How Much Does It Cost to Build a House in Toronto/GTA

Are you wondering how much it costs to build a house for yourself in Toronto? Here you can find your answer. This home construction cost guide covers the total cost of building a house in GTA, as well as the major steps of home building. Also, you can use our Simple Home Building Cost Calculator to obtain a sense of the total cost of building a new house.

First things first: Where does Our Data Come From?

Before diving into numbers, it’s important to understand where our cost estimates come from. We don’t just pull numbers from the air. Our figures are based on:

• Real project data from GTA residential construction in the last 24 months
• City of Toronto building permit and development charges
• Contractor pricing benchmarks across Toronto neighborhoods
• Our own firsthand experience building custom homes throughout the region

We’ve seen far too many clients caught off guard by unexpected construction costs due to a lack of transparency from their builders. At Odima Construction, we believe in clear, upfront communication, and this guide is designed to set realistic expectations and help you plan your budget with confidence.

What Costs Are Involved in Building a House?

Typically, excluding land cost, any construction project includes 2 types of costs:

• Hard Costs
• Soft Costs

1. Hard Cost of Building a House in Toronto/GTA

Are you wondering how much it costs to build a house in Toronto? You’ve come to the right place. This home construction cost guide outlines the total cost of building a house in the GTA and walks you through the major steps of the home building process.

You can also use our Simple Home Building Cost Calculator to get a clear estimate based on your specific project details.

Key components of hard construction costs include:

1. Land Development: Clearing, grading, excavation, drainage, and connecting utilities
2. Foundation Work: Concrete pour, footings, basement walls, waterproofing
3. Framing: Structural framework including wood or steel, joists, and trusses
4. Exterior Finishes: Roofing, siding, stone, brick, stucco, windows, and doors
5. Interior Rough-ins: Electrical, plumbing, HVAC, and insulation infrastructure
6. Interior Finishes: Drywall, flooring, cabinetry, countertops, painting, fixtures
7. Landscaping: Driveway installation, fences, decks, walkways, sod, and planting

Each of these categories contains all the labor, materials, and equipment needed to complete the home’s structure. For this guide, we focus on single-detached, wood-framed homes, the most common new construction style in Toronto.

Hard Cost Estimates for Building a House in Toronto (2025):

• Entry-Level Construction: Starting from $215 per square foot
• Mid-Range Quality (Most Common Builds): Approximately $260 per square foot
• Premium Custom Construction: Ranges from $300 to $360 per square foot

For instance, a mid-range 2,000 sq ft detached home in the GTA would result in an average hard construction cost of about $520,000.

High-End Custom Homes: For those building luxury residences with top-tier finishes, bespoke architectural details, and high-performance features, costs can reach or exceed $360 per square foot, bringing the total for a 2,000 sq ft build to around $720,000 or more.

These higher costs typically account for:

• Imported or high-end materials (e.g., engineered hardwood, marble, smart systems)
• Architectural complexity (curved walls, floor-to-ceiling windows, open-span structures)
• Sustainable/green features (solar panels, advanced HVAC, LEED certification)
• Custom-built cabinetry, built-in millwork, or designer-grade appliances

2. Soft Cost of Building a House in Toronto/GTA

In addition to hard costs, your project budget must include soft costs — the indirect but essential fees that make your construction legally compliant, professionally managed, and structurally sound.

When evaluating how much it costs to build a house in Toronto, these non-construction costs are often underestimated.

Examples of soft costs include:

1. Architectural Design & Drafting: Preliminary concept plans to permit-ready construction drawings
2. Engineering Services: Structural, mechanical, civil, and electrical engineering support
3. Surveying & Site Assessments: Boundary surveys, topographical maps, zoning compliance checks
4. Building Permits & Development Charges: Required by municipal authorities before any work begins
5. Legal Fees & Real Estate Agent Costs: Often involved in land purchase, closing, or legal registration
6. Insurance Coverage: Builder’s risk policies, liability insurance, and warranty plans
7. Construction Management Fees: Oversight of schedule, contractor coordination, compliance, and cost control
8. Government Taxes: Harmonized Sales Tax (HST), land transfer taxes, and other levies

Soft Cost Range in GTA: $40 to $80 per square foot

To be specific, the cost of building permits based on City of Toronto Development Charges is around $27,000 for a single-family detached. However, you should know, most of the houses in Toronto being built go to the Committee of Adjustment in Toronto for minor variances, which allows the owners to build bigger or higher buildings. Or in the case of investors, make the highest return on their investment. This will result in a much higher price for the building permit due to the extra documents needed which we can help you with!

Average Total Cost to Build a House in Toronto in 2025

Bringing hard and soft costs together:

Reminder: These figures exclude land acquisition, which can vary dramatically in Toronto, from $500,000 for an undersized lot in the suburbs to well over $2 million for a central, build-ready lot.

If you plan on building a fully customized home, also budget for:

• Premium appliances and finishes
• Smart home integration (lighting, HVAC, security)
• Backyard upgrades (pool, cabana, firepit)
• Interior design consultation or furnishings

These optional upgrades can substantially increase your final project cost, but they also significantly elevate lifestyle and resale value.

you can also read: Minimalist home design: 7 Tips to achieve a minimalist look

Major Steps in Toronto Home Building

The journey from concept to completed home involves several critical phases. Whether you’re working with a design-build firm or managing separate professionals, here’s what you can expect:

🏗️ Step-by-Step Guide to Building a House in Toronto

• Establish Your Budget: Include land, construction, soft costs, and contingency.
• Purchase a Lot: Perform due diligence (zoning, setbacks, soil, permits).
• Choose Your Construction Method: Stick-built, modular, or panelized.
• Hire Professionals: Engage an architect, engineer, and builder early.
• Develop Plans & Apply for Permits: Finalize blueprints and submit to the city.
• Secure Financing & Insurance: Obtain a mortgage, a construction loan, and builder’s risk coverage.
• Begin Site Work: Excavation, utilities, grading, and foundation pouring.
• Construct the Superstructure: Framing, roofing, windows, exterior cladding.
• Complete Interior Work: Insulation, drywall, mechanicals, flooring, finishes.
• Final Inspections & Occupancy: Schedule city inspections and obtain final sign-off.
• Close Permits & Move In: Register warranties, submit closing docs, and enjoy your new home!

Each of these steps involves sub-tasks, timelines, and coordination. Having experienced project managers and clear documentation can make or break your schedule and budget.

Building a house is a complex process. You put your heart and soul into it, and you have the right to expect it to be perfect. Starting your project with a group of seasoned and experienced experts who know this process will result in the best outcome. Contact us as a professional Custom Home Builder in Toronto with years of home-building experience in the GTA.

Toronto Home Building Cost Estimator

The above estimated cost is a preliminary estimation, and the cost to build a house includes a large number of components and variables depending on site location and condition, project size, design style, and construction materials. If you want to start a project or build a house, contact us and we will reach you soon.

You can also read Buying Land and Building a House Costs in Toronto

Read more about our services: Custom home builder in Toronto