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How Much Does It Cost to Build a Custom Home in Toronto

Learn what is included when home builders quote you a "price per square foot" for your custom home

Custom home by Harlequin Homes

Building your own custom home gives you the luxury of immediately incorporating the options and features you want into the home. It avoids the costly changes required to bring a newly built production home or resale home up to your requirements. In addition, a custom home gives you individual attention from your builder and allows you to avoid the issues of moving into a new subdivision, such as roads that are layered in dust and mud, or that long wait to get grass on your lawn.

The cost of a new custom home will vary depending on the area you build in and the features you use. However, using the analogy of the new car, you know that a compact car, mid size car, luxury car, muscle car and the high end foreign sports car all have different costs. Housing is no different.

Cost to build a custom home is expressed in "price per square foot" estimates

In the housing market, we express the cost to build as a "price per square foot". Therefore, a 3500 sq. ft. house that costs $700,000 would have a cost of $200.00 / sq.ft. Land is not included in this price. However, building permits, architectural and designer fees, as well as all construction-related costs are included in the "price per square foot" calculation.

In the custom home construction industry, the total cost is generally broken down into two categories:

  1. Hard costs: These are the fixed costs such as the trade's contracts that will not vary unless an item is added to the contract. The cost for a trade to complete their task is established prior to the onset of his work. For example, the framer will get $10,000.00, which is a fixed amount, or what we refer to as "hard cost".
  2. Soft costs: These are indirect costs that are not Labour or Materials, and will include such things as additional engineering, supply of temporary power, construction trailer and insurance.

Your home builder will have a complete list of what the Hard and Soft Costs will be for your project.

Average prices for a custom home in Toronto and the GTA

Generally speaking, a production builder in the GTA will build a home from $100.00 to 150.00 per sq. ft. The hard costs in this scenario represent between $70.00 and $115.00. When we shift to custom homes, the price can double, ranging from $200.00 to $300.00 per sq. ft. and a high end custom home with extravagant features could easily reach $400.00 per square ft. Read our article on the benefits of custom homes over production homes.

On average, a custom home build with modestly upgraded features in Toronto will be $250.00 per square foot. You can also read our article on the various factors that affect the price per square foot of a new custom home.

Contact us and we can provide you a better estimate for your new custom home

Harlequin Homes is a GTA-based building management company specializing in custom homes. Please contact us at to discuss the plans for your new home.

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