Building a house is always one of the biggest and most important financial decisions in a person’s life. In 2025, due to economic changes, fluctuations in the price of materials, labor wages, and housing market conditions, accurate cost estimates and understanding the factors affecting home construction have become more important than ever. Having complete and up-to-date information about the costs of purchasing land, materials, manpower, facilities, and other related matters will help you to advance your home construction project in the best possible way with careful planning and budget control, and make a successful investment. Today, in this article, we intend to fully examine the cost of a house in 2025. Stay with us.
How much does it cost to build a house in 2025?
In general, the cost of building a house in 2025 is determined by several factors, each of which has a significant impact on the price of the property. In this part of the article, we intend to examine them in detail.
Land purchase cost
The cost of purchasing land varies depending on the geographical location and access to facilities. In Tehran, the price per square meter of land varies in different areas. For example, in the central and northern regions of Tehran, the price per square meter of land can be between 30 and 50 million Tomans. Therefore, for a 100 square meter plot of land, the cost of purchasing land will be around 3 to 5 billion Tomans.
Design and drafting costs
Another important factor in the cost of building a house in 2025is the cost that must be paid for the design and drawing of the building. In general, the cost of design and drawing includes architectural design, structure, electrical and mechanical installations, as well as the preparation of executive drawings. These costs vary depending on the complexity of the project and the salary of the engineers. On average, the cost of design and drawing for a 100 square meter residential unit will be about 150 to 200 million Tomans.
Cost of building materials
The cost of building materials includes the purchase of raw materials such as cement, plaster, bricks, rebar, iron beams, tiles, ceramics, and other required items. The price of these materials varies depending on their type and quality. For example, the price of each bag of cement is about 950 thousand tomans, each square meter of tile is about 2 million tomans, and each kilogram of rebar is about 25 thousand tomans. For a 100 square meter residential unit, the cost of building materials will be about 300 to 400 million tomans. The sum of these costs makes building materials a major part of the cost of building a house in 2025.
Human resource costs and worker wages
Labor costs include the wages of supervising engineers, construction workers, electricians, plumbers, and other contractors. Workers’ wages vary depending on their skills and experience. On average, the daily wage of a simple worker is about 450 to 550 thousand tomans, a skilled worker is about 650 to 950 thousand tomans, and a master worker is about 1.5 to 2 million tomans. For a 100 square meter house construction project, the labor cost will be about 200 to 300 million tomans.
Cost of electricity, water and gas installations
The cost of utilities includes the installation of electrical systems, water and sewage piping, gas piping, and heating and cooling systems. These costs vary depending on the type of system selected and the size of the building. On average, the cost of utilities for a 100 square meter residential unit will be about 100 to 150 million Tomans.
Cost of permits and municipal fees
Before starting construction, it is mandatory to obtain the necessary permits from the municipality and pay the relevant fees. These costs include construction fees, completion fees, renovation fees, and other costs related to municipal services. On average, the cost of permits and municipal fees for a 100 square meter residential unit will be around 50 to 100 million Tomans.
Cost of finishing and interior decoration
The cost of finishing includes installing doors and windows, painting, flooring, tiling, cabinets, and other interior decoration. These can include bedroom decoration design, living room design, dining room design, and other such things. These costs vary depending on the quality of the materials and the design chosen. On average, the cost of finishing for a 100 square meter residential unit will be about 150 to 200 million Tomans.
Factors affecting the cost of building a house in 2025
But you need to know that there are various factors that can affect the decrease or increase in the cost of building a house in 2025. Some of the most important factors are:
Geographical location and manufacturing area
One of the main factors affecting the cost of building a house in 2025 is the geographical location and the region in which the house is being built. In large cities and central areas such as Tehran, the price of land and construction services is much higher than in smaller cities and suburbs. In addition, the availability of materials and labor also varies in different regions, which directly affects the final price. For this reason, accurately determining the construction location from the beginning helps in budget planning and prevents unexpected costs.
Quality and type of building materials
The choice of the type and quality of building materials plays a very important role in increasing or decreasing the cost of building a house in 2025. Using high-quality materials and reputable brands usually costs more, but it ensures the durability and beauty of the building and reduces the costs of future repairs. On the other hand, cheap and poor-quality materials may reduce costs in the short term, but they increase the risk of damage and frequent repairs. In 2025, due to market fluctuations, awareness and the right choice of materials are key factors in controlling construction costs.
Architectural design and complexity
The design and layout of the building, in terms of the number of floors, type of facade, decorative details and architectural style, directly affects the cost of building a house in 2025. Simple buildings with minimal design usually cost less than complex buildings with special facades, large terraces and artistic details. Also, using modern technologies in design to reduce energy consumption or increase the strength of the building can increase initial costs but are cost-effective in the long run. In 2025, the combination of modern design and energy efficiency standards is an important factor in managing costs.
Wages and expertise of the workforce
Skilled and specialized manpower is one of the factors determining the cost of construction in 2025. The wages of workers, foremen, supervising engineers, and contractors vary depending on the level of expertise, experience, and market conditions. In 2025, as the cost of living increased, labor wages also increased, and this affected the total project costs. Choosing reputable contractors and careful management of labor can reduce additional costs and accelerate the construction process.
Building facilities and equipment
The type and quality of electrical, mechanical, water and sewage installations, heating and cooling systems, and safety equipment play a significant role in the cost of construction. The use of advanced and intelligent systems, energy-saving equipment, and international standards usually has a higher initial cost, but over time it reduces energy consumption and increases the safety and comfort of residents. In 2025, attention to this sector as a long-term investment has received more attention.
Is it affordable to build a house in 1404?
Considering the cost of building a house in 2025, and despite the economic challenges and fluctuations in the price of materials and labor, this is still considered one of the most profitable and economical investments. Because with the continuous increase in housing and land prices in the Iranian market, building a house can significantly increase the value of your property and outpace inflation in the long run. Of course, the success of this investment depends on careful cost management, choosing quality but affordable materials, and working with reliable contractors who can reduce financial risks and increase the efficiency of the project.
Therefore, if you have proper planning and full knowledge of the market and the construction process, building a house in 2025 is not only a good option for preserving capital, but also a golden opportunity to make a profit and improve the quality of life.
Final Words
As you can see, in this article, we have thoroughly examined the cost of building a house in 1404. We learned that despite the challenges and economic changes in 2025, building a house can still be a very economical and profitable option. Provided that it is done with full knowledge and awareness of the factors affecting costs, choosing the right materials, and careful project management. This process will not only help maintain and increase the value of your capital, but can also provide a more comfortable and quality life for you and your family. We thank you for your support until the end of this article, and we hope that the information provided has been useful to you.
Ohaddeco Group specializes in the design and implementation of LSF structure, as well as the design and implementation of wooden acoustic wall covering and wooden thermowall. You can contact us through the communication bridges for more information and free consultation.
