Evaluating the construction cost is a determining step when planning the construction of a new residence.
Construction costs have changed considerably in recent years. That said, the various costs surrounding the construction of a building remain the same. In addition to labor and materials, other costs must be incurred by the owner, that is to say you, before starting the first shovel.
In this article
The Field
Professionals
Building
Other costs to be expected
Important: Please note that the prices presented here are estimates and vary depending on the scale and needs of the project and the suppliers.
Field
Purchasing your land
Purchasing the land is the first step to consider even before the building. First of all, it is extremely important to target the ideal location for your present and future needs. Don’t take a chance and find out about the viability of the land directly from the municipality in order to plan all the costs relating to the project.
The size of the land is another very important point to check before purchasing, as well as the regulations of the city where the house will be built. A preliminary study can be carried out to help you determine the type, style and size that is permitted to build on this land. This low-cost service can save you major headaches if you want land that doesn’t allow you to build your dream home.
Once the land is in hand, it will be easier to determine the next expenses to plan.
Estimated cost: 25 to 30% of the total budget.
Earthworks & Landscaping
Some do it themselves, others call on professionals. Earthworks remain essential to finishing the land itself. Backfilling, lawn laying, tree planting, paving installation, terrace, flowerbeds, etc.
Estimated cost: Allow approximately 10% of the property value for basic work carried out by a professional.
Utility Connections
It goes without saying that the residence must be connected to essential public services, such as electricity, sewers, waterworks, but also the other services you want, such as cable, telephone, gas, etc.
Estimated cost: We are talking about a little less than $500 for the installation and electrical connection, and approximately $1,000 for the water connection to the municipal network (aqueduct and sewers). For other public services to be determined according to your needs, we can estimate between $2,000 and $10,000 depending on the type of service.
Geological study (soil and water quality)
Although optional, a soil study is strongly recommended, particularly for land in humid environments. The soil study makes it possible to determine the elements contained in the ground which could affect the well-being of the building. For example, certain soils require a particular type of concrete, or a non-standard foundation depth. Or, the presence of iron ocher which, over time, can cause drainage problems at the foundation level. This study can save you many surprises both in the short term and the long term.
The study of water quality can prove essential for residences connected to an artesian well. The results of this study will allow you to determine your needs regarding the treatment of your consumable water.
Estimated cost: May vary between $1,000 and $2,500 depending on the firm and the analyzes required.
If needed:
Installation of an artesian well
Land requiring the installation of an artesian well obviously involves costs related to the installation of the well and the system that will allow water to reach the house. This is the equivalent of connecting to a municipal aqueduct.
Estimated cost: Allow approximately $15,000 for the system and installation.
Installation of a septic tank
Same as the artesian well, the installation of a septic tank is required when the land cannot connect to municipal sanitary sewers. These costs are unavoidable and replace the connection to the city network.
Estimated cost: Varies between $7,500 and can go up to $30,000. The cost depends on several factors relating to the land and the needs of the building.
Professionals
Architect and Technologist
Most people immediately think of an architect when it comes to designing building plans. However, in Quebec, there are technologists specialized in architecture who have the knowledge and experience equivalent to architects for the design of residential construction plans. Architects’ fees are higher than technologists since, basically, they work on larger and more complex buildings. The technologists specialize in the treatment of residences and small buildings, which explains the difference between prices for the same result.
Estimated cost: Variable depending on the project. For an architect, you have to plan for around 5 to 15% of the construction costs. For example, for a $500,000 residence, you can expect a bill between $20,000 and $75,000, depending on the project and the fees of the architectural firm. A professional architectural technologist will charge between $3,000 and $5,000 depending on the scale of the project. Contact us to find out more about our rates.
Land surveyor
The construction of a new building involves several professional documents in order to properly determine the feasibility of the project so that construction goes smoothly. The skills of a surveyor will be required to produce the land plan in accordance with the regulations and laws in force.
Estimated cost: We can estimate between $1,000 and $3,000 for the surveyor’s work. The price varies depending on the needs of the project. Land on the waterfront may cost more than regular land in an urban area.
Notary
Whether for the purchase of an existing residence or for a new construction project, the fees of a notary remain unavoidable. The notarial deed will be required to obtain your building permit.
Estimated cost: Allow between $1,200 and $1,600.
Building
Construction of the house (contractor)
Here we finally are at the famous cost of building a new house, that is to say the materials and labor necessary to build the residence. Whether you plan to self-build or do business with a general contractor, you will have to plan for labor costs for certain stages or equipment rental. In any case, the total is not much different.
The cost is estimated using the total surface area of the home, from the basement (if finished rooms are provided) to the top floor. The amounts below will vary depending on your choice of materials for finishing and exterior cladding.
For materials and finishing…
Basic: calculate approximately $180 per square foot.
Intermediate: calculate between $210 and $270 per square foot.
High-end: from $330 per square foot.
Excavation work is also to be expected. The contractor may or may not include these costs in his bid. It is therefore important to check this point when submitting.
Other unavoidable costs
Welcome tax
As with any purchase of a residence, your municipality will charge you a welcome tax. It’s up to you to validate the amount with the municipality in question since this amount varies from one city to another.
Building permit
To authorize your contractor to begin work, you will need to obtain your building permit. Plans produced by your professionals will be required.
Estimated cost: approximately $500, to be validated depending on the municipality.
Special procedures for obtaining the permit
Depending on your terrain, your city may have special requirements. Certain elements may be prohibited, for example, flat roofs. Certain styles, coverings or elements may be required. This is why it is important to find out about the land before purchasing it. How disappointing to learn that you can’t have the modern home of your dreams because the city demands country style.
These procedures are becoming more and more frequent and involve additional costs for both the city and the professionals working on your project. In fact, this can increase the bill for your architect or technologist since additional documents must be produced in the final plan.
Estimated cost: We can add between $1,000 and $5,000 depending on the needs of the project.
Sales taxes
Don’t forget the GST and QST to add to materials and services.
Build or buy?
What is the difference between buying a new or existing home?
In terms of costs, the difference is small on the final total, however, we must not forget certain factors which can influence the cost of an existing house (location, condition of the building, year of construction, renovations, accidents, major works, etc.).
The difference between these two options lies mainly in the procedure to follow between the initial idea and the final move.
In order to successfully carry out the project, you must prepare well and surround yourself with an excellent team to help you manage the project and save you some stress.
