How Much Does It Cost To Build A House?
What You Should Know
- Production homes are built by builders who own the land and use standardized house designs, having average building costs from as low as $140 per square foot in Halifax and Ottawa to as high as $320 per square foot in Vancouver.
- Custom-built homes are much costlier than production homes, often costing 2.5 to 4 times as much, depending on the level of design, finishes, and complexity involved.
- An average single-family home in Toronto would cost from around $700K to build, while it would cost $640K in Vancouver. This difference is mostly due to the larger average size of houses in Ontario than in British Columbia.
- You can finance construction costs by getting a construction loan, which usually covers up to 75% of the cost of construction.
A custom-built home lets you personalize your dream home right down to its foundations, but building a new home is not always cheaper than buying an existing home. If you'd like to take control and spell out every single detail about your future home, then building allows you to do so, but with added costs. Purchasing the land, having designs drawn, getting permits, and obtaining a construction loan can all add costs even before construction begins.
How Much Does Building a House Cost?
Costs can vary depending on your location, as expenses such as materials and labour can be cheaper or more expensive in certain areas. Land prices can also significantly impact your total cost of construction.
Average Home Building Costs in Canada (Per Square Foot)
Wood Framed Residential
| Production Single-Family (Unfinished Basement) | Custom-Built Single-Family | |
|---|---|---|
| Vancouver | $200–$320 | $495–$1,250 |
| Calgary | $175–$265 | $475–$1,090 |
| Edmonton | $170–$265 | $475–$1,090 |
| Winnipeg | $165–$250 | $470–$1,050 |
| Toronto/GTA | $200–$275 | $520–$1,130 |
| Ottawa/Gatineau | $140–$225 | $500–$1,000 |
| Montreal | $145–$205 | $440–$875 |
| Halifax | $140–$215 | $345–$695 |
| St. John's | $150–$210 | $350–$700 |
According to Altus Group's 2025 Canadian Cost Guide, a single-family home with an unfinished basement from a production builder can cost from as high as $200 to $320 per square foot in Vancouver, to as little as $140 to $215 per square foot in Halifax. Production builders limit you to a set range of house plans, which will restrict your design choices. In exchange for this, building a home with a production builder is much cheaper than building with a custom home builder.
A custom-built home is significantly more expensive than a regular single-family home, costing from $345 to $695 per square foot in Halifax to $495 to $1,250 per square foot in Vancouver.
Based on Altus Group's Canadian Cost Guide for 2025, building a new home in Canada's metro areas would be cheapest in Halifax and Ottawa on a per square foot basis. Vancouver and Toronto are the most expensive metro areas to build a new home in Canada.
What Is the Average Size of a Home in Canada?
Average home sizes in Canada vary widely depending on the type of dwelling, location, and period of construction. According to 2022 estimates from Statistics Canada, the average size of a single detached home, across all construction years, is about 2,500 square feet in Toronto and 2,700 square feet in Vancouver. However, newer homes tend to differ in size. In Toronto, homes built between 2016 and 2020 averaged around 3,600 square feet, compared to 3,500 square feet for those built between 2021 and 2022. A similar trend is seen in Vancouver, where homes built between 2016 and 2020 averaged roughly 4,000 square feet, declining to about 3,200 square feet for homes built more recently.
It is evident that the average size of recently built homes was notably higher than the average size of all single-family homes in the cities. Recently built homes, considered to be homes built after 2000, are typically larger than older homes. Homes built after 2000 are, on average, double the size of homes built in 1960. You can use a square footage calculator to easily estimate the size of your home.
The table below shows the estimated cost of construction of single-family homes in major Canadian cities, based on the average sizes as of 2022 and the cost of construction as of 2025.
Average Home Building Costs in Canada
(Wood-framed residential)
| City | Single-Family Average Size in Square Feet (2021–2022) | Estimated Total Build Cost | |
|---|---|---|---|
| Production Single-Family (Unfinished Basement) | Custom-Built Single-Family | ||
| Vancouver | 3,200 | $640K–$1.02M | $1.58M–$4.00M |
| Calgary | 2,700 | $473K–$716K | $1.28M–$2.94M |
| Edmonton | 2,400 | $408K–$636K | $1.14M–$2.62M |
| Winnipeg | 2,600 | $429K–$650K | $1.22M–$2.73M |
| Toronto/GTA | 3,500 | $700K–$963K | $1.82M–$3.96M |
| Ottawa/Gatineau | 2,600 | $364K–$585K | $1.30M–$2.60M |
| Halifax | 2,500 | $350K–$538K | $863K–$1.74M |
| St. John's | 2,100 | $315K–$441K | $735K–$1.47M |
How Much Does Land Cost in Canada?
One of the first steps in constructing a new home is finding a place to build it. You can work with a real estate agent to find land to purchase, or you could search for vacant land listings online.
Land in urban areas is significantly more costly than in rural areas. Land in the GTA can range from $50 to $200 per square foot, while it costs less than $50 per square foot in Calgary or Edmonton.
