Cost to Construct a Home Rose Significantly Over Last Two Years
Construction costs accounted for 64.4% of the average price of a new home in 2024 compared to 60.8% in 2022, according to NAHB’s most recent Cost of Construction Survey.
The latest finding marks a record high for construction costs since the inception of the series in 1998 and the fifth instance where construction costs represented over 60% of the total sales price.
Broad inflation in the global economy since 2022 — particularly in building material prices — is largely to blame for the increased construction costs.
The finished lot was the second largest cost at 13.7% of the sales price, down more than four percentage points from 17.8% in 2022. The average builder profit margin was 11.% in 2024, up from 10.1% in 2022.
Explore the interactive dashboard below to view the costs and percentage of construction costs for eight stages of construction and their 36 components.
For more on the survey, please see this Eye on Housing post from NAHB economists.
Latest from NAHBNow
Economics | Workforce Development
Oct 26, 2026
How Old Are America's Construction Workers?
NAHB analysis takes a deeper look into the median ages of construction workers by state and by trade.
Fall Leadership Meeting
Oct 26, 2026
Watch Video Highlights from 2026 Fall Leadership Meeting
NAHB members who were unable to join us in Detroit for the 2026 Fall Leadership Meeting can watch some of the highlights on nahb.org.
Latest Economic News
Economics
Oct 26, 2026
Uptick for Non-Conventional Financing in 2025
Nationwide, the share of non-conventional financing for new home sales accounted for 32.4% of the market, according to NAHB analysis of the 2025 Census Bureau Survey of Construction (SOC) data.
Economics
Oct 23, 2026
A Quarter of Remodelers Started ADUs Over Past Twelve Months
When asked if remodelers started a project involving an Accessory Dwelling Unit (ADU) over the past twelve months, 24% indicated that they were building an addition for use as an ADU and 23% indicated that they were converting an existing space to an ADU, according to NAHB’s Remodeling Market Index (RMI).
Economics
Oct 23, 2026
Slabs Overtake Basements in the East North Central Division
Nearly three-quarters of new single-family homes started in 2025 were built on slab foundations, according to NAHB analysis of the U.S. Census Bureau’s Survey of Construction (SOC).