ᐅ Total Costs When Building with an Architect

Created on: 17 Jul 2020 23:33
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dankosos
D
dankosos
17 Jul 2020 23:33
Hello everyone,

we are currently considering some fundamental questions before building a house. One option is to build with an architect on an existing plot, either by using the existing building or by demolishing it and starting anew.

The question is: are there approximate cost estimates for something like this (possibly per square meter of living space)?

I understand that architect fees are calculated according to HOAI, and a single-family house falls under HOAI Zone 3 or 4. We would probably like to invest something into the design and therefore might end up in Zone 4 (or is that typically already Zone 5? My understanding is that Zone 5 usually applies to public or larger buildings). So far, so good, but what about construction costs:

We want to build a detached house with 160-200 sq m (1,720-2,150 sq ft) of living area. So far, I have assumed construction costs of €2,000-3,000 per sq m (approximately $185-280 per sq ft). For 200 sq m (2,150 sq ft), that would mean a midpoint (2,500 €) of €500,000. Subtracting 19% VAT → €405,000 (construction would start no earlier than next year).

In the HOAI tables I find values for €300,000 or €500,000. Is a midpoint taken here, or is it rounded up or down?

Assuming we have to plan for billable costs of €500,000, would the architect fee according to HOAI for full commissioning in Zone 4 then be about €80,000 plus VAT = €95,000? That would make the total budget around €600,000?

Are there any additional costs beyond that? I have read, for example, that there are surcharge fees for renovations, where the existing building is somehow included—at least 20%. If we want to renovate or extend a house that is estimated online to be worth €250,000, but the remaining costs would be only €300,000, would the billable costs then be €550,000, plus the renovation surcharge (80,000*1.2*1.19 ≈ €115,000)? That would mean the architect’s fee for renovation is significantly higher?

Besides the land and additional construction-related costs, are there any other expenses from using an architect that might not be immediately obvious?

And is there any kind of safeguard to keep costs from getting out of control? I know the architect only estimates, but what happens if the estimate is off by 20% instead of 5%? That quickly adds up to €100,000—I could of course include a buffer and plan a smaller house, but that would be less desirable.

On the other hand: does the rule of €2,000-3,000 per sq m apply when using an architect, or does hiring a general contractor usually lower the per-square-meter prices somewhat because architect fees are included in their pricing?

Thank you very much for your input!
11ant18 Jul 2020 14:41
In principle, the application of HOAI is not mandatory, and a house does not move into a higher fee category just because of "more design," but also due to factors like more challenging terrain or similar conditions. For a project using an existing building, I would strongly advise against building without an architect. Of course, renovations are generally more complex than standard new builds.

In general, an architect is rather cost-neutral: you would already have to pay for the general contractor’s permit planner, even if that cost is not itemized separately. The independent architect usually plans more creatively and cleverly, manages the construction more client-oriented; and when it comes to tendering, they clearly prove their worth, as a layperson often falls into numerous costly traps.

If the plot already exists, please tell us more about it, including its existing structures. What is the intended final design of the building?
https://www.instagram.com/11antgmxde/
https://www.linkedin.com/company/bauen-jetzt/
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dankosos
20 Jul 2020 19:18
We have two options:

1) Purchasing an existing property (in the city) of unknown type and on an unknown plot of land. In the area where we are looking, the land is generally flat. We would want or have to renovate in this case.

2) A 1,950 sqm (0.48 acre) plot (5 km (3 miles) outside the city) with a relatively small existing building on the plot:
- The plot itself measures 19 x 50 m (62 x 164 ft). The short sides border a (quiet) street (SW) and a riding stable (or a field) (NE). On the long sides, there is a neighbor to the NW and a farmyard (no livestock—riding school) to the SE.
- 110 sqm (1,184 sq ft) of living space
- Partly basemented
- 1 full floor with a pitched roof
- Dimensions approximately 9 x 8 m (30 x 26 ft)
- Garage directly on the property boundary with the neighbor
- Built in 1963
- Photovoltaic system installed on the roof in 2010
- Roof replaced in 2006
- Oil heating
- Originally designed as an architect’s house

In both cases, we are looking for a home for 4 people, frequent guests, and approximately 3 days a week of home office. Roughly estimated, we need about 180 sqm (1,938 sq ft).

Option 1) is very challenging for me because it’s difficult to find a reasonable approach. For example, currently, existing properties in a size that could be adapted to our needs through renovation cost between 500,000 and 700,000 euros, including purchase-related costs. Our total budget allows for 200,000 to 400,000 euros for renovations. If, for example, architectural fees of around 100,000 euros would be incurred, we might have to exclude some properties from the start. Would it make sense here to consult an architect early on, discuss our requirements, and then take them along for a (second) viewing?

For option 2), it would of course be ideal if parts of the existing building could continue to be used, such as the basement, the photovoltaic system, and possibly the garage. I could imagine an extension in the same style, but that would naturally be left to the professional.
11ant20 Jul 2020 22:22
Regarding point 2), many aspects sound like outdoor areas to me – which raises the question of what a non-builder (or the current operator of the riding stable) would be allowed or required to do there. This could potentially be more decisive than what an architect might observe during a joint inspection.
https://www.instagram.com/11antgmxde/
https://www.linkedin.com/company/bauen-jetzt/
D
dankosos
21 Jul 2020 11:48
Oh sorry, not 1950, but 950 sqm (10,230 sq ft) plot.

Aerial view of a village neighborhood with green areas; house marked in blue near the center.


It is a typical residential area; the zoning plan was repealed in 2012, so now construction follows the pattern of the neighborhood.

The question of whether the architect should join us applies more to option 1. For option 2) the land already belongs to us, so we can approach it more casually.