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

When you consider the cost of building a house, there are thousands of variables to consider. The geographical location also has an impact on determining the cost. So, today’s concentration is only on how much does it cost to build a house in Minnesota.

Building a house in Minnesota can cost you anywhere between $90 and $300 per square foot. The range is wide because a lot of factors affect the price, including which service provider you’re going for.

To understand the calculation better, make sure to read the whole article.

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

How Much Does It Cost To Build A House In Minnesota

Different sources may tell you different rates of building a house in Minnesota. The reason behind this variation is that the cost depends on how large the house is, who your service provider is, and what you want in your house.

For instance, a two-story building will require a different rate than a base one. There are also variations in building the base, depending on whether you want a finished base or an unfinished one.

The table below provides an estimated value of how much it can cost to build a house, depending on your preference.

Type Of HouseBuilding Cost
Standard Grade Construction$110 to $160 per sq ft
Premium Grade Construction$160 to $200 per sq ft
Luxury Grade Construction$200 to $250 per sq ft

Related: Cost To Build A 100 000 Sq Ft Warehouse?

Note that the costs mentioned above do not cover the cost of land and site work. This is a rough estimation of building the house.

Factors Affecting The Price Of Building A House In Minnesota

If you want to save money on building your house, it’s essential that you identify what affects the cost. This way, you can eliminate unnecessary costs and only invest the amount that’s mandatory. So, let’s get to it without any further ado.   


The larger your house, the bigger the cost. However, you will be surprised to know that the price only increases incrementally. You would think that the additional costs would be higher with a bigger house. But in reality, it costs almost as same as building a smaller house.

Let’s assume that you’re building two separate two-story buildings. One of them is 2500 sq ft in size and another one is 3200 sq ft. The garage and the furnace will be the same size for both houses.

The water heater will not change either. So, as you can see, the significant expenses are about the same. Initially, this was a frustrating calculation to do for homeowners. If a smaller house costs the same as building a bigger house, it can be a bit hard to digest.


Building a one-story building is way cheaper than building a two-story building. The latter requires a more complex structure and the cost will vary for the base and the upper-level construction.

The base may also differ depending on whether you’re going for a one-story building or a two-story building. Let’s look at an example to get a better idea about the cost. Presuming that you are building a 2400 sq ft two-story building that features an unfinished basement, the calculation will be as follows.

1200 x $300 = $360,000

1200 x $150 = $180,000

Total Cost = $540,000


Believe it or not, the roof can play a significant role in determining the cost of building a house. If you want a simple roof with no complexity whatsoever, you can expect to get a lower price for the construction. This applies to most service providers in Minnesota.

On the contrary, if you’re going for a roof with complex ridges and valleys instead of a simpler hip or gable roof, the cost will increase. Many people don’t consider this as an aspect of calculating the cost.


Some locations are low-cost compared to others. This means that if your property is located in one of those areas, you will get a lower rate compared to the others. To ensure that you’re getting the best possible rate, make sure to explore your options.

Ask around whether the price you’re offered is common in that area or not. If you can get service from a reference, you may get a discounted price and save some money on the deal.

Note that if there’s a crisis of workers, you may have to pay a higher rate compared to other times. That means you can’t expect the same rate throughout the year. The cost will vary depending on the economic state of the area.

Another issue that needs attention is how strict the regulation is. If your local area has strict regulations for building a house, the cost will increase for obvious reasons. Make sure to sort it out with your service provider so that you don’t stumble upon any hidden charges later.


As you can imagine, the more details you add to your house, the higher the cost. For instance, going for a deck or patio will significantly increase the cost. Basic customization can also increase the per square cost of building a house in Minnesota.


Material cost impacts the overall cost of building the house. If you go for high-end materials, the overall price will certainly go up from an average estimation. In comparison, the cost will be significantly lower if you go for standard building materials.

Sometimes people demand specific materials that are not even available around the area. That also adds to the cost of building.


I’ve talked about the location already. But the property itself requires some extra attention. If the lot you are using is in good shape, the cost will get reduced. The reason behind this is that a good shape is easy to build a house on.

On the contrary, some lands are odd in shape and difficult to construct a building on. In these lands, the cost may rise significantly.

What’s Included

If you want extra amenities to be constructed inside the house, the cost will be higher. Most of the time, the cost is calculated with heating, plumbing, kitchen cabinets, etc. However, if you want to add something that’s not usually included in the deal, the cost will certainly be higher for each square foot.

Step-By-Step Timeline For Building A House

If you don’t know where to get started, the tutorial below will help you set your activities in a timeline. Following it will facilitate the procedure and make your work smoother.


If you don’t own land already, the first thing to do is to get land for your house. If we are considering the statistics of Minnesota in 2020, the average price for one-acre land is around $4,840. This, of course, varies depending on the location of the land.

Take your time while choosing the land. Building a house is a permanent decision that you can’t change easily. So, search for suitable lands, and compare the prices before buying one.


Make sure that you have a permit for building the home. Some specific work may require a permit from the local authority. The best thing to do is to get these things clear so that you can avoid any legal issues.

Note that you will have to pay a fee for the permit and paperwork. This adds up to the cost of building a house.

Site Preparation

Be ready to spend around $3,000 for site preparation. This is an average estimation that can vary depending on your land. The density of the foliage is one thing to contribute to the cost of site preparation.

Some lands can cost up to three times more than the average estimation. Another thing that adds an extra cost is utility.

Foundation And Frame

Depending on what type of foundation you’re going for, the cost will vary. You can either go for a concrete slab-on-grade foundation or a basement one. The latter comparatively costs more.

Framing, on the other hand, depends a lot on materials and labor prices. These two are the next things to consider in this procedure.

Major System

Based on the weather in Minnesota, you should consider two major system installations for your home. One of them is a furnace for the winter and another one is an HVAC for fluctuating temperatures.

If you invest a decent amount of money in a furnace, it can last for up to 20 years. So, this is a long-term investment we are talking about.

Related: How Much Does It Cost To Skirt A Mobile Home

Tips For Building A House In Minnesota

  • The best time to start building a house in Minnesota is in spring. Unless the land you chose has enough exposure to sunlight, don’t build the house in winter.
  • Be prepared to budget a long time for your home because the duration can vary a lot. In general, it can take anywhere between three months and a year to complete the house.
  • Make sure to protect your interior. This also includes better insulation to save energy and reduce bills.   

How To Reduce The Cost Of Building A House In Minnesota

  • Instead of choosing high-end materials, stick to standard building materials.
  • If you don’t have land already, take your time before choosing the spot. Go for low-cost areas if possible. In addition, make sure that the land is in good shape and doesn’t require much alteration.
  • Go for a less complex roof structure.
  • Avoid building your house when there’s a crisis of workers.
  • Invest in insulation for better energy efficiency. Many people want to save money on insulation but fail to calculate the long-term cost of energy.
  • You may think that building a house in the winter is less costly due to the availability of workers. However, it can damage your construction due to snowstorms. In addition, you will have to provide heating facilities for the workers, which will cost you extra.
  • If you go with a pre-designed house structure, it will help you reduce the cost of building the house.

Interesting Fact: The cost of building the main level is higher than the others. It’s because the main level includes the foundation, garage, permit, basement, roof system, plumbing, and HVAC.

Final Words

I’ve tried to cover everything you need to know about how much does it cost to build a house in Minnesota. But the fact remains that these are just estimations. The cost of building a particular house can only be determined by the contractor based on several factors.

The best idea is to get a quote from your area’s local contractor. In addition, see if there’s a service provider building a house nearby. This can also reduce your cost a bit if you hire them.  

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