The Cheapest Ways To Build A House Yourself: From Type To Material

Breyden Kellam

7 - Minute Read

UPDATED: May 22, 2024

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Maybe you’ve always dreamed of building your own house from the ground up. You’ve imagined what home style you’d like and the materials you’d use. You’ve even gone so far as to envision which interior design and decor would transform your house into a home. But when considering how expensive it can be to build a house yourself, you may have quickly snapped back to reality.

Building a house of your own can indeed be expensive. But does this mean you should ditch your dream of building a home? Not quite. There are many realistic, cost-effective ways to build a house yourself.

Keep reading to learn about the cheapest ways to build a house. By the time you’re done, you’ll feel ready to stop dreaming and start building a home of your own.

What Is The Cheapest Way To Build A House?

It’s no secret that the cost of buying a home has increased significantly, leaving prospective home buyers with fewer affordable housing options. Furthermore, rising prices have led to a national shortage of starter homes.

This means even fewer options for those who dream of settling into a cozy abode, rather than something more extravagant. Given the less-than-ideal current home buying situation, more aspiring homeowners are now opting to build their own house.

A few factors to keep in mind that will help you keep costs low are:

  • Purchase cost-effective land with established amenities.
  • Choose a simple floor plan.
  • Only build what you need (smaller homes are typically cheaper to build).
  • Use high-quality, but affordable materials.
  • Determine what needs to be done and if they can be do-it-yourself (DIY) projects.
  • Work with licensed professionals.
  • Get your plans approved by the city or county.
  • Install eco-friendly and energy-efficient systems such as solar panels.

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Cheaper Types Of Houses To Build

Many different housing options are available to build new at an affordable price compared to a traditional home. The costs will vary depending on your location and the materials required. Here are some of the least expensive types of homes that are easy to build.

Tiny Homes

Tiny homes have quickly grown in popularity as an affordable and sustainable way of homeownership. They are usually less than 400 square feet in size which helps speed up construction while keeping the cost affordable. They also can be built on wheels to transport the home to other locations.

However, you typically can’t get a mortgage for this type of home, so you’ll probably have to find alternative financing options.

Shipping Container Homes

Shipping container homes are cost-effective, eco-friendly homes that reduce waste by being built from old shipping containers. These homes include a flat metal roof, exterior walls and a sturdy metal frame that can serve as a foundation.

Using the preexisting structure can save money on labor and materials, while also making it quicker to build. Some of the simplest designs can be constructed within days.

Ranch-Style Homes

Ranch-style homes are single-story structures that usually include an attached garage. These types of homes offer many types of interior designs with a flexible floor plan. This type of home must stay on the smaller side to be less costly, as building out across your property tends to be more expensive than building up a story.

Prefabricated (Prefab) Homes

Prefabricated homes (also called prefab homes) are homes that get delivered to your property as a kit and are assembled on-site. Because everything for the construction stays together, you can save money compared to buying individual materials.

One type of permanent prefab home is a modular home. This type of home is constructed on-site in modular units, while manufactured homes or mobile homes are built then transported in sections to the property.

Barndominiums

A barndominium combines a barn and a condominium into a low-maintenance, single-family structure. It is a converted barn made of metal with vaulted ceilings. They typically come in prefab kits, but you must prepare the concrete slab and design the interior.

This type of home also requires alternative financing.

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Low-Cost Materials To Build A House With

There’s a vast array of options in building materials, but some are cheaper than others per square foot. For this reason, if you’re looking for the cheapest way to build a house yourself, using inexpensive materials can be a great help.

Below we’ve listed some of the best, cost-effective building materials.

1. Prefab Panels

A prefabricated or “prefab” panel can be a fabulous way to build your own home on a budget. Prefab panels are built off-site, piece by piece, and then shipped to you – ready for assembly. They are commonly made of wood, steel or concrete.

Since easy installation means fewer workers and it requires less skill, choosing to use prefab panels can save you money on labor costs. However, if you’d like to put your skills to the test, there are also DIY home kits that you can purchase and build yourself.

All in all, building a prefab home could be a great choice. In addition to easy installation and low costs, prefab homes are often more eco-friendly as using premade pieces prevents material waste. Additionally, due to their modest size and enclosed design, prefab homes are usually more energy-efficient.

Not to mention, the build time is typically much faster than standard, stick-built houses while still being able to be customized in the same way.

