How much does it cost to build a house in 2026? A realistic guide

It is always the first question, and understandably so. Before imagining spaces, materials or finishes, people want to know whether the project is financially sustainable. The problem is that the honest answer is: it depends. That is not an evasive response; it is the reality of an industry with many variables, where oversimplification can be costly.

What we can do is explain what construction costs depend on, identify the main cost items and show how to distinguish a serious quotation from one that conceals future surprises.

Cost per square metre: a figure that needs context

When discussing construction costs, the most common reference is the cost per square metre. In 2026, a realistic range for a medium-to-high-end residential building is between €1,500 and €2,500 per gross square metre, including the structure, building envelope and systems, but generally excluding the cost of the land and premium finishes.

This broad range reflects differences in the construction system, geographical area, required energy performance and architectural complexity of the project. A precise figure means nothing without knowing these variables, and a quotation that falls well below this range should always be examined carefully.

The factors with the greatest impact

The construction system. Not all construction methods cost the same. Traditional reinforced concrete has well-established costs, but also long schedules and high variability. Industrialised steel systems often have a similar or slightly higher structural cost, but significantly shorter on-site times. This lowers indirect costs, reduces the risk of unexpected events and delivers more consistent construction quality.

Energy performance. An NZEB (Nearly Zero Energy Building), now mandatory for new buildings, requires greater investment in the envelope and systems than a standard building. However, part of the additional cost is recovered over time through significantly lower energy bills. Looking only at construction cost without considering future running costs is a common mistake.

Project complexity. The more complex the floor plan—with projections, recesses and complicated roof forms—the higher the cost for the same floor area. A simple, regular layout is always less expensive to build.

Ground conditions and foundations. The type of ground affects both the type and cost of the foundations. A preliminary geotechnical investigation is a modest expense that can prevent major surprises.

Finishes. Finishes affect the final cost in a non-linear way: moving from a medium to a high specification can add between €200 and €500 per square metre, depending on the choices made.

Costs that are often left out of quotations

One of the most common causes of a gap between the initial quotation and the final cost is the omission of certain items from the original cost estimate. The most common are:

urbanisation charges and construction contributions, which vary by municipality but can amount to between €10,000 and €40,000; preliminary surveys and investigations (topographical and geotechnical); design, site supervision and administrative costs; connections to utility networks (water, gas, electricity and sewerage); and external works (fencing, paving and landscaping).

A quotation that does not include these items is not a complete quotation.

Lump-sum or unit-price quotation: which should you choose?

A unit-price quotation lists the quantities for each type of work and calculates payment according to the amount actually completed. It may appear more transparent, but it transfers the risk of quantity changes during construction to the client.

A lump-sum quotation sets a fixed price for a clearly defined result: if costs increase, the risk remains with the contractor. For clients who want to avoid surprises, it is the most protective contractual arrangement—provided the accompanying specifications are sufficiently detailed.

How to read a quotation

A serious quotation specifies the materials, systems, work activities and schedules. A vague quotation containing generic items such as “building works” without further detail leaves ample room for later additions.

Before signing, it is worth asking: what happens if costs increase? What is included and what is not? Under what conditions may changes be introduced?

RevoSteel works with lump-sum quotations and detailed specifications: the agreed price is the final price, with no items left to be defined during construction. Before work begins, clients know exactly how much their house will cost, and that figure does not change.

Use the RevoSteel configurator to obtain an initial personalised estimate for your project.