Checklist "Preparing a Preliminary Cost Estimate for Building a House"
This checklist will help future owners correctly prepare a cost estimate for building a house by breaking the process into stages — from assessing the cost of the land to registering ownership rights. It brings together key points: assessing the cost of the plot and construction, calculating utilities, landscaping and the cost of processing documents, accounting for additional expenses and planning payments. This approach prevents unnecessary spending and makes it easier to manage the process, ensuring the timely completion of construction.
Step 1: Assessing the Cost of the Land
Choosing a Plot
Determine the desired location (city, suburb, village). Define your priorities: whether you want to live in an urban environment with developed infrastructure, in a quiet suburb or in a secluded village.
Take into account the proximity to the necessary infrastructure (schools, shops, transport). Assess the distance to schools, shops and transport hubs to ensure convenience in everyday life. You should also pay attention to the availability of public transport within walking distance.
Purchasing the Land
Find out the market prices for land in the selected area. Study real estate websites, listings and consult real estate agents. It is also useful to review data on the sale of similar plots in this area.
Check the legal status of the plot (presence of encumbrances, building permits). Contact the cadastral register and the relevant judicial authorities to obtain information about encumbrances and the availability of building permits, in accordance with Article 2657 of the Italian Civil Code.
Assessing Additional Costs
- Taxes on the purchase of land. Familiarize yourself with the Tax Code, especially the articles relating to taxes on the transfer of property (Imposta di Registro, Imposta di Catasto), and also consult your local tax office.
- Realtor services (if used). The cost of realtor services varies depending on the region and the specific agent, but usually ranges from 3% to 5% of the transaction amount, according to the guidelines of the Association of Professional Realtors (FIAIP).
- Transaction processing (notary services, registration of ownership). The cost of processing the transaction, including notary services and registration of ownership, is determined on the basis of the Civil Code and notarial tariffs and usually ranges from 1% to 2% of the transaction price, depending on its complexity and the region.
It is important to understand that each of these points is interconnected. The correct choice of plot and assessment of the purchase of the land help to avoid financial losses and legal problems in the future. This makes it possible to take into account all additional costs, such as taxes and infrastructure. It is also important for planning construction and compliance with regulations.
Step 2: Assessing the Cost of Building the House
Choosing a House Design
Decide on the type of house (prefabricated frame, brick, wooden). Base your choice on your preferences regarding materials, budget and climatic conditions, and also take into account the construction period and the expected performance characteristics. It is also important to think through the long-term maintenance costs and energy efficiency of each type.
Choose a ready-made design or order an individual one from an architect. A ready-made house design will save time and money, as it has already been developed and tested. An individual design will make it possible to take all your wishes into account and to create a home that corresponds to your needs.
Preparing for Construction
Preparation of the construction site (levelling, clearing). Find out the cost of levelling and clearing the plot of debris; this will make it possible to optimize costs in the future.
Procurement of building materials (concrete, wood, metal). Decide on the type of materials and estimate their cost. This is necessary for effective planning of the project budget and optimization of expenses.
Construction Work
Foundation work. When assessing foundation work during the construction of a house, it is important to take into account the quality of the materials, the depth of the foundation and compliance with the technologies for its construction.
Erection of walls and roof. For the calculation you need to determine the area of the walls and roof, the cost of materials and work. It is also worth including additional expenses for insulation, finishing and other services.
Installation of windows and doors. You need to take into account the price of the windows and doors themselves, as well as the cost of materials and the work of specialists.
Interior Work
Electrical wiring. For the calculation you need to determine the total length of the cables, the number of sockets and switches, their cost and the work of the electrician. It is also worth including additional expenses such as tools and fasteners.
Water supply and sewerage. You need to determine the total amount of expenses for materials, the work of specialists and additional services such as design and approvals. It is also important to take into account possible additional costs for connection to utilities.
Heating and ventilation. Take into account expenses for materials, equipment, the work of specialists and additional services. It is also necessary to consider the area of the premises and the systems chosen for more accurate calculations.
Finishing Work
Interior finishing (plaster, painting, wallpaper). Determine the area of the walls and ceilings, the cost of materials and work for each type of finishing (plaster, painting, wallpaper). You should also include additional expenses such as tools and preparatory work.
