Want to know the biggest factors affecting the cost of home renovations additions?
A simple rule of thumb is the more space and plumbing & / or electrical services you need, the more expensive it will be.
Data courtesy of Hanley Wood.
Other cost considerations of a home addition are:
- Permits - You will almost certainly be legally required to obtain a local building permit to build a home addition. See our advice on obtaining permits.
- The lumbar market - With such a lumber intensive project as a home addition, any fluctuations in lumber costs will affect the cost of your project.
- Architectural fees - If your project is sufficiently complex or requires an architect due to your building's rules, expect to pay between 5% and 15% extra. See our advice about when you need an architect and how to hire an architect for your project.
- Insurance premiums - If you're adding 50% to your home's lot, expect a proportional increase in your Home Owner's Insurance Premiums.
- Property taxes - Typically, the value of your project as stated in your permit will be added to your home's valuation for the following tax year and be reflected in your annual property taxes.