The Cost to Build a House in California (2024)

Average cost to build a home in California by city

In California, the cost of building a home can start at $400 or more per square foot. At $400 per square foot, building a 2,000-square-foot house would cost $800,000.

Out of the largest metro areas of California, building a home in San Jose is the least expensive option, with an average cost that starts at $90 per square foot, while building a home in San Francisco is the most expensive, averaging $600 to $800 per square foot.

Here is a look at cities in California and the average cost per square foot to build a home:

City	Cost per square foot
Sacramento	$140 to $400 per square foot
Los Angeles	$200 to $450 per square foot
San Francisco	$600 to $800 per square foot
San Diego	$200 to $500 per square foot
San Jose	$90 to $580 per square foot

The cost to build a home in California in 2025, broken down

No matter which state you’re in, the steps involved in building a house will vary depending on whether you’re buying a tract home — which is when a builder has bought a large tract of land to divide into lots and build out several homes — or if you’re building a custom home.

Remember that the price ranges we’re providing are general estimates. Your real estate agent and your builder can give you more specific pricing information.

Here is an at-a-glance look at the average costs of each phase of the building, but we will break it all down next:

Building Phase	Average Cost Nationwide (2025)
Foundation	$9,444
Framing	$4,536
Roof	$9,511
Siding	$11,520
Appliances	$2,100 to $5,400
HVAC System	$5,000 to 15,000
Plumbing System	$371 and $2,133
Electrical System	$1,565
Building Permits	$1,647
Finishes and Fixtures	$30,181 – $321,021

Buying a plot of land ($18,000 per acre)

California is one of the ten most expensive states to build a home in, ranking 8th behind states like Hawaii and New York. The median price of land was 18,000 per acre.

In densely populated areas like Orange County, bare building lots are rare, Aballi said. The few she knows of are very steep lots where building a foundation would be cost-prohibitive. As a result, buyers in the OC turn to the “scrape and build” process to acquire a building lot.

Aballi also sells homes in Riverside and San Bernardino counties, “the Inland Empire,” where buildable lots of 7,000 to 10,000 square feet sell for around $300,000.

Foundation ($4,039 to $14,848)

Foundation costs will vary depending on whether you’re pouring a slab or digging a basement, but a typical price range is between $4,039 and $14,848.

Basements are rare in California, according to Laniado.

“The vast majority of new homes don’t have basements. They are cost-prohibitive.”

This is because the Golden State’s guidelines for building in earthquake zones add to the engineering requirements for basements, increasing the cost, he says.

Framing ($1,408 to $7,666)

Framing is when the sticks go up and a structure starts to take shape. This house construction phase will cost between $1,408 and $7,666.

The costs tend to vary due to the size of the home and the complexity of its design. A one-story home with 2,000 square feet of living space will generally be less expensive to frame than a two-story home with the same square footage.

The earthquake standards can also increase the cost of framing the home, Laniado notes. If you’re building an open-concept plan with a wide open space, you may need to add a metal frame to help support the home in a quake, and “that adds a considerable amount to the cost of the building.”

Roof ($5,866 to $13,208)

Roofing doesn’t come cheap, whether it’s on a new house or replacing an existing one. In California, the costs of a new roof typically range from $5,866 to $13,208.

Asphalt shingles are commonly used for residential roofing in California, Laniado said. The architectural shingle costs $3.50 per square foot while the luxury synthetic is priced at $9.50 per square foot.

Tile roofs are popular for high-end homes in California, Aballi said. For a 2,000-square-foot home, expect to pay $28,000 to $50,000 when buying and installing a clay tile roof.

Siding ($5,561 to $17,623)

Siding is another big variable: Are we talking vinyl, wood, brick, concrete, stone, stucco, or something else entirely? Siding costs range between $5,561 and $17,623, with vinyl siding typically costing between $3 and $12 per square foot.

Wood siding and cement board siding are popular choices, Laniado says.

Fiber cement siding costs between $5 and $13.50 per square foot for the material alone.