2. Precast Concrete

While building with concrete can create a durable structure that’s both fire-resistant and waterproof, it’s also rather expensive. However, precast concrete sheets can give you the best of both worlds – being more budget-friendly while still secure, fireproof, insulated and weatherproof.

3. Reclaimed Wood

Unlike fresh lumber that must be cut down from a forest, reclaimed wood is often repurposed from old barns, shipping crates, boats and other wooden structures that are no longer in use.

Using reclaimed wood to build a house could be both an economic and environmental choice. You may be able to obtain discarded wood for free online or, with permission, at construction sites. In doing so, you will likely save money on materials and help to conserve precious natural resources. Not to mention, using reclaimed wood can give your newly constructed home both a unique look and history.

4. Bamboo

If you’re looking for another budget-friendly option, bamboo might be a great choice for you. Since it grows faster than trees, bamboo is generally lower in price than wood. Bamboo is also versatile – suited for framing, roofing, flooring and fencing. In this way, you can get plenty of bamboo for your buck!

Moreover, building with bamboo makes for an eco-friendly home. It is sustainable as it is a fast-growing, self-regenerative plant. Due to this, bamboo doesn’t require much to flourish and is a durable material for constructing a home.

5. Bricks

Bricks often get the reputation of being a high-end building material. However, there are ways to achieve a classic brick house look without breaking the bank. Pricing ultimately comes down to brick type. Building a home with solid brick will cost you $14 – $30 per square foot. However, brick siding – a freestanding brick wall on an exterior wood frame – typically ranges from $6 – $15 per square foot.

There are also other budget-friendly ways to obtain brick. For example, you can find salvaged brick online and at construction or demolition sites. You might even consider making your own bricks, but this could be time-consuming.

While buying or making bricks is fairly inexpensive, keep in mind that this construction method is labor-intensive. This could mean high labor costs if you decide to hire a contractor to build your home.

6. Cob

While cob homes are relatively unheard of in many areas, these sturdy, sustainable structures date back some 10,000 years. Cob – a mixture of clay, sand and straw – is a budget-friendly material that can form the walls and foundation of a house. Being a soil-based building material, cob affords much flexibility in design; it is even possible to make bricks and stack them up to create a solid foundation.

Given its low material cost and durability, a cob home could be a viable option for you. However, cob construction may not be allowed in some areas. For this reason, it is always best to consult your local real estate regulations before moving forward with any building plans.

7. Ecobricks

While we’ve already considered some eco-friendly building materials, ecobricks just might be the most unique. Ecobricks are plastic bottles packed with plastic waste to create bricks. Loose plastic in the biosphere poses great harm to humans, animals and our planet. Building your own home with ecobricks could be a great way to reduce pollution.

Not only are ecobricks a green option, but this method is also cheaper than others while being just as durable. While this construction method is less common, it is now becoming a popular choice among eco-conscious homeowners.

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Is It Cheaper To Build A House Or Buy?

In general, it’s cheaper to buy a house than to build one from scratch. Different factors can contribute to the total costs depending on the location, type of home you’re considering and any extra expenses, such as preparing landscaping. Preowned homes almost always come with essential amenities and are ready to be lived in.

On the other hand, the average cost to build a home may be $310,562, with a typical range between $119,707 – $502,809. This can fluctuate if there is a labor shortage and due to the rising costs of building materials.

Another affordable option to consider is purchasing a fixer-upper and putting in sweat equity to raise the home value and make it your own. By staying conscious of overall costs and the current housing market trends, you might end up paying the same amount or less if you built a house rather than buying an existing property.

The Bottom Line: The Cheapest Home Build Can Be Made With Less Labor And Less Costly Materials

Building a house yourself can save you money while giving you the freedom to customize it. It can also be a rewarding feeling to bask in the newness of a space that is entirely your own. By using inexpensive building materials and a budget-friendly floor plan, you could be well on your way to building your own beautiful home.

Before embarking on any home venture, make sure to fully consider all your options. If you’re ready to start your new house build, obtain financing and find land, connect with a Verified Partner Agent from Rocket HomesSM today.
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Breyden Kellam

Breyden Kellam is a writer covering topics on homeownership, finance, lifestyle and more. She is a graduate of the University of Michigan with a Bachelor of Arts degree in English. With a deep love for all things literary, Breyden is passionate about using her words to touch hearts and positively impact lives.