Floor coverings (laminate, parquet, tiles). Determine the area of the room and the cost of the chosen material. Do not forget to add the cost of additional materials and work, if necessary.
It is important to understand that each of these aspects plays a decisive role in forming the cost of building the house. This will help you take into account all the necessary materials, work and services in order to avoid unexpected expenses.
Step 3: Connecting Utilities
Electricity
Laying and connecting electricity. The cost of laying and connecting electricity depends on the type of connection and the amount of capacity, and the exact rates can be found on the website of the distribution network operator and in accordance with the Rules on access to power grids (Delibera dell'Autorità per l'energia elettrica, il gas e il sistema idrico). It is also recommended to request a commercial offer that will indicate all costs.
Installation of meters and protective devices. The cost of installing meters and protective devices is regulated by local regulations and the tariffs of electricity network companies and may vary depending on the type of equipment installed. For an accurate estimate it is recommended to contact the energy company directly or a qualified electrician to obtain a quote.
Water Supply
Connection to the central water supply system or installation of an autonomous system. The cost of connecting to the central water supply system or installing an autonomous system is regulated by local tariffs and depends on the conditions of the specific area, which can be clarified with the local water supply company. It is recommended to request a commercial offer to obtain accurate information on costs.
Installation of filters and meters. The cost of installing water filters and meters can be determined by local regulations and the rates of water supply companies. It is recommended to contact professional installers or your local company to obtain a specific quote.
Sewerage
Connection to the central sewerage system or installation of a septic tank. The cost of connection to the central sewerage system or installation of a septic tank is regulated by local tariffs and regulations. You need to take into account the price of materials, the work of specialists and possible additional expenses for permits and connection.
Services for regular maintenance. Here you need to take into account the rates of local companies and the frequency of maintenance, as well as possible additional services such as cleaning or diagnostics.
Gas Supply
Connection to the gas main or installation of a gas holder. Take into account expenses for design, materials, the work of contractors and permits. It is best to contact local gas companies to obtain accurate information on tariffs.
Installation of gas appliances (boilers, cookers). The cost of connection to the gas main or installation of a gas holder is regulated by local regulations and tariffs. To obtain accurate information it is recommended to contact local gas distribution companies or licensed installers. You also need to take into account expenses for design, materials, the work of contractors and permits.
Following the checklist for calculating the cost of connecting utilities in a private house helps to avoid unexpected expenses and misunderstandings. It makes it possible to clearly understand which services and materials are needed and in what volume.
Step 4: Landscaping of the Territory
Landscaping Work
Greening (lawns, flower beds, trees). Determine the area of the plot, choose plants and materials, and then calculate the costs for their purchase and installation. Also take into account the expenses for maintenance in the first years.
Laying paths and paved areas (paving stones, tiles). Calculate the area of laying, the cost of the material (paving stones or tiles) and the cost of the work.
Fencing and Gates
Installation of a fence along the perimeter of the plot. Measure the perimeter of the plot, determine the material and calculate the costs for it and the work.
Installation of gates and wickets. Decide on the type and size of the gates and wicket, choose the material and find out the cost of the work.
Lighting
Outdoor lighting (lamps, floodlights). Determine the number and type of lamps or floodlights, their price and the cost of the work for installing the lighting.
Lighting for paths and the facade. Add up the expenses for materials (fixtures, cables, transformers) and the work of the electrician, as well as additional costs for installation and finishing.
With the help of this checklist you can organize the landscaping process more efficiently, avoid extra expenses and create a comfortable space around the house. It is a convenient tool for every owner who wants to improve their site.
Step 5: Processing Documentation
Legal Support
Legal support. Legal services for processing transactions and obtaining permits. Contact several law firms to obtain consultations and preliminary estimates.
Checking all documents for compliance with legal requirements. The cost is determined depending on the scope of work and the specifics of the project; the exact amount can be obtained from licensed architects or engineers.
Obtaining Permits and Approvals
Building permit. A building permit for a house can be obtained by submitting the design to the municipality and paying the corresponding fees. The cost of the permit varies depending on the region and the characteristics of the project and usually ranges from several hundred to several thousand euros.
