The cost of constructing a home typically ranges from N2,000 per square foot, though this can vary widely depending on the location of the construction site and other factors. At this rate, building a duplex in Nigeria, for example, would set you back about N15,000,000.
But, expect these expenditures to climb if you opt to construct in a high-cost-of-living area. For example, developing a home in Lagos may boost your per-square-foot pricing to between N3,000 to N5,000.
This article discusses the expenses of building a home in Nigeria. It details how to build and what factors you should consider at each stage.
A Breakdown of the True Cost of Construction
1. Land
The price of land may very well be the most significant investment you make. Depending on location, land can cost as much as a finished city home. As a result, many Nigerians who purchase residential properties want to demolish them and start over again.
Land in rural areas, on the other hand, is cheaper. When you leave the city, you can buy a bigger plot and construct a more spacious house for the same or less money.
2. Preparation
After buying land, you must remove trees, rocks, and trash and lay a firm foundation. It may be necessary to run utility lines to the property and install drainage systems in some regions.
These services can range in price. The land itself, the state of the market, the season, and other variables all play a role. Call a few contractors or custom-home builders to see the site for an estimate.
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3. Building Permit
Getting the appropriate building permits from the local government is essential before starting construction on a home. Costs will vary from state to state. You’ll typically pay a fee for inspection and examination as well.
4. House Plan
Six percent to twelve percent of the total cost of your proposed home will pay for architectural services. If, on the other hand, you have a house plan in hand, you can cut these fees to a few thousand nairas.
To evaluate the feasibility of the current blueprints and make adjustments, an expert in the construction industry may charge between N400,000 and $1,000,000.
5. Labour and Supplies
Labour and supplies will make up the bulk of your building expenses. Much of the cost is individualized, like the other items on this list.
The materials you use, the construction company you employ, and other factors play a role. As a result, it’s hard to generate a price quote without knowing more about your construction.
Other Factors To Note
1. The Housing Market
It’s tempting to think spending roughly N20 million to build a house is the best option, especially considering the price of pre-existing buildings in major cities like Lagos and Abuja, which may exceed N50 million.
It is not uncommon for the price difference between two identical houses to be a few million nairas. Therefore, while N20 million may appear like a value, it may be the expense of building in a rural area where the local real estate market is not as expensive as in major urban areas.
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2. Duration of Construction
You can’t move into a house after you purchase the land. It will take you at least a year, and maybe two, to construct. The time it takes to accomplish this goal can vary widely based on several variables.
Unforeseen complications during construction can also add extra time and money to your building project.
Tips for Lowering Expenses
You can save money on your next house project by implementing some of the following tips:
1. Build a smaller home
Overall, a smaller home uses fewer resources and less effort. You should know that your cost per square foot may increase, and more materials are needed to build a larger house.
Compared to an architect’s custom-drawn plans, the price of constructing a home using a premade template is much lower.
Also, select a style with less of an impact on your wallet. There are different styles, some of which are more affordable than others. In addition, you can reduce construction costs with the help of volunteers.
2. Have a good risk management plan
Even before construction begins, it’s essential to evaluate what could go wrong and make plans to mitigate those risks. As a result, you’ll be able to coordinate the project’s duration with its cost.
At this point, you should give each of the hazards you’ve identified a monetary and time estimate. Consequently, you can lessen the likelihood of unexpectedly high costs appearing throughout your project.
3. Source Materials Yourself
In many cases, you can save money by purchasing fixtures, door knobs, and even cabinets on your own rather than via your contractor. If you wish to buy some materials yourself, most contractors will not object if you tell them so before they begin working.
Home improvement stores may provide more affordable options for kitchen countertops than your contractor if you’re installing or remodeling a kitchen. The usage of salvaged materials is another viable option for your construction.
Don’t put off deciding what you will and will not be sourcing independently until the project has already begun. Talk to your contractor face-to-face before the project to review the budget item by item.
You should ask when they will need each component on site, how big the pieces should be, and what the price of labor includes.
Bottom Line
Exorbitant costs accompany the construction of a home in Nigeria. Due to varied tastes, determining a total cost can be challenging. Perhaps your most significant expenses will be on land.