Stucco is another house siding option commonly found in California. Material prices are generally in the $5 to $6 range per square foot.

Appliances ($2,100 to $5,400)

Appliance pricing also varies widely. Depending on the brand, functionality, finish, and so on, you’ll spend an average of $2,100 to $5,400 if the home does not come with any, but you expect to spend as much as $13,400 on higher-end appliances.

HVAC system ($5,000 to $15,000)

Depending on the size of your home, the installation of a new heating and cooling system could cost upwards of $15,000.

Plumbing system ($371 to $2,133)

Plumbing can cost between $371 and $2,133 on average. The exact cost depends on the size of the home, the number of fixtures to be connected, and the size of the pipes.

Electrical system ($602 to $2,594)

The cost to wire a full house is, on average, between $602 and $2,594.

Building permits (variable)

Permits vary by state, city, and county but can typically range from a few hundred dollars to a few thousand, in the $525 to $3,041 range. Both Aballi and Laniado agree that the permit process in California can be challenging and time-consuming.

In addition to a building permit, the project will need permits for grading, electrical, mechanical, and plumbing. When applying for the permit, the contractor must also provide various documents, including a site plan, drainage plan, floor plan, structural plans and calculations, landscape and irrigation plans, drawing of the exterior elevation, and a geotechnical report.

The permitting process for a new home can take up to six months, Laniado says. That means the homebuyer will have to pay rent or a mortgage on their current home for months before the new home can be started.

Finishes and fixtures (variable)

Finishes and fixtures comprise everything from countertops to sinks, and lighting to flooring. Pricing varies widely and depends heavily on your preferences.

The average carpet installation cost is $1,781, while hardwood flooring installation starts at around $2,469 and can reach $7,033.

Laminate countertops cost between $841 and $1,738 per square foot, while granite averages between $2,000 and $6,000.

The quality of the finishes is a major driver in the cost of a custom home, and there’s no upper limit on the cost of building a custom home, Laniado says.

“Here in L.A., there are people who really want the high-end stuff.”

Building a custom home vs. a home in a development

As a general rule, building a custom home that is tailored to your every need will be more expensive than buying a tract home from a builder. On average, building a custom home in California will cost $500 or more per square foot, according to Aballi — while building a tract home in California will cost $300 to $350 per square foot, according to Laniado.

Building a custom home will also require you to assemble a team of experts to design and build the home from start to finish. Here are the team members you will need and a breakdown of what they might cost you:

Architect (5% to 20% of the final build cost)

Hiring an architect will be integral to making your vision come to life when building your custom dream home.

Before you search for the right architect, know what you are looking for. Be sure to do your research and ask your network for recommendations for architects in your area who have experience designing the kind of home you are looking to build.

The cost of hiring an architect could make up anywhere between 5% and 20% of the final cost of the build.

For a 2,000-square-foot home in California, with a final build cost of $1 million, or $500 per square foot, that would amount to $50,000 to $200,000. Some architects will charge by the hour or per square foot of the build for their services, but this is less common.

General contractor (10% to 20% of the final build cost)

A general contractor will oversee the entire process of building your custom home. They will also be responsible for hiring and paying subcontractors, vendors, and construction workers.

These professionals typically have a cost plus fixed fee arrangement, which accounts for the cost of the labor and materials plus a negotiated fee for the general contractor. This usually comes out to 10% to 20% of the final cost of the build.

Additional costs to build a custom house in California

As we mentioned, building a custom home usually comes with additional costs. Again, your agent can help you determine more accurate costs. The following figures are averages to give you an idea of your expenses.

Land survey ($376 to $768)

Land surveys, which identify your property lines and land features, range between $376 and $768.

Excavation and grading ($1,660 to $6,716)

If you’re buying a tract home, the land price will be rolled into the overall price to build a home. If you’re buying a lot on your own and then building a custom home, you can expect to pay between $1,660 and $6,716 to clear the land if you hire an excavation contractor.

If you build in a rural location where city services like water, sewer, and electrical connections aren’t nearby, getting the services to your lot could cost up to six figures, Aballi says.

