Breaking Down Construction Costs in Fort Worth: What to Expect in 2025?

Whether you’re a builder or an investor, property construction of any kind in the US is not an easy task. Especially when you’re in the city of Fort Worth. It requires careful planning of both visible and hidden costs.

Not to mention, it also raises questions on whether you should build a property or just buy an existing one to avoid all the headaches.

With that said, let’s dive into this article and break down all the cost-related concerns when comes to property construction in Fort Worth.

Key Construction Cost Factors in Fort Worth

Construction cost in general is influenced by various factors. Such as the bill of materials(BoM), labor availability, regulatory requirements, land acquisition costs, etc. All these add to the total budget of a project.

Let me explain.

1. Material Prices

The cost of essential materials such as lumber, steel, concrete, and insulation has fluctuated due to supply chain issues, rising fuel costs, and global demand.

However, there’s a silver lining. Reports suggest some stability is expected in 2025 despite the ongoing tariffs.

Material cost breakdown in Fort Worth:

Material Type	Estimated Cost per Square Foot
Framing Materials	$5.77
Exterior Paint	$3.00
Insulation	$2.36
Windows & Doors	$4.50
Flooring Materials	$3.78
Cabinets & Countertops	$6.61
Plumbing Fixtures	$13.50

2. Labor Costs

The demand for skilled labor remains high in Fort Worth which leads to increased wages. With ongoing workforce shortages in the construction industry, hiring experienced workers will continue to be costly.

Here’s how labor cost looks in Fort Worth:

Profession	Average Hourly Rate
Flooring Installers	$24.11
Roofers	$24.11
Painters	$24.11
Brick Masons	$24.11
Landscapers	$24.11
General Contractors	$52.00
Plumbers	$24.11
Carpenters	$24.11
Structural Engineers	$46.51
Electricians	$24.11

Source: Zip Recruiter

3. Regulatory and Permit Fees

Fort Worth has stringent building codes and permitting requirements that can add thousands of dollars to the final cost.

For example, a recent commercial development in downtown Fort Worth required over $50,000 in permit fees and environmental assessments before breaking ground. (Source: Fort Worth Texas Gov)

These include building permits, HVAC permits, electrical permits, plumbing permits, etc.

4. Land Prices

The cost of land varies based on location. Usually, the urban areas command higher prices compared to suburban or rural locations.

Nonetheless, the average price per acre in Texas is $30,800.

Average Construction Costs per Square Foot in Fort Worth

The cost per square foot provides a useful benchmark for estimating total construction expenses. These costs differ based on the type of property being built.

For example:

Building Type	Cost per Square Foot
Residential (Basic)	$100 – $200
Residential (Luxury)	$150 – $500
Commercial	$150-$700

To be frank, commercial construction pricing varies significantly based on building type, design complexity, and intended use.

Estimation of Multifamily & Commercial Construction Costs in Fort Worth

Multifamily and commercial construction projects are more complex than single-family homes. Hence, they require higher investments in design, engineering, and materials.

Multifamily Construction: Costs depend on the number of units, amenities, and building height.

A Multifamily house may cost between $120 and $200 per square foot. On the flip side, high-rises can exceed $300 per square foot.

Commercial Construction: Retail spaces, office buildings, and industrial warehouses all have different pricing structures.

On average, office buildings cost between $150 and $300 per square foot. Warehouse construction can be lower, around $100 to $150 per square foot.

Should You Build or Buy A House in Fort Worth?

From a strictly monetary standpoint, it’s cheaper to buy a new, finished house than to build one in Fort Worth.

Based on our listed estimates, it’d cost you around $300,000 to $450,000 to build a new home. On the other hand, the average property price in Fort Worth, TX, is around $298,372.

Another noteworthy advantage of buying a house instead of building is time. On average, it’d take around 6 to 9 months to fully complete construction. Meanwhile, you can easily find a suitable property on-sale within 1 or 2 months of searching.

However, there’s a catch.

You won’t be able to fully customize the house based on your needs and the overall finish might not suit your needs.

And if you’re buying an old house, you’d also need to know if the previous owner made any repairs to calculate the actual price.

Additional/Hidden Construction Costs to Consider

Many developers and homeowners overlook hidden or indirect costs that can significantly impact the budget.

And that’s not all!

These hidden costs can even change the decision on whether to buy a house or build a custom one. Here’s how:

1. Repair and Regular Monitoring

Even after construction is completed, ongoing maintenance and monitoring are necessary to preserve the property’s value. Some costs to anticipate include:

HVAC Maintenance: Ensures efficiency and prolongs system lifespan.
Roof and Structural Repairs: Preventative maintenance can prevent expensive replacements.
Pest Control and Landscaping: Essential for property upkeep.

2. Soft Costs

Soft costs refer to non-construction-related expenses Such as:

Architectural and Engineering Fees: Design costs can range from 5-15% of the total project cost.
Taxation: Property taxes vary based on the property type and their purpose.

3. Utility Connections

Utility installation costs can be substantial, especially if the site lacks pre-existing connections. This includes:

Water and sewer hookups.
Electrical and gas line installation.
Internet and telecommunications setup.

4. Site Regulation

Before construction begins, land preparation and site regulation compliance must be addressed. For example:

Land Clearing and Grading: Costs depend on the site’s existing conditions.
Environmental Assessments: Necessary for large projects or environmentally sensitive areas.
Stormwater Management and Drainage Systems: Required for flood-prone areas.

Conclusion

Whether you want to buy a property or make your own home, informed decision-making is a must. The same goes for homeowners and investors alike.

Proper budgeting, planning for contingencies, and understanding all potential costs is a guaranteed way of making the construction process smooth. And I hope this write-up has provided all the information in that regard.