Although it seems that building a house has a very high cost - basically, we are talking about labor, time, choice of materials, etc. - the truth is that it can even be more affordable than a new home and, at least, is completely customizable to your liking.
If you want to build a house from scratch and need financing, note that the most suitable financial solution is the mortgage loan with construction purpose. This loan works in tranches, insofar as the amount made available is delivered as the work progresses.
Note that in order to be approved for this type of loan, you must have a construction project approved by the City Council, the Construction License and also a budget with an approximate estimate of the total cost.
To understand how much it costs to build a house, you have to take into account 5 major factors.
# 1 - There is no home without land
Well, to build a house from scratch you will always need, first, the Plot.
This is the first major investment in this project and should be well thought out, since, if the land is not suitable from the start, you may need additional investment to solve problems such as water tables, correct slopes (which involves earth movement) , among others.
It is also advisable that the land is inserted in an area authorized for construction and that of course is already connected to electric voltage lines and basic sanitation. If the land does not have these basic infrastructures (which normally happens with areas that are not allotted), you will still have to count on this extra cost.
What is the difference between a turnkey project and building a house from scratch?
For those who want to build a house, but do not have availability or do not want to handle the whole process alone, the turnkey solution can be very appealing. Basically, with this option the client can choose the land on which he intends to have his future home, which type of construction he prefers and the architectural project itself. The company behind the project takes care of everything, including the necessary licenses.
# 2 - Watch out for the location
In terms of price, it is clear that the geographical location will have a lot of influence. Land near the beach and a city (especially if it is close to the metropolitan areas of Porto and Lisbon), for example, will be more expensive at the outset than one that is completely located in an inland rural area and that does not have so many accessibilities .
# 3 - How big will the house be?
Naturally, the larger the housing, the higher the associated expense, unless you always choose cheaper materials, which, in the end, may not even be the best decision to think about in the future (since cheaper materials may not have durability and must be replaced sooner and more often).
Even so, even if you select more accessible materials, the size of the house can always influence the final cost, since a larger house implies not only more materials but a higher effort in labor and, consequently, a greater number hours of work.
Opt for a prefabricated house it can also be a solution for those who need more affordable housing that doesn't take a long time to build.
# 4 - Take into account the labor required to build a house
Building a house involves the joint work of many professionals and it can be exhausting to have to be the consumer looking for a contractor, a civil engineer, a plumber, a painter, an electrician and all the other professions that are inherently necessary to build a house. home.
If you choose to hand over your project to a builder or even a company specialized in this area, you will not spend as much time looking for it. It is a matter of asking for a quote and seeing if it pays off.
# 5 - What licenses are required?
Buying land does not mean that you can freely use and dispose of the area covered. There are legal rules to respect in this area.
Before proceeding with the construction, in accordance with Article 14 (1) of Decree-Law nº 555/99, “(…) Ask the City Council, in advance, for information on the feasibility of carrying out a specific urban operation or set of directly related urban operations, as well as on the respective legal or regulatory conditions, namely regarding infrastructures, administrative easements and utility restrictions public interest, urban indexes, collections, removals and other conditions applicable to the claim".
Therefore, it will be the City Council that will assess the feasibility of construction, since any land on which the construction of a house is allowed must be classified as such in the Municipal Master Plan.
You will have to hand in your project to the local authority, which will carry out the appropriate assessment and grant the respective construction license.
Keep in mind that building a house can take years from thinking about the initial project to having everything done, so this decision can often prove to be frustrating and discouraging. Along the way you will encounter obstacles and unforeseen events.
To conclude, the ideal is that, before proceeding with a project like this, evaluate how much it costs to build a house when planning all the expenses, comparing costs and realizing if it pays or not in relation to buying a new, used or even through the solution turnkey.