The Ultimate Guide to Understanding the Cost of Building a House in NYC

Hey! Are you planning to construct a house in NYC? That’s amazing actually. Do you know how much budget it can involve? No.Oh! You must be. 

Determining the cost to build a house in NYC is essential to completing your project efficiently and controlling its budget. 

Well, don’t worry if you are getting worried about this gap. We will fit it and provide you with the updated values for house construction in NYC. 

Average Cost to Construct a House in NYC

Let’s explore the average cost of constructing a house in NYC!

Lowest House Construction Cost	Highest House Construction Cost	Average House Construction Cost
$42,000	$900,000	$329,000

 

What Factor Can Affect The House Construction Cost Significantly?

4 factors can significantly affect the house construction budget: 

1. Materials rates
2. Subcontractors cost 
3. House type 
4. House style

• Materials Rates to Construct a House in NYC

Construction materials pieces change regularly due to the high inflation rate. This change affects the total house construction budget significantly. 

Let’s explore the updated materials price range of the most prominent construction materials!

 

House Building Materials	Cost Per Square Foot
Concrete	$4.25 to $6.25
Drywall	$0.40 to $0.65
Electrical Wiring	$6 to $8
Flooring	$3 to $22
Insulation	$0.20 to $2
Lumber	$3 to $6
Plumbing pipes	$4.50 to $6.50
Roofing	$0.10 to $1
Siding	$2 to $15

 

• Subcontractors Cost to Construct a House in NYC

Mostly, contractors hire subcontractors, such as roofers, electricians, and other stakeholders to get the job done. They ask for separate rates. Thus, their involvement can shake the house construction’s total cost. 

Let’s explore the range of different subcontractors rates in NYC!

 

Subcontractors	Rates
Brick Masons	$35.85 Per Hour
Carpenter	$25.39 Per Hour
Driveway Paver	$5 to $7 Per Square Foot
Electrician	$50 to $100 Per Square Foot
Flooring Installers	$30.44 Per Hour
General Contractors	$27.91 Per Hour
House Framer	$7 to $16 Per Square Foot
HVAC Installer	$500 to $2,500 Per Square Foot
Landscaper	$3,000 to $15,000 Per Square Foot
Painters	$21.46 Per Hour
Plumber	$45 to $200 Per Hour
Project Manager	10% to 15% of the Total Project Cost
Roofer	$5,000 to $10,000
Structural Engineer	$44.76 Per Hour

 

• Cost to Construct a House in NYC by Class Type

If you need a luxury or average house significantly affects the house Building Estimating Services cost in NYC. Actually, it is a class type that decides how much budget you will require to build a house.

Let’s see the house construction budget depending on the class type.  

Class Types	House Construction Cost Per Square Foot
Class 1- Luxury	$430
Class 2- Semi-Luxury	$260
Class 3- Best Standard	$170
Class 4- Good Standard	$120
Class 5- Average Standard	$100
Class 6- Minimum Standard	$79

 

The table shows that the house construction budget increases as we move from the minimum standard to luxury home building. 

• Cost to Construct a Home in NYC by House Style

The house style is another factor that affects the total cost required for house construction in NYC. 

Let’s check the rates regarding house style!

 

House Style	House Construction Cost Per Square Foot
Brown Stone	$350 to $500
Cape	$105 to $200
Colonial	$110 to $210
Ranch	$90 to $150

 

 So, the BrownStone is the most expensive house construction style in NYC. 

Let’s move further and explore house construction from different perspectives! 

Cost of New Construction Per Square Foot

You can bear the expense of $300 per square foot to build a house in NYC. It can vary depending on the number of bedrooms you prefer in your home. 

Per Bedroom New House Construction Cost 

Let’s see the house construction cost regarding home size and number of bedrooms inside!

 

House Size in Sq Feet	Number Of Bedrooms	Construction Cost
800 to 15,00	2	$122,000
1,000 to 2,500	3	$147,000
1,900 to 2,600	4	$285,000
2,500 to 3,500	5	$375,000

 

Let’s Break Down the House Construction Cost

90% of the project’s total budget goes for significant expenses while only 10% is fixed for minor costs. 

Let’s suppose the house of 2,500 square feet area to know the total house construction budget! 

