Well, I have been going through with a few contractors to get an idea for the price to build on my lot that I already own and have been surprised at the numbers I have gotten.
First, my plans and all are pretty basic. The house is on pilings and a basic rectangle. 1300 sqft living area with a small loft that adds another 200 sqft roughly. I informed all contractors that I wanted a basic finish level, no crown moulding, whatever their basic countertops are, no landscaping as I would take care of that, no concrete driveway, I was paying upfront all surveys and land clearing, no appliances as I would pay for them upfront out of my pocket. So essentially, just the basic home construction with no real frills...
I have gotten bids for this that come from $325k down to $260k. To me, with this being just a basic house not including the land that is WAY more than I was wanting to spend. When you add in Cost of land that puts me around $400k with the $325k builders for a fairly small 2 bedroom 2 bath house.... which is $266.66 a sqft.
Also, after construction is complete I just highly doubt it would be appraised at over $400k
Maybe I am just too cheap and don't realize it.... If people pay that and that is what the market supports then congrats to the builders but I simply cant justify that price for a regular house.