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Building a house with an economic system – what is it and how much does it cost?

The rising costs of construction services and the constant fluctuations in the prices of materials encourage more and more people to get involved in making their dreams of their own four corners come true. The choice of an economic system when building a house may therefore prove to be an attractive alternative to traditional cooperation with a general contractor. However, what should you know before using such an option?

 

Table of contents

What does building a house mean using the economic system?

The economic system is based on the fact that the investor independently organizes and supervises most or all construction works. It does not employ one general contractor who comprehensively manages the investment, but signs separate contracts with individual teams or performs some of the tasks on its own (both during construction in traditional technology and in the construction of prefabricated houses).

This method of carrying out work requires a good knowledge of the sequence of works, appropriate coordination of professionals and knowledge of construction regulations. Most often, investors take on responsibilities such as:

The main idea of building a house using the economic system is to be maximally involved in the entire process so as to have an impact on technical decisions, the choice of materials and the implementation schedule.

 

What are the benefits of self-managed construction?

Why do more and more people decide to build a house in the economic system? The most important reason is savings. There is a belief that in the economic system you can save from a few to even several dozen percent compared to construction carried out by a general contractor. The main reason is lower labour costs and the lack of additional mark-ups that each construction company must include in their valuation to cover their own fixed costs and margin.

For many people, control is also convincing. The investor selects construction teams, electricians or plumbers based on their experience and references. It is not doomed to subcontractors appointed by the general contractor. This allows you to match professionals to specific requirements.

And if during the implementation it turns out that it is worth changing the type of insulation, adding additional elements of acoustic insulation or investing in modern ventilation systems, the decision is up to the investor. You don’t have to impose all the solutions in advance and wait for the contractor’s approval – you can smoothly make modifications, as long as they comply with the building regulations and the permit.

 

cost of building a house with an economic system

 

What challenges await the investor in the economic system?

Before deciding to build a house in the economic system, you also need to be aware of the challenges. Managing the construction on your own means that it is the investor who has to take care of every detail. Taking care of orders, delivery dates, negotiations with teams, technical acceptances – everything requires commitment. In the event of possible errors, it is difficult to shift the responsibility to the main contractor, because it is the investor who decides who and when will perform a given work.

It is worth adding that the economic system is particularly difficult for people who do not have a solid foundation in the field of construction technology, standards or construction law. It is necessary to have at least a basic understanding of issues such as the types of foundations (strip footings, foundation slab), methods of wall masonry, methods of damp insulation or the predictable consequences of using specific materials.

In addition, finding good specialists who really know their profession has become quite a challenge in recent years. The situation is also complicated by the seasonality of the industry – spring and summer are the period of the highest demand for construction services, which affects the availability of teams and the amount of rates.

 

The cost of building a house with an economic system

An attempt to accurately estimate the cost of building a house in the economic system requires taking into account many factors. Approximating the average cost of building a house is not easy, because the final price depends on the architectural design, region, selected materials, labor prices and individual arrangements with the brigades. Nevertheless, it is estimated that construction in this system brings about 10-20% savings.

When it comes to costs, however, you should be aware of the relationship between building a house, the economic system and the tax office. Although a private home investment is not a business activity in the strict sense, tax authorities can monitor financial movements related to the purchase of materials, construction services or rental of equipment. When conducting construction in the economic system, it is therefore worth remembering to collect all purchase documents:

 

Building a house with an economic system – summary

Building a house with an economic system is a solution designed for people who want to take full control over the investment process and, as a result, save on costs. At the same time, it requires solid technical knowledge, good organization and the ability to manage several teams at the same time. For many people, however, it is the perfect way to their own four corners – it gives a sense of satisfaction, control over expenses and the opportunity to understand more deeply how a house is built.

 

See also: how to obtain financing for building a house?