COST ESTIMATE
COST ESTIMATE; 5 KEY FACTORS THAT AFFECT HOUSE CONSTRUCTION
Before you build a house it’s essential that you know the cost estimates -the amount of money that will be spent on the project. The process of house construction cost estimates is generally complex as you need to consider many factors in order to come up with the approximate amount that will be used on the project. Here are some of the factors that you need to consider to have an estimate as close as possible to the actual costs:
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Condition of the Site
Depending on the condition of the construction site, construction costs can increase or decrease. Wetlands, poor soil conditions, topography, river or stream crossings, ground water are some of the conditions that influence the cost of building a house.
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Materials
Are the raw materials required in the construction process available close to construction site? If they are within easy reach of the site, the cost of construction will be low, but if they are available at farther distance from the site, then you will have to spend more money.
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Choice of Design
The reason why reducing the complexity of your project helps create a more affordable house is because complexity typically takes more time, and time is money. Labor costs can be expensive so any way you can simplify your design to reduce the amount of time it takes to build will help.
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Labor Costs
The amount of money that you pay to the labor working on the site fluctuates from one place to another. Usually, the labor costs are found to be more in the urban areas as compared to the rural areas. This is because of the fact that the cost of living is much higher in the urban areas.
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Project Schedule
The time that the contractor is expected to finish the job greatly affects the house construction cost estimates. An unpredicted delay in project duration raises the construction costs due to increase in indirect costs.
Also Check: Construction approval process; NEMA, NCA Approval
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