What kind of gross margins can a custom home builder expect to earn?
Question:Ex. A home sells for $500,000, lot was $100,000, what did it cost to construct the home? Assuming it is approximately 3200 square feet, nice amenities such as granite countertops, crown molding, ceramic tile, etc.
Answers:
From my experiences, a builder will mark-up around 10% of the price.
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