How Much Can You Save Building Your Own House?

How Much Can You Save Building Your Own House?

If you have a tight budget when building a new house, you may want to know the amount you can save if you handle the project yourself. It’s important to note that building a new house is a major investment in the lives of most people. Therefore, if you don’t have the necessary skills and time to build it, leave it to an experienced contractor. But, if you want to determine whether to build the house or hire a contractor, start by understanding the costs upfront. Here is a breakdown of the amount you might save by building your house. 


One of the costs that you can save is the fee charged by a general contractor. In most cases, a general contractor performs the management role. Most general contractors or builders do not engage in physical labor. They subcontract out physical activities to trades people. So, if you build the house yourself, you save the money you would pay a general contractor. 

Physical Labor 

When some people ask, how much can you save building your own house, have the actual savings in mind. These include savings from doing physical labor. If you handle all physical activities when building your house, you can save up to 50% of all construction costs. On average, a home costs a maximum of $250,000 to build. That means you can save up to $125,000 if you handle all labor tasks. 

Several factors influence the amount of money you can save building your own house. Assuming that you want to take the role of a general contractor, you can save up to 20% as long as you do this job right. If you handle some physical labor tasks like painting, cleaning, and trim carpentry, you can save another 5%. That means if building your new house costs $250,000, you can save $62,000. Though this might not sound like much, it will add up significantly if you consider tax consequences. 

A new house is not easy to build. It requires dedication and hard work. But, if you can’t handle all the work yourself, consider hiring a professional builder or contractor.