House Construction Costs in the Philippines: Complete Breakdown!
Building a house in the Philippines requires careful budgeting. This guide breaks down all the construction expenses—from materials to labor—for easy planning.
Published January 30
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Witnessing the progress from the blueprint to the house construction is a wonderful experience not everyone gets to have. Regardless of the type of house you want—a classic bungalow house, an eco-friendly bamboo house, or a trendy tiny home—understanding the house construction costs is crucial. In this guide, we break down the house construction cost in the Philippines, plus some financial tips to help make your journey less daunting and more satisfying.
Cost of Building a House in the Philippines: Where to Start?
How much does it cost to build a house in the Philippines? Well, the cost of building a house in the Philippines depends on several factors such as the type of house, size, materials, and labor. Let’s explore these aspects in detail.
Cost per Square Meter
First off, you must know that house construction costs in the Philippines are often calculated per square meter. As of 2025, here are the average costs:
Basic Finish: ₱15,000 to ₱30,000 per square meter.
Standard Finish: ₱30,000 to ₱40,000 per square meter.
High-End Finish: ₱40,000 to ₱60,000 per square meter.
Keep in mind that these are estimates, so the actual costs can vary depending on your location and choice of materials.
Cost by House Type or House Size
The type and size of your house significantly impacts the overall construction cost. Here’s an estimate:
Small Houses (e.g., studio-type or one-bedroom):
Estimated Cost: ₱20,000 to ₱25,000 per square meter.
Ideal for individuals or small families looking for affordability.
Mid-Sized Houses (e.g., 2-3 bedrooms):
Estimated Cost: ₱25,000 to ₱35,000 per square meter.
Estimated Cost: ₱50,000 and above per square meter.
Ideal for those wanting premium finishes and unique designs.
Having your own home is an investment—and one that you deserve to have. That’s why Home Credit supports your house construction journey. With a Home Credit cash loan, you can take a step towards building your home today!
Labor costs are something to factor in when computing how much it costs to build a house. The average labor cost per square meter in the Philippines ranges from:
Basic Labor: ₱6,000 to ₱8,000 per square meter
Skilled Labor: ₱8,000 to ₱12,000 per square meter
Specialized Labor: ₱12,000 and above per square meter
These rates depend on the project’s complexity and the workers' expertise. A tip: Hire reputable contractors to ensure quality workmanship. After all, your future home lies in the workers’ hands.
Construction Expenses to Consider
Beyond materials and labor, several additional costs come into play during house construction. Make sure to keep this list, ask about it, and factor these in when anticipating your expenses:
Architectural and Engineering Fees: Typically, 5-10% of the total construction cost.
Permits and Licenses: Costs vary by city or municipality but are essential for compliance.
Site Preparation: Includes land clearing, excavation, and foundation work.
Utilities Installation: Budget for electrical, plumbing, and water system setup.
Contingency Fund: Set aside 10-15% of your budget for unexpected expenses.
Philippines Low Budget Simple House Design
If you’re on a tight budget, opting for a simple house design can save you money while still meeting your needs. Explore some of these cost-effective ideas that you can upgrade later on!
Open Floor Plans: Simplify interiors by reducing the number of walls.
Affordable Materials: Use concrete hollow blocks, corrugated roofing sheets, and other budget-friendly materials.
Compact Layouts: Focus on essential spaces like bedrooms, bathrooms, and a small living area.
Filipino Low Cost 2-Storey House Design
A low-cost 2-storey house can maximize space without breaking the bank. Here are some considerations:
Efficient Use of Space: Use the ground floor for shared spaces (living room, kitchen) and the upper floor for private areas (bedrooms).
Straightforward Design: Stick to basic shapes and avoid complex architectural features.
Cost-Saving Features: Incorporate energy-efficient windows and lighting to reduce utility bills.
These designs are great for families needing more space but wanting to stay within a budget.
Important Things to Consider in House Construction Philippines
Location - Costs differ based on your location. Urban areas like Metro Manila often have higher labor and material costs compared to provincial areas.
Materials - Choosing between local and imported materials can influence costs. For budget-friendly options, consider using locally sourced materials.
Labor - Labor costs vary depending on the contractor’s expertise and the complexity of the project. Hiring skilled workers may cost more but ensures quality.
Design Preferences - Custom designs with intricate details usually cost more than standard designs.
Timeline - Longer construction timelines can increase costs, especially if labor and material prices fluctuate.
6 Tips for a Smooth House Construction Journey
Set a Realistic Budget: Plan your finances carefully and stick to your budget.
Hire a Reputable Contractor: Look for contractors with proven experience and good reviews.
Prioritize Quality: Investing in durable materials saves money on repairs and maintenance in the long run.
Communicate Clearly: Regularly discuss progress and expectations with your contractor.
Plan for the Future: Design a home that can adapt to your family’s changing needs.
Monitor Progress: Stay involved to ensure everything aligns with your vision and budget.
Final Thoughts
Building a house in the Philippines is a rewarding experience when done right. By understanding the house construction costs Philippines, planning carefully, and considering essential factors, you can create a home that meets your needs and budget. Whether you’re considering a Philippines low budget simple house design or a Filipino low cost 2-storey house design, the key is to stay flexible and open to expert advice to make your dream home a reality.
Get a Cash Loan from Home Credit
Financing your house construction can be more manageable with a cash loan from Home Credit. Here’s how it can help:
Quick Approval Process: Get the funds you need without long waiting times.
Flexible Payment Terms: Choose a repayment plan that suits your financial capacity.
Accessible Application: Apply online or through partner stores with minimal requirements.
Home Credit makes it easier for you to turn your dream home into reality, even on a tight budget.
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