Approval of the design documentation with local authorities. Approval of the design documentation with local authorities requires submitting an application and may cost from 1% to 2% of the total construction cost. The process includes checking the compliance of the design documentation with urban planning regulations and may take from several weeks to several months depending on the complexity of the project.
Registration of Ownership
Registration of the house in state registers. Registration of the house in state registers is carried out at the Cadastral Office (Catasto) after the completion of construction and receipt of all necessary permits. The cost of registration is about 1–2% of the cadastral value of the property, and the process itself may take several weeks.
Obtaining a cadastral passport and technical plan. Obtaining a cadastral passport and a technical plan for the house is carried out through the Cadastral Office (Catasto). The cost of the service varies but usually ranges from 50 to 150 euros, depending on the complexity of the request and the region.
The checklist for determining the cost of processing documentation for a private house helps to systematize all the necessary stages and expenses in order to avoid unexpected costs and simplify the process of obtaining permits. It serves as a guide for owners, allowing them to plan their budget and time more effectively.
Step 6: Accounting for Additional Expenses
Furnishing
Purchase of furniture for all rooms. Draw up a list of the necessary furniture with prices and add up the total cost.
Services for assembling and installing furniture. Find out the cost of the craftsman’s work and the price of the necessary materials, if required.
Decorating
Purchase of decorative elements (curtains, carpets, accessories). Determine the number of necessary decorative elements and add up their total cost.
Interior designers’ services. Consult several specialists and ask them to prepare a commercial offer with a breakdown of the cost.
Landscaping Work
Design and creation of the garden. Take into account the cost of plants, materials, labour and the services of a landscape designer.
Gardener’s services. Find out the cost of services and what they include from several workers and choose the optimal option.
The checklist for calculating the cost of additional expenses helps to systematize costs and avoid unexpected financial surprises during the improvement process.
Step 7: Reserving Funds for Contingency Expenses
Creating a Reserve Fund
Set a share of the total budget to create a reserve fund (this is usually 10–15%). This is necessary to cover unforeseen expenses and ensure financial stability during construction.
Transfer this money to a separate account.
Unforeseen Situations
Expenses for correcting construction defects.
Additional activities that were not provided for in the original design documentation.
The checklist for reserving funds for unforeseen expenses during the construction of a house is necessary for systematizing and planning the budget, so as to take potential additional costs into account and avoid financial problems during the construction process.
Step 8: Planning the Stages of Financing
Stages of Financing
- Purchase of the plot.
- Start of construction work (pouring the foundation, erecting the walls).
- Completion of key construction stages (installation of the roof, installation of windows and doors).
- Carrying out interior finishing and connecting engineering systems.
- Landscaping of the site and processing documentation.
Planning Payments
Find out at which phases of the project significant financial resources will be required.
Divide the budget into stages in order to prevent a shortage of funds during construction.
Planning the stages of financing when building a house is necessary for the effective allocation of resources, cost control, risk minimization and ensuring the timely completion of the project. It helps to avoid financial difficulties and delays in construction.
Conclusion and Instructions for Using the Checklist
This checklist will become your reliable assistant in the process of creating a preliminary cost estimate for building a house. It covers all important aspects and possible expenses, which will allow you to analyse each stage of construction in detail. By using this tool you will be able to plan your financial resources more effectively, which will help to avoid unforeseen expenses and financial difficulties in the future.
Instructions for Using the Checklist:
- Familiarize yourself with the checklist. Go through all the points to understand the upcoming stages.
- Adapt it to your project. Make sure that all the points correspond to your plan and add the necessary details.
- Carry out the steps in the specified order. Follow the sequence of actions, marking completed tasks.
- Monitor quality. Compare completed work with the design documentation and the plan.
- Record the process. Keep all important documents at each stage (contracts, permits, certificates).
- Seek advice. If necessary, consult lawyers, architects or engineers.
- Regularly control the budget. Monitor expenses to avoid overspending.
By following these recommendations you will simplify the process and increase the likelihood of successful completion of construction.
