Coastal areas can also be much more expensive, Varas adds. The price varies more there because you have items like pilings and different impact windows and other items that ended up increasing costs.Factors that impact the cost of building a houseAs noted, the price range when it comes to building a new home can be expansive. Its extremely variable, Hartman agrees, explaining that build time, framing, location, and site preparation all play a role in the overall cost for new home construction. Though every project is unique, consider the following common circumstances that contribute to the total cost of a home.Land and site preparation costsDepending on where you plan to build, the land costin addition to the cost associated with its preparation and excavationcan vary. Every parcel is gonna have a different land price, Hartman says. Every excavation is going to have a different price because of the slope, because of where water is on the property, because of many different things. This is also the part that tends to be the most unknown and at risk for ballooning costs. The most uncertain, variable cost is site prep, Hartman explains, making proper planning that much more important.Permitting CostsBuilding permit fees are among the lesser costs when it comes to building a new home; however, they should still be considered. Generally, the price of permits ranges from $50$300 for smaller jobs such as plumbing or small upgrades, and goes up to $2,000 for major remodels and new construction, according to HomeGuide, a marketplace that connects homeowners and construction and maintenance professionals. Other permit costs include electrical permits, plumbing permits, and HVAC permits. The price of a permit generally varies by city or municipality.Material CostsBoth the quality and quantity of building materials will impact how much it costs to build a home. Assuming every other factor is the same, a bigger home with high-end materials will almost always cost more than one with a smaller floor plan and more humble finishes. When considering material costs, its important to consider both exterior finishes and interior finishes as well as installation costs should any item require specifically trained professionals.Labor CostsA lot of skilled professionals are needed when building a house from scratch. In addition to a general contractor, most projects will also include numerous subcontractors to perform specific tasks such as installing major systems like plumbing fixtures, HVAC system, and electrical wiring; finishing drywall; applying roofing and shingles; adding countertops and cabinetry; and even landscaping the new site.Location and regionAs previously explained, the location and region of a build can impact the total cost of construction. Land plots in desirable areas typically cost more in addition to costs associated with city or state building codes or permits. Sites that require more prep work or additional requirements, like in a coastal area, can also contribute to the end number.Other frequently asked questionsMost experts agree that planning is among the most important step when building a project.Photo: Dan Reynolds Photography/Getty Images