Chapter 2

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Jefferis_SCR_Chapter 02.

QXP 4/7/10 2:05 PM Page 1

CHAPTER 2
Construction Procedures

COUNTING THE COST


In Chapter 1 you were introduced to the cost of a set of plans and the cost of construction. Once the plans are completed, the
drawings are submitted to several bidders for bids. Contractors complete the estimate for construction cost based on their
knowledge of current material, labor, and economic factors. Companies such as R.S. Means and the Dodge Report published
by F.W. Dodge provide contractors with up-to-date costs on products, manufacturers, materials, and supplies for the con-
struction industry. An architect generally oversees the bidding process, but the client must make the final decision on which
contractor to hire. Construction cost should not be the only factor in determining the builder, because bids can vary based on
these considerations:
• Differences in design details and materials unless plans and specifications are very specific.
• Builders’ varied experience with certain home styles or features, site conditions, or specific types of
materials and equipment.
• Cost of construction loan, insurance, permits and inspections, and utility hookup fees, which may
or may not be included in the bid.
• Quality and speed of the project based on the number of other ongoing projects.
• Various administrative charges, overhead, and profit margin.
Although drafters are not involved in cost estimating unless they work directly for an estimator, an understanding of the
role of the contract and the subcontractors in determining the cost of the project will help you advance within architectural
and engineering offices. Keep in mind that the following costs are averages, and that actual costs vary for each project based
on the area of the country, the labor supply, the time of year, and the local and national economy. The following costs and fees
are based on a home to be constructed with a value of $321,550.

Construction Costs Approx. % of Const. Cost Bid ($)


Permits 5.00 14,600
Temp. power/excavation/backfill 4.00 11,700
Footings & foundations (material & labor) 2.40 7,000
Framing material 9.30 27,125
Framing labor 9.30 27,125
Roofing 1.50 4,370
Windows & sliders 3.90 11,370
Rough plumbing 3.40 9,915
Rough electrical 3.70 10,800
Fireplace 2.50 7,290
Masonry veneer/chimney 2.47 7,200
Basement/garage floor/flatwork 1.50 4,370
Siding (material & labor) 4.30 12,540
(continued)

© 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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2 I Architectural Drafting and Design Supplemental Chapter Reading

Construction Costs Approx. % of Const. Cost Bid ($)


Heating & air conditioning (material & labor) 3.75 10,930
Insulation 1.85 5,395
Drywall/tape/texture 4.70 13,705
Septic/sewer 0.75 2,190
Water hookup 0.30 875
Downspouts & gutter 0.75 2,190
Exterior painting 1.30 3,790
Interior painting 1.60 4,660
Paneling & wallpaper 0.62 1,810
Cabinets/hardware 9.50 27,700
Linoleum/tile/vinyl 2.90 8,450
Finish plumbing 2.75 8,020
Garage door/openers 0.98 2,860
Finish electrical 1.54 4,490
Carpets 2.80 8,150
Hardwood flooring 1.25 3,640
Interior/exterior doors & trims 5.00 14,580
Appliances 1.60 4,660
Decks/rails/miscellaneous extras 2.15 6,270
Cleanup 0.61 1,780
Total construction amount 100.00 291,550
Operating expenses/profit 30,000
General Fees
Construction cost 321,550
Architect’s design fees 29,000
Landscaping/sprinklers 25,000
Total construction cost 375,550
Misc. closing fees (loan fees, title charges,
recording fees, reserves) 9,825
Land purchase price 72,900
Total cost 458,275
20% down ⫹ fees 101,480
80% mortgage 356,795
Interest on mortgage 372,565*
Average monthly interest 1,035**
Average monthly principal 991**
Monthly payment 2,026
Total cost to owner over 30 years 830,840***
*Interest assumed to be 5.5% on a $356,795 mortgage.
**Rates vary each month. When purchasing a mortgage, a bank uses an amortization calculator. With each loan payment, the amount
paid remains the same, but the amount paid toward the principal increases and the amount paid toward the interest decreases.
***Not including property taxes and assumes no prepayments.
Construction rates supplied by Walt Townsend of Townsend Construction. Financial information supplied by Michael Jefferis.

© 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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CHAPTER 2 Construction Procedures I 3

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4 I Architectural Drafting and Design Supplemental Chapter Reading

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CHAPTER 2 Construction Procedures I 5

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6 I Architectural Drafting and Design Supplemental Chapter Reading

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CHAPTER 2 Construction Procedures I 7

© 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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8 I Architectural Drafting and Design Supplemental Chapter Reading

© 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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