How Much Does It Cost to Build a 7-Story House?

With urbanization on the rise, there is an increasing demand for high-rise buildings to optimize land use. Seven-story buildings are a popular choice for families and businesses for mixed-use purposes, such as living and working spaces, offices, or mini-hotels. One of the primary concerns when considering a seven-story building is the construction cost.

Factors Affecting the Cost of Constructing a Seven-Story Building

The cost of constructing a seven-story building is not fixed and depends on various factors.

Building Area

The larger the area, the higher the construction cost. For instance, the cost of constructing seven stories with a floor area of 60m2 per floor is significantly lower than that of a building with a floor area of 100m2 per floor.

Location

Constructing a building in major cities like Hanoi or Ho Chi Minh City tends to be more expensive due to higher labor and material costs. Additionally, narrow frontages and small alleys can result in extra transportation costs.

Design Style

A seven-story building can be designed in various styles, ranging from modern and simple to intricate with decorative details, elevators, and central air conditioning. Each choice will significantly impact the total construction cost.

Building Materials

The choice of building materials, such as bricks, paint, stone cladding, and doors, can significantly affect the cost. Using mid-range or high-end materials can increase the cost by hundreds of millions to billions of VND.

Contractor

Each contractor will have different rates depending on their reputation, experience, and quality commitments.

How Much Does it Cost to Build a Seven-Story Building?

A commonly used formula to calculate construction costs is as follows:

Construction Cost = Floor Area x Construction Rate

The floor area refers to the total area of all floors, including the roof, basement, or pilotis (if any). The construction rate depends on whether the project is contracted as a complete construction or a rough construction.

Typically, construction costs are categorized into two types: rough construction + finishing labor, ranging from VND 3.5 to 4.2 million/m2, and complete construction, ranging from VND 5.5 to 8 million/m2.

For example, let’s consider a seven-story building with a floor area of 80m2 per floor, resulting in a total floor area of 560m2 (80m2 x 7). The area of the bored pile foundation is calculated as 70% of the floor area, resulting in 56m2. The roof area is 50% of the floor area, which is 40m2.

The total construction area is 656m2 (560m2 + 56m2 + 40m2). Using the rough construction + finishing labor rate of VND 4 million/m2, the estimated construction cost for the seven-story building is:

656 m2 x VND 4 million/m2 = VND 2.624 billion

Using the complete construction rate of VND 7 million/m2, the estimated cost is:

656 m2 x VND 7 million/m2 = VND 4.592 billion

In addition to the construction costs, homeowners should also budget for permit fees, architectural design fees, interior finishing, fire protection systems, elevators, security cameras, etc. These additional costs are mandatory for high-rise buildings and can amount to 10-20% of the total cost.

To optimize the budget, homeowners should opt for functional designs without excessive intricacies. Comparing quotes from multiple reputable contractors is advisable. Clear material cost estimates should be made to avoid unexpected increases during the construction process.