Forth Some More-
So, as I said before, you
can keep narrowing down your construction costs
by going back and forth between the estimate,
and further refining the detail in the plans.
You can start picking out very specific finish
materials, fixtures, etc., and get things right
down to the dollar for those types of things.
It is a good idea to get a contractor involved
early in this process, as he may have further
insights into current costs which are changing
all the time. Generally, contractors will
provide estimates free of charge, especially if
they think they have a good chance of landing
the job.
Price vs.
Value-
If you are unfamiliar with
construction costs, it can be a good idea to get
several estimates or bids from different
contractors. But the lowest price is not always
the best value. Time is money so when you are
still paying a mortgage on a property you are
not occupying, or simply being inconvenienced by
a construction crew in and out of your home
every day for months, a more experienced,
possibly more expensive contractor may actually
save you money in the long run. Experience will
also pay off in the quality of work, and a
reduced need to call that person back to fix
things that weren't done right the first time.
Online &
Printed Data-
Cost estimating books like
RS Means have been around for years and can
give useful per sq.ft. costs broken down by
various project sizes and types. And now
they even have online estimating tools.
These can be a great place to start, but I will
caution you that the construction market,
especially in the residential area, has been
historically quite volatile. So trying to
compile accurate figures and get them published
often means they are behind the ball.
Also, if you are in a smaller community, local
market forces (next page) may mean significant
differences from the figures provided by these
types of sources.
It can be sort of
considered similar to predicting a recession.
You only know after the fact, sometimes by many
months, whether one has started or ended.
And in the end, the price isn't set until you
find an actual person to agree to do the work
for a certain price, and then not often until
the job is finished do you know the actual cost.
