HomeHome & DesignHomes › 5 Cost-Cutting Tips for Building a New Home


Building a new home is a choice many people are making. Whether it’s the draw of designing every detail to fit your personal preferences or the idea of knowing you’ll be the first to step foot in your house, new builds are a popular choice.

The cost of building a home can be steep, however. Many builders will show you a starting price that typically only includes the base model of everything in your home. If you’re looking to upgrade and add extra features, your total can quickly add up.

Luckily, there are some great ways you can save while building your dream house. From finding low rates for new build home insurance to using preplanned blueprints, creating the house of your dreams may be cheaper than you think. 

#1 – Allow for Bids on Your Build

When you begin your building process, it’s common to have multiple builders or contractors bid on your project. This bid will be submitted as a rough estimate for the total cost of your build. It will include building your home, including any subcontract work the builder may have to hire. 

When going through the bidding process, be sure to take your time and explore all your options. You may find some builders or contractors who are much cheaper than others. 

You don’t necessarily have to go with the cheapest option, but finding a reputable contractor who bids much lower than others can save you money in the long run of your project. 

It’s also important to consider a contractor or builder willing to work with you. Since this is the home of your dreams — and the cost is coming out of your pocket — you likely want to be included in the process. Find someone you feel you can easily communicate with and feel open to discussing any concerns you may have. 

#2 – Take on Projects You Can Handle

While some of the allure of a new home is being hands-off, this may not be the best path if you hope to save money. While there are many tasks in a new build that require the work of a professional, you may be able to complete some projects yourself. 

Smaller tasks like painting, adding hardware, laying floors, and landscaping your backyard can be done yourself if you’re handy. Even if you’re not highly skilled, you could also ask a friend or family member to assist you.

By doing these smaller tasks yourself, you’ll save money on the overall cost of your build. While the savings may not be massive in the grand scheme of things, they can still add up and make a difference. Saving money here could allow you to add in a few extra upgrades you may not have been able to afford before. 

#3 – Purchase Raw Materials for Your Project

Having a vision of your dream home means you’ve likely already found items like your perfect cabinet color. However, buying these materials pre-painted can be a lot more expensive than buying them raw.

Raw materials are items like cabinets, doors, and trim that have not been painted and finished yet. While these unfinished items may not look like you envision, you can paint them to look just like you want.

Purchasing raw materials can save a lot of money compared to buying finished products. Depending on the number of raw materials you need, you could save thousands of dollars during your build. 

Even if you’re unsure how to finish these items yourself, there are many tutorials and helpful step-by-step instructions on making them look just as good as if you purchased them from the store.

#4 – Buy Bulk Rather Than Retail

When working on a complete home build, you’ll likely need a lot of materials. Items like wood, flooring, and drywall will often require a large amount to complete your project.

Rather than buying these items through your local hardware store, try purchasing them in bulk direct from the manufacturer. The manufacturer will require a minimum number of materials to be bought, but since a new build will typically require a large amount, you should be able to meet their minimum requirements.

Buying in bulk can save you a lot of money throughout your build. When retailers sell you material, they are selling at a raised price to make a profit themselves. When purchasing directly from the manufacturer, you can skip the retail cost and buy the materials at the base price. 

When using this tip, make sure to only purchase materials you know you will need a large amount of. While the savings are excellent, purchasing too much material can leave you with a large amount of leftover, which the manufacturer won’t repurchase. 

#5 – Don’t Add Unnecessary Space in Your Build

Although it’s tempting to build a large house with plenty of extra space, it’s not ideal if you’re hoping to keep your costs low. Additional rooms, huge areas, or extra-large garages may seem like a good idea when you imagine your perfect home, but they can add to your total build cost. 

Rather than building your home bigger, try to find the best utilization of your space. Many people choose open floor plans to make smaller homes feel more extensive and better use their overall space.

If you’re not a fan of open floor plans, creating an excellent flow to the layout of your home can also help you utilize your space without adding too much. Look into a variety of floor plans and take the time to consider which will work best for you. Avoiding unnecessary areas can save you a lot of money on your build. 

Saving Money While Building Your Perfect Home

Building a new home is an exciting event. You can choose every detail — from the design to the features. 

While the process feels thrilling, the cost can often be overwhelming. A new build price quickly adds up when you begin adding personal touches and upgrades.

Rather than sacrificing your dream home, try to cut your build costs instead. Comparing bid costs, taking on smaller projects yourself, buying raw materials, purchasing in bulk, and avoiding unnecessary space can help you achieve the home you envision without breaking the bank. 

Once your build is complete, be sure to explore your home insurance options to save even more. You’ll be amazed at the low rates you may qualify for with a new build. Then, all that’s left to do is enjoy the home of your dreams.

Alexandra Arcand writes and researches for the insurance comparison site, ExpertInsuranceReviews.com. When home shopping, she considered building new and enjoys sharing her cost-cutting tips with others.