ᐅ Purchase Price and Construction Project: How to Assess Them Realistically and Make Comparisons?

Hello everyone,

As newcomers, we would appreciate your advice.
We are looking at a plot of land with a building obligation. The construction company has now given us a price estimate, but we have no idea whether the price is fair or too expensive. How should one approach this? Online prices always seem somewhat better.
So, here is the offer:

Solid house in the style of an urban villa, detached with a hipped roof, textured plaster finish
180 sqm (1937 sq ft) without basement (it is also possible to build smaller but with a basement at the same price)
With a carport (one parking space)
Turnkey delivery

The price is said to be 400,000 EUR without additional costs.
Is this too expensive? Who can help here?
Unfortunately, we have no possibility of obtaining other offers due to the building obligation.
Thank you very much in advance!

Hello Ricki,

You can’t really say it like that.
The price corresponds to 2222 euros per square meter (sq m) of living space plus additional costs. For that, I would expect a very decent level of finish.
However, you didn’t tell us anything about the specifications.
It’s like asking here if €60,000 for a new red car that is 4.5 meters (15 ft) long and 2.3 meters (7.5 ft) wide is a reasonable price.

In any case, the price seems realistic compared to the prices you often see online in ads or brochures.

So you should take a close look at what exactly is included in the price: earthworks, foundation slab, insulation standard, windows/doors, heating, floor coverings, ventilation, electrical fittings, etc.
Only then can you start comparing and assessing whether the price is good or bad.

EDIT: You would have to deduct the carport from the €400,000, so the price per square meter will be below 2222.

Otherwise, you can roughly plan for an additional €30,000 for extra costs and at least another €20,000 for landscaping and exterior work if none of that is included.

Should the land price already be included in the 400,000, or is that separate? What would a comparable plot of land in the area typically cost?

Hi! Thanks for your replies.
That’s true, some information was still missing.

The carport is added to the total floor area. By the way, it is priced at 18,000 EUR. When I looked online, I found cheaper carports, but those are obviously online prices...
The standard is classified as upscale. The construction company says they use high-quality materials (which we can never really verify anyway).
For an extra 15,000 EUR, we get a water pump for heating; otherwise, gas heating is included in the price.
Windows, doors, and so on are all included. Basically everything except the kitchen and flooring, although tiles are included at 50 EUR per square meter (50 EUR/qm (5 USD/ft²)). Of course, if you want a large window front, that would be an extra cost.
Additional costs are estimated at 65,000 EUR. This also covers earthworks, for example.
We can buy the plot separately; unfortunately, all plots there are expensive—around 750 EUR per square meter (750 EUR/qm (70 USD/ft²)). But we can’t change that.

I hope this information is clearer now.

Thanks again.
Best regards

Riiiiicki schrieb:
I hope the information is clearer now

Not necessarily. Of course, the house is offered with a roof and windows, but the detailed scope of work is what matters. Any trade can be done cheaply or solidly with higher quality. You need to check exactly what your offer includes. Roof: clay tiles or concrete? With or without painting work? ... on roof overhangs? One or two outdoor taps? From which brand? Basically, you have to see what still needs to be done on site. What about additional construction-related costs? How does the offer compare externally to other home builders? And besides turnkey, what else is the homeowner expected to do? Flooring? Painting? I mean, this is not really a bargain since you also have to pay property transfer tax on the house (and land anyway). I’d say this is a basic offer like any other, with an upgrade available for quality, possibly including additional construction costs, and so on. You’re just skimming over it in one paragraph... And like any offer, it should be examined and compared carefully.

Oh dear, I think we still need to get some questions answered by the construction company. Would it make sense to have the quote reviewed by an architect or a building consultant? Or who usually does this?