How Much Does It Cost To Build A House In Alaska?

In North America, in the Northwest extreme of the Western United States, Alaska is located. Alaska has many famous locations such as: Kenai Fjords National Park, Denali National Park, the Alaska Highway, the Alaska Native Heritage Center, Tracy Arm Fjords, and the Alaska Museum of the North.

Although the crime rate in Alaska is a bit high, the government is still controlling it.

The cost of living is more expensive than the United States and the national average. But some cities in Alaska have an affordable cost of living and a better lifestyle.

The city is less expensive than Manhattan, San Francisco, and Honolulu. You don’t have to pay any state income taxes in Alaska. The local tax burden and the total state on Alaska, including property, income, excise taxes, and sales taxes, are low. It is just 5.20% of personal income.

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Estimated cost to build a house in Alaska

Depending upon the construction grade, $125 to $285 per square foot can be the cost of building a house there. The cost doesn’t include the land cost.

This article provides you with an approximate price to build a house in Alaska, taking feedback from local people and reputable home builders then offer you.

As per the standard grade of construction, the cost of building a house – is $125 to $185 per square foot
As per the premium grade of building, the cost of building a house – is $180 to $235 per square foot
As per the luxury grade of building, building a house – is $230 to $285 per square foot.

Hiring a Housebuilder In Alaska Costs

You should consult and hire a home builder before the construction starts in Alaska. You can’t figure out all the cost-affecting factors, and you can’t calculate the total budget alone.

In this case, an experienced builder can help you and provide you with a general idea. According to a survey of 2021-22, $16,500 to $137,500 can be the cost to remodel a house, majorly in Alaska.

The quote of home builders to build a house in Alaska includes –

To make an addition, the average labor cost is included
Equipment cost and the average price of materials
All prices of the project (components, surface preparation, and machinery)

Cleanup fees

The costs which are not included –

Any permit fees for the project

Sales taxes of Supplies and materials
Fees of any general contractors can be between $9,250 to $11,500

An Approximate Cost to build a house in Alaska

As per municipal data, If you choose to buy an existing house in Alaska, you have to spend around $370,000 or more, but if you are interested in building a new home, the expenses may go up to $576,000 or more. To build a ranch house, the national average cost could be between $198,000 to $629,000.

For building a 1,700 square foot house, you have to spend around $343,000 or more. The house includes 3 bedrooms, a garage, and a patio. You have to pay approximately $400,800 to build a 2,000 square foot house. The material cost to build a house can be around $5 to $10 per square foot.

Cost to Build Mid-rise, high-rise, and commercial Buildings in Alaska

$90 to $220 per square foot can be the cost to build an apartment complex in Alaska, and $135 can be the average national cost for contractors. $470 to $580 can be the average cost for building a mid-rise building.

High-rise buildings are more expensive, from $580 to $700 per square foot. $380 per square foot can be the cost to build a commercial office with a single story on the high-end.

Types of houses in Alaska and their cost

You can buy or build four types of houses in Alaska.

Those are – a townhouse, a rancher, a condo, or a split level.

Depending upon the type of house you choose to build, the price varies.

As per the data, $323,150 was the highest cost of a median house. On the other hand, you can buy a house in Anchorage by spending about $294,000, and the price of a home in the Fairbanks area is bout $221,900 approximately.

Factors That Can influence The Cost To Build A House in Alaska

It is most important to hire a home builder who can advise you on many things about the construction and provide you with the estimated budget considering various factors that can influence the budget widely.

The cost varies based on lot configuration, grade of construction, material quality, and your desired type of work. Here are some cost-affecting factors –

Depending upon the number of stories, the cost varies.
If the roof is simple, the cost is on the lower side, and if the roof is complex with valleys and ridges, the cost is at the high end.
If you want to add a pool, deck, or patio to your house, it will cost you high.

The cost will decrease if a significant backlog is available with the local builder.
The quality of material, property location, and finishing significantly impact the cost.
Besides these factors, pulling permits, additional land charges, site cleanup, soil improvement, complex foundations, appliances, furniture, and design also play significant cost-affecting roles.

Conclusion

If you are a house owner and build a house in Alaska for a living, building a home is allowed every two years. But if you make a house for resale and build more than one house every one or two years, you have to grant a residential endorsement license as a general contractor.

If you have a sufficient budget to build a house, you don’t have to worry about the location, design, or material cost. But if you have a limited short budget, you should consider land far from the famous area. In this way, you can save a lot because the land cost is the major expense of a whole building project.