How my advance budget estimation, helped me to plan my home construction expenditure

Estimating the budget takes place in everyplace & every house for many purposes. But some time it is hectic who don’t have any knowledge in the field that they are going to estimate the budget. But if you want to save your money by not putting in irrelevant expenditures then you must estimate your budget previously .But for that you need certain guidance, which I am providing here. We are providing some tentative estimation which will help you to know how to calculate the budget for your home construction.

To calculate your budgetary requirement initially, use tentative estimates and then detail the requirements, item wise and work wise. However, actual estimates will depend on the design proposed by the engineer/ architect for your home and the prevailing cost of raw materials in the market.

Assume that you buy 1200 square feet of land at Rs. 800 square feet. The cost of the land is 1200x800=Rs. 9,60,000 . Consider that your house will have 200 square feet of open space and a total construction area of 1000 square feet. With the help of the table given below you can categorize the cost of the construction.

The table provides you a tentative estimate about buildings ground floor & duplex constructions. In this cost per square foot the finishes are also included such as quality of flooring ,type of windows & doors, type of paints, type of electrical work.

Now let’s calculate the cost of square foot construction for the area mentioned above. Suppose you want to build your house in economy category then the cost of construction for 1000 square feet would be 7 lac to 8 lac(excluding cost of land).

However the cost also depends upon design of building also.

After the whole amount of cost of construction we can also know that what will be the expenditure in different parts of construction process. This can be divided into 3 parts such as material cost, labour cost, &other expenditure. For distributing the total amount of cost there is a standard rule of ratio of material cost, labour cost & other expenditure is 60:30:10.Suppose you have made the budget of 800000 then you can distribute 4,20,000 for material cost,2,40,000 for labour cost,80,000 for other expenditure.

Again you can also find out  tentative estimate for  stage wise cost of construction. . This can help you plan your financial requirement during the entire period of construction.

Stage wise cost of construction :-

 I hope with this the readers can get some idea about how to estimate the budget .If this is helpful or not for your budget estimation then comment bellow.