We have gone over building high-end custom homes before, but have never gone into the costs of building a custom home in Toronto. For individuals looking to invest in property, custom home building allows the luxury of creating the home most suited for you and your family. This means you can bring in whatever styles, functions, and necessities you see fit. Custom home building also spares you from costly changes required to fully renovate an older home.
Despite this, Toronto’s housing market has made custom home building a more difficult process than it used to be. This is due to the introduction of new taxes and bylaws that restrict zones and building licensing, especially for larger projects. Unfortunately, sometimes the approval wait times for construction projects are longer than expected, which, as a result, stalls the building process.
So, What Are the Costs?
Depending on the area of the house you are building, the features you install, and the materials you use, the costs of a custom home will vary. Generally, the costs to build a custom home are calculated in per square foot (sq. ft.), typically without land included. While the actual home builder will give you an estimate in sq. ft., they are not including building permits costs, architectural design and interior design, or construction and demolition fees.
Hard costs and soft costs
These are the fixed costs such as trade contracts, which will not vary in price and are established beforehand. The cost for a trade to complete their portion of the project is established during the planning phase, and is a fixed amount. For example, you will pay your electrician a set fee for whole home wiring and electrical installations, and pre-determine the materials you will be using during your construction project.
Soft costs, on the other hand, are indirect costs that are unrelated to labour or materials, and will include things such as additional engineering, temporary power, trailers, work supplies, and insurance for the job site.
Keep in mind that upon contacting a custom home contractor, you will be given a rough estimate and a complete list of both the hard and soft costs for your project.
Toronto Area Homes
Custom built homes are, generally speaking, built for double the price that a production cost home will be, ranging between $200 and $300.00/sq. ft. A high-end custom home builder will likely include additional costs, and can easily charge over the high end. However, you have to take note of the fact that custom home builders are providing you with the versatility of selecting your materials and building related costs, where you can easily reduce the prices. For this reason, it is imperative to have an outline of the materials related costs of your project, as well as a general idea of the features and extras you will require.
On the other hand, if you are tight on money, you do not need to build your dream house from scratch. Consider investing in a single-room renovation, such as a kitchen renovation or a bathroom renovation instead of renovating the whole house. Doing a renovation project like this will save you the trouble of renovating an old property or building a new one yet will allow you to enjoy a brand new kitchen or bathroom.
Finding the Best Price
When searching for house building contractors, remember to compare quotes and settle on the best price per value cost of your custom build or renovation. Remember to only take quotes from custom builders ready and willing to sit down with you, talk to you about plans and architecture, and determine the design specifics before giving you a quote.
In addition, experts recommend never simply relying on the cost per square foot estimate a home builder initially provides. Take the time to compare estimates based on the services offered, the quality of the contractors hired, as well as the prices you contractor offers for material and design.
Luxor Development is your top choice for Toronto area renovation, remodeling, additions, and custom builds. Our teams specialise in design and offer the highest quality services for luxury and mid-range custom home builds. Get in touch with us today and start building your home in the Greater Toronto Area and beyond! We look forward to helping you design and construct your dream home.