Cost of Building a Custom Home in Maine

Building a custom home is a dream for many young people in the United States. While there are many pre-built homes on sale, certain people opt for acquiring a piece of land and building a custom-designed home because there are more perks to go with it.

As we will be focusing on the state of Maine, Custom Home Builders Maine is ready to guide you all the way from acquiring the best land for your specific requirements regarding the house to building and erecting your custom-designed house.


While the average cost of building a house in Maine is around $300,000, it is no surprise that many individuals may look for building a simple house to cut costs. Custom Home Builders Maine provides reasonable rates so that you also have the opportunity to build your perfect home.

What Is the Cost per Sq. Ft of Building a Custom House in Maine?

The cost per sq. ft varies from land to land in the Northeast and Southern parts of Maine. Every contractor will have a different price for every rural and urban location in Maine.

The average cost of building a house per sq. ft in Maine is about $150. Going with this rate, a 2000 sq. ft home will cost around $250,000 to $300,000 which is the perfect home for a family of 4 or five people.

On the other hand, the construction costs can be lower as well but a lot of negotiation and finding the right construction team will take time. However, the price goes up instantly when you approach a premium construction team. Their per sq. ft costs can go above $500.

Cost Factors for Building a House in Maine

Planning and Designing

This is the initial part of the whole building process. You will have to work together with your home designer to figure out the perfect floor plan to build your home. 

The house designer will then work with an architect and an engineer to see what kind of a house can be built on that specific piece of land.

The final blueprint will be presented to you with all the details about every process to make sure that you are happy with the final product.


Whether you already own the land or are looking to buy a piece of land for a house that you already have an idea of, the state of Maine has some beautiful prime locations.

The cost of land depends on some factors such as whether it is closer to the city or not, the location in regards to its scenery, and the facilities around that piece of land.

In regards to the facilities, you have to check if the location is in a good school district, how much transportation is needed to get into town, where is the nearest hospital, or supermarket, and so on.

Permit Process

Before starting any sort of construction in the United States, you have to apply for and get a permit to do that construction. This permit acts as an authorization by the local government.

The permit costs in the state of Maine vary from city to city but generally, the rate is anywhere between $1,000 to $5,000.

This permit is needed if you have to repair any interior or exterior part of the house and if you decide to sell your house, and in your taxes to show that you own this house and have constructed it with legal means and passing all formalities.

Cost of Labor

One of the major costs of building a custom house is the labor costs. 

If you decide to have a premium construction team with lots of credibility and years of experience, they will charge more. 

The labor costs vary on the design of the house itself as a multi-story house with plenty of rooms and other perks such as a basement, big backyard, and swimming pool will make the labor costs higher. But if you are building a simple house with a few rooms, a basic kitchen, and a driveway, the labor costs will be considerably lower.

It all depends on the type of house you are building and the construction team you are hiring. Generally speaking, the labor costs around 30 percent to 50 percent of the total construction costs. 

Cost of Materials

The cost of materials is also prominent in your total construction costs.

If you opt for premium construction materials, you would have the peace of mind that nothing will go wrong in the long run but it takes a toll on your wallet. 

So if you do not have a flexible budget, you have to go towards medium to low-quality materials. It is better to have a talk with your construction team manager and see what kind of materials lie within your budget.

Cost of Foundation

The foundation of your house or any other building is the backbone and main support for the entire building. If the foundation of your house is not sturdy, the whole house may not have structural support in case of an earthquake. 

Due to this, the foundation of your house can also be a major expense along with labor and material costs.

There are many types of foundations that you can opt for for your house. Each has varying costs as well. Having a basement is the most expensive while having a crawlspace is the cheapest.

Nevertheless, a basement provides many advantages as it is perfect for storage, a laundry room, an extra bedroom (if needed), and so on.

Cost of Utilities

During the construction of your house, utilities have to be installed. These include plumbing, electronic wiring, HVAC, and son. These are customary for each house but if you are looking for high-end materials, the cost of these will be higher than average. 

One of the main electrical utilities is whether or not you choose to install solar panels on your roof. Maine has sunshine for more than half of a year and the local government is keen for people to use solar energy and has even reduced the permit costs.

In the United States, solar-powered houses do have better resale value than conventionally powered houses. The installation, panels, and batteries to store the excess energy may put a huge effect on your wallet, it is better for the long run and gives you the inner satisfaction of being eco-friendly.

Interior Design

The cost of interior design depends on your preference. Some people might say that this expense should not be associated with the total house construction but in most cases, it should be associated as the house is not ready for use without it. 

The furniture, appliances, cabinets, closets, cupboards, tile floors or wooden floors, and paint are some of the interior design costs of a house.

These costs can be lowered if you bring some of the old furniture and appliances from your old house. Some people do opt for new stuff when moving into a new house but if your budget is not flexible, reusing the existing stuff will do wonders in lowering your expenses.

How Can You Acquire a Loan for Building a House in Maine?

To get a house building loan, you need to have a good credit score and viable means to ensure that you can repay the loan. 

Construction loans Maine depend on the type of house you are building and the amount of money you want to spend on the land and the construction of the house. When applying for a loan, you also need to make a down payment. This can be anywhere from 5 percent to 20 percent but it depends on the lender and the total amount of the loan.

Is It Better to Buy a Pre-Built House or Build One?

Many people ponder over the thought of either building a house from scratch or buying a pre-built house. While both have their pros and cons, there is no right answer as it depends on the person and their interests. 

It is often believed that pre-built homes are cheaper than custom designing and building a house. But the price of both initiatives depends on the location and the job market regarding labor and materials.

If the land and labor costs are cheaper in your specific area then building a house will be cheaper and preferred than buying a pre-built house. 

On the other hand, if the labor and land costs are significantly higher for your budget, your options are not narrowed to only opting for a pre-built home, you can still go forward with custom building your home by using cheaper materials or by acquiring a house building loan.


So it all depends on your preference on how you want to build your house, how many rooms it should have, how many floors, whether it should have a basement, and so on.

The total requirements of your custom home will reflect on the total construction cost of your house with the added labor and material costs. 

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