residential architectural fees

What to expect…

One of the first questions we are asked by potential residential clients is, “how much do you charge to design a house, and what do I get for it?”.

That’s a simple and appropriate question, that leads to a complicated answer, but I’d like to start by addressing the fees related to buying or selling a home.

I want to encourage all of my real estate friends to take a breath. Nobody in our office is questioning the fees you charge for your services. There is a lot involved in marketing a home, helping with advice and staging, assisting clients in finding the perfect home for them, sometimes trying to find a middle ground between opposing ideas, and you work odd hours trying to make those dreams a reality. We get it, it’s work, it’s a lot like what we do.

Having said that, the national average for real estate commissions is roughly 5-6% of the SALE PRICE of a home. Yes, I bolded “sale price”. We’ll get there in a minute. In Ozaukee County, the average new home price is hovering around $550,000-650,000. The commission on the sale of that home (normally split between a seller agent and a buyer agent) would be roughly $33,000.

“So how much do you charge?”
Generally we split our work into two phases, Schematic Design and Construction Drawings. Schematic Design is the process where we sit down and talk about your dreams. Hopefully you have a plot of land you are ready to build on. We’ll take a trip out to the site with you to look at the views, contours of the land and things like prevailing winds and existing vegetation. We talk about how you live, what your family looks like, and what your individual style is. What is your favorite piece of furniture? Sometimes we work as a mediator between partners to try and arrive at solutions that are compromises between “wants” and “needs”. We develop plans, elevations and sometimes 3D exterior models so you can get as real an idea as possible of what you’re going to get. Is the home to be designed to accommodate ADA requirements? Do you plan on aging in place? As you can imagine, it becomes difficult to determine ahead of time how long this process is going to take and as such determining a fee for this part of the process can be challenging.

The second phase of our work is when we create drawings that tell the contractor exactly how to build your dream. Details are important, and this is when we get down to the nitty gritty. Finishes, casework, ceiling details, hardware selections, bathroom fixtures, all of these have to be determined to make sure everything ties together well and feels cohesive and represents YOU.

“Okay, stop beating around the bush, what do you charg
A simple way to look at it is a per sq. ft. cost. For a simple design, when you have a plan you like, you just need some minor changes, and your builder just needs a permittable set, figure around $6-8 per square foot. If you need us to design your home from scratch, but your needs and design requirements are relatively simple, the cost could be somewhere between $9 to $20 per square foot. You want a bowling alley in your basement? Okay, that will cost a little more for us to design and detail. When the design is more complex, you don’t really have a starting point, and have very specific needs, fees could be $20 or more per square foot. Remember, as your needs and expectations rise so do our fees, and this is just an estimate.

“I can buy plans online.”
Yes, you can. Are you certain that the setbacks are met with that design? What about HOA or community standards? Does your town require an Architectural review? Are you sure the design meets those requirements? Is your lot flat? Online plan services are extremely generic and in our experience sometimes aren’t completely thought out. Online plan services certainly have their place, but this is potentially the biggest investment you’ll ever make. Are you willing to settle for fast food, or do you want your meal prepared just the way you want it?

“Where’s the value?”
Let’s talk Realtor fees for the property. At 5.5%, a $650,000 home probably is going to cost about $36,000 in Realtor fees (enjoy that edible arrangement they leave for you in the kitchen). The Construction Price is generally lower than Sale Price, or contractors would go out of business. Again, Realtors base their fee on the SALE PRICE, our fee is based on projected CONSTRUCTION COST.

Let that sink in…

The Architect, who is designing your home, making it your special place and preparing a set of drawings specific to your home, is likely going to cost LESS than the Realtor who is going to sell the home. Again, Realtors earn their fees, they work hard, so do we. In fact, we completed our Bachelor of Architecture at University, then completed a monitored and tracked 2 year internship after graduation, and finally sat for exams consisting of 6 different tests just to gain the privilege to use the term “Architect”.

“Are your fees negotiable?”
Sure. Everything is negotiable, but remember it all relates back to level of service. Do you have a plan that you like, but need some tweaks? That goes a long (long) way toward lowering your costs. Do you have a builder you trust to “get the details right”, and you just need a permittable set of drawings? Again, this would likely mean a reduced level of service, and a reduced fee. Do you want help with everything in the home from cabinet pulls to door knobs, finishes and casework, to a dedicated home theater and a “spa like” bathroom? All of that takes work and planning. Plan on paying a little more as your expectations rise.

“Bottom line?”
Bottom line is, come talk to us. Bring as much information as you can to give us an idea of what you need. We don’t charge for an initial meeting, AND we’ll make you a relatively decent cup of coffee (I’ve been told not to oversell the coffee). Give us a call. Let’s talk!