Living in the countryside means that land will be cheaper, but there can be higher costs associated with rural living, such as utilities and living expenses. The average farm real estate value per acre (including buildings) in Canada was $4,285 in 2022. Ontario had the most expensive farmland, at $17,143 per acre (price is partially higher as Ontario farms have significantly more infrastructure). Within provinces, land in urban areas is more expensive. For example, farmland surrounding the GTA costs, on average, $25,600 per acre, while farmland in Northern Ontario costs $4,400 per acre.
Average Value of Farmland and Farm Buildings per Acre in Canada
| Location | Price as of 2024 |
|---|---|
| Saskatchewan | $2,647 |
| Manitoba | $3,697 |
| Alberta | $4,024 |
| Nova Scotia | $4,075 |
| New Brunswick | $4,525 |
| Prince Edward Island | $6,721 |
| Newfoundland and Labrador | $9,000 |
| British Columbia | $10,187 |
| Quebec | $10,641 |
| Ontario | $20,782 |
| Canada | $5,302 |
Most Expensive Farmland Regions in Canada (Average Per Acre)
| Region | Province | Value as of 2024 |
|---|---|---|
| South Coast | British Columbia | $113,000 |
| Vancouver Island | British Columbia | $62,300 |
| Okanagan | British Columbia | $40,500 |
| South West | Ontario | $33,700 |
| Central West | Ontario | $31,700 |
| Southern | Ontario | $23,600 |
| Kootenay | British Columbia | $21,500 |
Construction Costs
After purchasing a plot of land to build on, you would need to find a way to finance construction costs. Construction loans are a way for you to borrow money to build a home. Money is disbursed from your construction loan lender at certain checkpoints in the home's construction process. You may also use funds from a construction loan to purchase the land to build your home.
While construction loans can cover most of the total construction cost, it will not cover all costs. Most construction loans will only cover up to 75% of the total construction cost.
According to Custom Contracting, installing HVAC for a new home can cost from $8,000 to $18,000, and includes the central air conditioner unit, furnace, and ductwork. According to plumbinglist.ca, plumbing can cost from $4.50 to $8 per square foot, or $12,000 to $20,000 for a new home. According to Ontime Electric, wiring a new house in Canada typically costs between $15,000 and $20,000.
Blaze Estimating estimates that a foundation with a basement would typically cost between $75,000 - $100,000. Depending on the size of the house, the construction costs will increase because more materials are needed. For example, a larger foundation will require more concrete. Your calculations for how much concrete you need in this case can be much larger than with a smaller foundation, which means you will need to buy more concrete. According to Green Building Canada, a shingle roof can cost from $5 to $12 per square foot, or $10,000 - $24,000 for a 2,000-square-foot roof. Exterior doors cost about $1,500 - $5,000 each, windows cost $300 to $1,000 per window for vinyl windows, skylights can cost between $1,000 to $5,000 each, patios cost from $2,000 to $14,000 for a 400 square feet patio, and asphalt driveways cost on average $4,200 to $9,000.
Hardwood flooring can cost $9 to $25 per square foot, marble tile can cost $10 to $20 per square foot, or carpet can cost $2 to $11 per square foot. It is also important to remember the finishing costs. Before proceeding with the construction plan, you may need to account for paint, drawers and appliances. Finally, investment in a residential solar energy system is worth considering as it permits you to say goodbye to the monthly hydro bill.
Example Construction Costs
| Item | Average Cost |
|---|---|
| HVAC | $8,000 – $18,000 |
| Plumbing | $12,000 – $20,000 ($4.50–$8/sq ft) |
| Electrical system | $15,000 – $25,000 |
| Foundation | $75,000 – $100,000 |
| Roof | $10,000 – $24,000 ($5–$12/sq ft) |
| Eaves | $1,200 – $3,500 ($8–$25/linear ft) |
| Wall sidings | $10,000 – $35,000 |
| Exterior doors | $1,500 – $5,000 each |
| Windows | $800 – $2,000 each |
| Skylights | $1,000 – $5,000 each |
| Patio | $2,000 to $14,000 (400 square feet) |
| Driveway | $4,200–$9,000 (asphalt) |
| Flooring | $2,000 and $6,000 |
Building Plan Costs
An architect would cost around 8% to 15% of the home's construction cost. If you only want an architect to review an existing home plan, it may cost from $1,000 to $3,000. You may purchase stock house plans for $500 to $5,000, or hire a drafter to create a home blueprint for $1,000 to $6,000.
Disclaimer:
- Any analysis or commentary reflects the opinions of WOWA.ca analysts and should not be considered financial advice. Please consult a licensed professional before making any decisions.
- The calculators and content on this page are for general information only. WOWA® does not guarantee the accuracy and is not responsible for any consequences of using the calculator.
- Financial institutions and brokerages may compensate us for connecting customers to them through payments for advertisements, clicks, and leads.
- Interest rates are sourced from financial institutions' websites or provided to us directly. Real estate data is sourced from the Canadian Real Estate Association (CREA) and regional boards' websites and documents.