What is the cost of building a custom home in Willowdale, Toronto 2021? PART 1

What is the cost of building a custom home in Willowdale, Toronto 2021? PART 1

What is the cost of new construction custom home in Willowdale, Toronto 2021? Do you ever consider building a custom-built home and wondering what it's going to cost? I get this question for many reasons; clients like to understand the new construction and costs involved. They want to compare the cost of buying a resale house to a new build house. 

There is always that desire to get a brand new home, knowing that it is custom build for you, and no one has lived there. Finally, if you are purchasing a new build house, you want to know how much money the builder has put into building the house. ​

​To begin, I'll discuss the three top factors that will affect the construction project's cost the most. 

First, the choice of location for your house where you like to live, for example, established community in the city's metropolitan area, urban, or outskirts. 

Second, the size of the house, in square footage, what are your needs or desire. We are talking a big range, from 1500 to 5000 square feet, and the cost is directly proportional to the square footage of the house. 

Third, it's the style of the house. Also, the many options for material and cosmetics you will need to choose from. 
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• Location. So let's take things a little bit further and talk about each one of those individually. If you're located in larger cities with an active market, you will likely compete for trades with many houses built. Hence, traders will be asking for a premium. So I'll give you an example. If you're in the Toronto area, whether for framing or concrete work foundations, you'll find that it's going to be a lot more expensive than if you were out in, let's say, in the Hamilton or Niagara area. So the location will affect it. It'll also affect the cost of the land, which is pretty apparent, and that's going to bring the overall cost of the project up.

 

• Size. The house size is directly related to its cost since for a bigger house, you need bigger land and more material and labour required as well. For this reason, we use the cost per square footage as a parameter to estimate the cost of new construction. The builders have been smart recently to develop efficient layouts; for example, the open concept will provide more space with the illusion of a bigger space. The smart layout concept will save a great deal of money, yet providing the needed space. 

 

• Style and options. The house style is tricky, and many people may not realize the cost difference between a modern design and a traditional one. Typically building a traditional type of house will cost less. But, modern homes tend to have much larger windows, flat roofs. These are all different things that are going to affect the cost of construction. Modern layouts are, typically, an open concept, so structurally, you will also need to have the infrastructure to support design; for example, they may require a lot more metal. 

Fixed costs. Some costs in the new home building do not change drastically, and to a great extent, they are predictable. A professional builder can come very close in predicting the expenses for things like your permit process, landscaping, architectural drawings, engineering drawings. Because the house location, style and size do not make significant differences in such expenses.

Cosmetic options. You should be wary of the expenses that can easily go out of hand and blow the budget—things like your appliance package, kitchen cabinets, marble floors, aluminum roofs, and whether you like to have heated floors or not. Based on your selection kitchen cabinet can cost from $15,000 up to $80,000. The cost of a metal roof can run up to 4 times the asphalt roof.

Some of the information provided in this article comes from the Altus Group (2020 Canadian Cost Guide) - the leading data solutions and independent advisory services in Canada and also provides the benchmark data of the construction industry.

PART 2 >>>>

What is the cost of building a custom home in Willowdale, Toronto 2021? PART 2

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Author

The above Real Estate article was provided by David Khosravi, a leader in his field in Willowdale, North York, Toronto. Reach out to David via email: drdavidkg@gmail.com or by phone: 416.990.2424
Are you thinking of selling your home? I will be glad to share my marketing strategies with you.