• Pre-Building Expenses

Building Activities	Average Cost
Plot or property	$3,000 – $150,000
Sewerage system inspection	$8,400
Construction plans or architecting	$500 – $20,000
Construction project management expense	$3,000 – $52,000
Construction permits	$1,200 – $2,000
Local charges	$3,000

 

• House Construction Exterior Materials Budget

Building Activities	Average Cost
Excavation	$1,400 – $5,400
Foundation	$8,900
Framing	$20,000 – $50,000
Exterior siding	$9 per square foot
Roofing	$8,500
Landscaping	$8,200
Driveway	$4,400

 

Remember that the types of roofing can significantly affect the house construction cost in NYC. Explore the table below to understand the statement!

Roofing Material	Average Cost Per 100 Sqaure Foot
Asphalt Shingle Roof	$208.35 – $338.58
Tile Roof	$976.66 – $1,562.66
Wood Shake Roof	$683.66 – $898.53
Slate Roof	$944.11 – $2,343.99

 

• House Construction Interior Materials Budget

Building Activities	Average Cost
Windows and door installation	$7,750
HVAC	$5,000 – $34,000
Plumbing	$1,500 – $17,500
Electrical work	$7,000 – $13,000
Insulation	$3,000 – $10,000
Drywall	$15,550
Painting	$300 – $28,000
Trim and interior doors	$11,000
Flooring	$10,250
Cabinets & countertops	$11,800
Plumbing fixtures	$3,200
Lighting fixtures	$3,100
Appliances	$3,550
Cleanup	$2,600
Contingencies & Overheads	$45,000
Furniture	$20,000 – $80,000

 

How to Arrange Finance for a House Construction in NYC

You can opt for house construction financing options:

• Construction-to-permanent Loan

It covers:

• Land purchase 
• House construction expense

It is transformed into a traditional mortgage after the completion of house construction and then you can shift to your house. 

• Construction-only Loan

Unlike the first option, a construction-only Loan only covers house-building expenses. Once your house construction is completed, you can opt for a loan payment in cash or go with a mortgage. 

• Personal Loan

A personal Loan is only applicable when you target a specific construction activity, such as roofing or flooring.  It is not for the whole house Construction Project Needs Professional Cost Estimating Services. 

• Home Equity Loan

The last option you can choose is a Home Equity Loan. You are eligible for this type if you already have land for a house construction. The loan can cover a construction part or the whole home-building project. 

What is Cheaper in NYC? Constructing a House or Buying a House

The average cost to build a house in NYC is $329,000. Also, the house construction can take 9-12 months in NYC. However, buying a home in NYC is faster but expensive. It takes 1.5 to 2 months and its cost is $491,500 on average. 

Remember, you can’t customize a house that is already constructed and you are simply buying. But, the option is available when you build a house yourself.  

Tip to Save Cost & Time During House Construction

Undoubtedly, house construction expenses are touching the skies in NYC. Also, it takes a long time to build a house. But, you can implement some wise strategies to reduce costs and save time. 

Explore our tips below!

• Purchase lands that are ready to construct- no need to prepare land to start the building process. 

• Go with a stock home plan besides hiring separate stakeholders for activities. 

• Choose prefabricated materials to eliminate labor expenses. 

• Move from bottom to up rather than outwards. It can eliminate foundation costs. 

• Consider 20% of the project’s total cost to cover unforeseen circumstances during construction. 

• Pre-calculate your house building cost before starting construction, according to your house features.

How to Calculate the Accurate Budget for a House Construction in NYC?

You can do this job yourself but it increases the chances of inaccuracy in estimates. And inaccurate estimates are alarming for a construction project. 

There is another option, too. You can hire estimators to calculate the house construction project budget. It is the best option to avoid inaccuracies in estimates. 

Sum Up

$329,000 is the average cost to construct a house in NYC. It is variable and can range between $42,000 and $900,000. The value fluctuates due to the integration of different factors, such as land size, number of bedrooms, house style, class type, materials rates, etc. 

Just remember to calculate the project cost by hiring professional estimators and starting construction. It can save a lot of time and money. 

Frequently Asked Questions (FAQs)

How much is the average expense to construct a house in NYC?

The average budget to build a house in NYC is $329,000. In other words, it can fluctuate between $42,000 and $900,000. 

How long does it take to construct a house in NYC?

It takes 9-12 months to construct a house in NYC. 

How much does it cost to build a house in upstate New York?

The budget to build a house in upstate New York can range between $113,000 to $882,000.

How much does it cost to build a 2,000 sq ft house?

The expense to build a 2,000-square-foot house in NYC can range between $200,000 and $310,000. 

How much money can I save by hiring an estimator to calculate a house construction cost?

You can save around 20% expense on your house construction budget by getting assistance from estimators to calculate the project cost.