Most (and Least) Expensive States To Build a Home

There are many ways to go about buying a home, and one way that can sometimes be more cost-effective is to build a house from the ground up.

Of course, even building your own home is more expensive than it used to be due to inflation and supply chain issues over the past few years driving up the costs of materials and labor. So, location really does matter when it comes to finding the best states to do so.

To determine the most and least expensive states to build a home, GoBankingRates drew from a new report by Today’s Homeowner that estimated the average price of building a new 2,100-square-foot home (not including the cost of land or plot development). They found that the average cost to build a new home in the United States is $332,397, or $158 per square foot.

Keep reading to find the 10 most (and 10 least) expensive states to build your home.

The states where potential homebuyers may want to think twice about building their own homes fall in a few key parts of the country: the west coast, in places like California and Washington; the east coast, including New England and New York. A couple of states in the midwest are pricey, but Hawaii is the most expensive state to build a home in, costing $431,364 for the average 2,100-square-foot home ($205 per square foot).

• Total price: $361,098
• Price per square foot: $172

• Total price: $363,120
• Price per square foot: $173

• Total price: $363,314
• Price per square foot: $173

• Total price: $367,853
• Price per square foot: $175

• Total price: $371,875
• Price per square foot: $177

• Total price: $372,069
• Price per square foot: $177

• Total price: $380,189
• Price per square foot: $181

• Total price: $387,262
• Price per square foot: $184

• Total price: $402,709
• Price per square foot: $192

• Total price: $431,364
• Price per square foot: $205

Building a home is really only cheaper than the median home sale price in eight states. And where you’ll find it the cheapest to build a 2,100-square-foot home for under $300,000 is the South, namely: Arkansas, Alabama, Florida, Louisiana, Mississippi, and North Carolina.

• Total price: $302,204
• Price per square foot: $144

• Total price: $301,739
• Price per square foot: $144

• Total price: $301,079
• Price per square foot: $143

• Total price: $300,673
• Price per square foot: $143

• Total price: $297,228
• Price per square foot: $142

• Total price: $297,062
• Price per square foot: $141

• Total price: $296,107
• Price per square foot: $141

• Total price: $291,397
• Price per square foot: $139

• Total price: $288,175
• Price per square foot: $137

• Total price: $287,670
• Price per square foot: $137

Cameron Huddleston contributed to the reporting for this article.