Post #4 in the series – Drafting & Estimating
In the early stages of designing a custom home, it’s easy to assume estimating can wait. After all, you’re still deciding on layout, finishes, and features—why worry about numbers so soon?
But overlooking estimating early—or relying on rough generic pricing—can lead to some of the most frustrating, costly setbacks in the custom home process.
Here are the most common mistakes homeowners make when skipping early estimating, and more importantly, how you can avoid them.
🚫 Mistake #1: Basing the Budget on “Price Per Square Foot”
Many homeowners assume they can multiply the square footage of their dream home by a number they heard from a builder, online article, or friend. While this may offer a loose starting point, it’s almost always misleading.
Why it’s a problem:
It doesn’t account for site conditions, materials, or complexity.
A 2,000 sq ft home with 10 corners, a steep roof, and upgraded finishes costs far more than one with a simple box shape and standard materials.
✅ Avoid it by: Getting a preliminary estimate based on your actual drawings—even if it’s early-stage. The more specific the inputs, the more reliable the estimate.
🚫 Mistake #2: Designing Without a Budget
Some homeowners go deep into design—adding custom features, large windows, luxury appliances—without anchoring those decisions to a budget.
Why it’s a problem:
You fall in love with a design you can’t afford.
Redesign costs money and time—and can delay the build significantly.
✅ Avoid it by: Pairing the design process with ongoing estimating. Work with a designer or estimator who checks your budget against your choices at key milestones.
🚫 Mistake #3: Delaying Until Bidding Time
Waiting until your plans are complete before getting any pricing might seem efficient—but it’s risky.
Why it’s a problem:
If the bids come back 20–30% over budget, you’re stuck choosing between major cuts or restarting design.
It can delay permitting and financing approvals.
✅ Avoid it by: Doing a rough estimate after your drafting is 50–75% complete. It’s early enough to make informed design adjustments before final plans are locked.
🚫 Mistake #4: Using Outdated or Generic Online Pricing
Online cost calculators or builder marketing sites often give overly optimistic numbers that don’t reflect your region, your lot, or your home’s level of finish.
Why it’s a problem:
You’re planning with outdated or irrelevant info.
You underestimate material and labor price increases.
✅ Avoid it by: Working with a professional estimator or builder who understands current, local costs in your area—including taxes, delivery fees, and labor fluctuations.
🚫 Mistake #5: Not Including “Soft Costs” in the Estimate
Soft costs are the non-construction expenses like permits, drafting, engineering, utility fees, or impact fees.
Why it’s a problem:
These can add 10–20% or more to your budget—and they’re often not included in builder estimates.
✅ Avoid it by: Building a full project budget, not just a construction budget. Early estimating should include soft costs, contingencies, and financing costs.
Final Takeaway
The most successful custom home projects are the ones where budget and design evolve together from the start. Early estimating isn’t just about money—it’s about control, confidence, and keeping your dream home achievable.