How Much Did It Cost to Build a Home in 2024?
Building a home is one of those things that sounds dreamy in theory—total creative control, brand-new everything, and the ability to design a space that fits your exact needs. And for many, it is the ultimate way to create a home that truly works for them. But beyond the inspiration boards and floor plans, there’s a whole other side to consider—one that involves costs, timelines, and decisions that add up quickly.
According to the latest 2024 Cost of Construction Survey, actually building a home accounted for 64.4% of the total price buyers paid last year—the highest percentage ever. So what’s eating up all that cash? Let’s break it down.
Building a House, Line by Line
1. The Groundwork: Site Prep & Foundations
Before anything goes up, a lot of money goes down—literally. Site work (think permits, sewer inspections, and engineering) makes up 7.6% of total construction costs, averaging $32,719. Then there’s the foundation—excavation, concrete, and all that good stuff—coming in at about 10.5% of the total cost, or $44,748.
2. Framing: The Skeleton of the Home
Here’s where things start taking shape. Framing—the process of putting up walls, trusses, and support structures—is 16.6% of the budget, which means nearly $70,000 is spent on just giving the home its bones.
3. Exterior Finishes: Making It Look Like a House
Siding, roofing, doors, and windows—the pieces that keep you safe from the elements—run about $57,510 (13.4%). This is where curb appeal and structural integrity meet, and yes, it costs that much just to wrap up the place.
4. Major Systems: The Unseen (But Vital) Essentials
HVAC, plumbing, and electrical work aren’t flashy, but they’re the heartbeat of any home. These systems cost $82,319 (19.2%), making them one of the most significant investments in the entire process.
5. Interior Finishes: The Personality & Functionality
The part everyone loves—cabinets, flooring, countertops, lighting, and all the little details—comes in at 24.1% of the total cost, or just over $103,000. And yes, those dreamy kitchen cabinets you’ve saved on Pinterest? They alone can run upwards of $19,000.
6. The Final Touches: Driveways, Landscaping & Cleanup
Even after construction is ‘done,’ there’s more. Outdoor spaces like patios, porches, and landscaping tally up to $27,710 (6.5%)—because nobody wants to move into a house surrounded by a pile of dirt.
So What Are Buyers Are Paying In Total?
With all of these costs combined, the total average expense to build a home in 2024? $428,215. But it doesn’t stop there. Before builders even break ground, they have to buy the land ($91,057 on average), cover financing costs, and factor in overhead, marketing, and sales commissions. And, of course, they need to make a profit.
That means the total sales price passed on to buyers? $665,298—and that’s before any market-driven appreciation, location premiums, or custom upgrades.
Let’s Look At Land Sales Activity in DuPage County Specifically
So, what’s going on in DuPage?
Q1 & Q2 months are usually a seller’s dream. For instance, April 2024 saw 20 land sales with an average price of $634,375, proving that buyers are willing to spend when the right lots hit the market.
Some months are slow, and buyers take their time. Land sales compared to actual built home sales are very different—it's not uncommon for land to take longer to sell. Unlike move-in-ready homes that appeal to a broad range of buyers, land buyers tend to be more specific. They're developers, custom home builders, or long-term investors, and they aren’t making quick decisions. Case in point: March 2024 saw a median of 293 days on market—so if you're selling land, patience (and a smart pricing strategy) is everything.
List price vs. sale price isn’t always a straight line. May 2024 had an average new list price of $537,977, but the average sale price? $315,993. That’s a massive gap, meaning either price cuts happened, or buyers’ (skilled) agents negotiated hard. And yay for them! 😊
So, what does this mean if you’re thinking about buying or selling land? Timing, demand, and knowing the market make all the difference. The land market moves differently than residential sales, but if you know what you’re doing (or you work with someone who does), there’s opportunity here!
Why This Matters—Even If You’re Not Building
I know what some of you are thinking: Cool, Amanda, but I’m not building a house anytime soon (or ever). Haha, I hear you. But understanding these costs can actually provide us so much insight as to why home prices are what they are at any given point—whether you're buying brand new construction or simply a resale home.
Sooo here are a few takeaways:
Material and labor costs drive home prices. If framing costs go up (hello, lumber shortages), or if labor costs surge, that affects every home—not just new builds. (!!!!)
Land isn’t cheap—and in some areas, it’s downright eye-watering. The cost of a finished lot alone highlights just how much location impacts home prices. In some of the most sought-after areas of DuPage, just the land itself can run anywhere from $400,000 to $700,000—before you even think about building.
Both buyers and builders are feeling the squeeze. Builders have to price homes high enough to cover rising costs and turn a profit, while buyers are navigating affordability challenges in a competitive market. Somewhere in between, the right balance has to be struck—but no, it’s not always easy to find.
So… Should You Build or Buy?
If you’re debating between buying an existing home or building from scratch, there’s no right or wrong answer—just different strategies for getting what you want.
Building means control. You get to design every detail, from the floor plan to the finishes—but it also requires patience, flexibility, and a solid budget buffer.
Buying resale means speed. You can move in sooner and potentially spend less overall, but you might have to compromise on certain features or updates.
At the end of the day, it’s not just about the house—it’s about how you want to live. Whether you’re drawn to the idea of a custom build or prefer the charm of an existing home, I can help you break down the options, weigh the costs, and make a plan that actually works for you.
Want to Talk It Through?
Let’s talk through your options, no pressure—just real insight to help you move forward with confidence.
Call or text me at (630) 995-0940
Email me at amandalee@atproperties.com
