What is the average PROFIT on a spec home sale?

[Wade Stahle]

Hi BP,

I'm a spec builder in Alaska. I've built 4 multi-families, 2 single families and am currently under construction on two more. All within two years. My question is if anyone knows the average PROFIT builders are making on your typical, cookie cutter, 3 bed, 2 bath, 1300 sq ft home?

[Jay Hinrichs]

we don't build that small in our market not profitable to do so.

but generally speaking 8 to 15% of gross sales price is what we try to NET NET NET>

anything above 15% is a huge homerun for us.

build cost are generally the same or close to the same for most of us.. its how you bought the dirt that will determine the profit.