Replacement Costs

[Efi Shabtai]

Hello all,

Does anyone have a sense of what are total replacement costs for a SFR for certain markets? I guess just kind of a rule of thumb per state or major city would be interesting to know. Also, since construction is coming back and labor seems tighter, wondering how much all in replacement costs have risen over the last few years?

Regards,

Efi 

[Will Barnard]

Impossible to answer, there are literally thousands of markets across the US, you would have to be more specific to the market to get input.

An insurance agent in the market would have a very good idea as they typically use replacement cost amounts to calculate how much insurance is needed.

In SO Cal, you can expect build costs to be around $125 sq. ft. for regular homes. As you get into higher end homes like over $1M, you can expect it to be closer to $200 sq. ft. From there, other things for a specific deal can add to the costs such as hillsides where the need for retaining walls or piles are needed.