Common styles of homes in California and their average costs

Some of the most common home styles in California include Cape Cod, California Ranch, Victorian, Mediterranean, and Modern. Each has its unique features and costs. Here is a look at some of these styles and their average costs (all in):

Homestyle	Average cost
California Ranch	$300,000 to $1.02 million
Cape Cod	$300,000 to $1.02 million
Victorian	$420,000 to $1.68 million
Contemporary	$600,000 to $2.1 million

Source: Home Advisor

More affordable options for building a home in California

While going with a bare-bones building strategy can get you into a new construction home for less, cheaper isn’t always better. Shoddy build quality will inevitably lead to problems down the road.

Anything from a leaky roof to poor sound insulation can be a frustrating discovery when you’ve only been in your new home for a few months. And there’s value in creating a home you genuinely want, not just one you’re settling for.

Alternative home-building options can give you more for your money and offer valuable flexibility during the construction process.

Tiny homes ($30,000 to $60,000)

A tiny house is usually 600 square feet or less in size. They’re not ideal for large families, but building a tiny house can be faster and more affordable than a conventional home if a smaller space fits your lifestyle.

Tiny homes cost between $30,000 and $60,000 to build, on average. They can also be a great option as a starter home — especially since starter home prices have skyrocketed in recent years, reaching $1 million or more in California.

Another option that’s popular in California is the Accessory Dwelling Unit (ADU), which is also known as an in-law suite or granny flat. ADUs are built in the backyard of an existing home, and some local governments allow them to increase available housing.

If your parents or children already own a house in an area where ADUs are allowed, you could consider building a small, separate living space on their property without buying land.

Studio Shed makes prefabricated buildings that are often built from scratch. The architect and design fees are baked into the price, and the company sources materials directly. Producing the buildings in a factory also reduces the amount of labor needed at the job site, says Jeremy Nova, the company’s co-founder.

Studio Shed prices range between $100 and $140 per square foot, depending on size and style. Buyers can customize their units, increasing the per-square-foot price, just as it does when you build a larger house.

Adding onto an existing house

Instead of building new, some California buyers choose to buy an existing house and make an extensive addition to increase the size and amenities of the home, Aballi says.

Getting permits for an addition, even a large one, is faster than getting a building permit for a new construction home, Laniado shares. However, the per-square-foot cost of the addition may be higher than building an all-new house. Challenges for adding to an existing house include:

• Tying in the new foundation with the existing one
• Working in a tight, compact space
• Providing less opportunity for economies of scale

Is it cheaper to buy or build a home in California?

Generally, buying an older home will be cheaper than building a new one. In California, prices vary widely. For example, buying a home in Lassen County costs $182 per square foot, a lower price than the state average for new home builds.

While building a home will almost always come with a higher price tag upfront, there are some long-term savings that new construction homeowners enjoy:

• Energy efficiency: Newly built homes are generally more energy efficient than older homes. New construction homes are up to 30% more efficient than homes built 10 years ago. This is partially due to stricter energy regulations and better insulation and windows in new homes.
• New home warranties: New construction homes are often covered under builder warranties for a specified period. When purchasing an older home, most key systems, such as the HVAC, roof, and plumbing, will be older and no longer covered under any kind of warranty.
• Fewer maintenance costs in the first few years: With a newer home, you can count on your HVAC, plumbing, electrical system, and more to function properly with little required maintenance in your first few years of homeownership. Older homes will likely have older roofs and systems, requiring you to pay for replacement much sooner.

Get started on building your dream home

Your real estate agent can be a resource as you plan your new home, providing information that will help you ensure the home you’re planning will have the features that will allow you to recoup your money at resale time, Aballi notes.

Begin the home building journey with a realistic timeframe in mind. When you include the time it takes to find an architect, design the house, get the permits, and build the home, the process can easily take nine months to a year, Laniado says.

Building a home in California can be a time-consuming process. It’s important to work with a top agent who knows the ins and outs of the local market and can help you find a property and a builder. Connect with a top agent in the Golden State today.

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