The products and installation services most often provided by building material dealers account for roughly half of a house’s construction costs and nearly 31% of the sales price, an analysis of the National Association of Home Builders’ (NAHB) latest home price study suggests. NAHB’s detailed survey of nearly 50 dealers nationwide culminated in a report that calculated what it takes to build a 2,311-square-foot home with a sales price of $310,619. Of that total, $184,125, or 59.3% covered construction costs. Another $67,551 (21.7%) went to buy the lot, and the rest was for financing, overhead, marketing, sales commission, and profit. Here’s how much was spent for buying and installing major building items and what share of the total construction budget that these components occupied.


Above products’ share of total construction cost


Above products’ share of home’s sale price

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