home builder income

4 Replies

I know it varies wildly, but what do you think on average a builder can make as a self employed, one man GC/owner builder, building a few modest homes per yr in the Southeast?

I love my job and wont leave my company unless they drag me out by my feet (HAHAHA) but since I'm in the biz, I'd love to know what I could make building a few homes a yr on the side (if my company allows it- I dont know if they do).

If you work for a builder / GC I would recommend against it. The first question is are you building spec homes or custom. Your profits on spec homes will be much lower. After figuring in overhead, paying yourself, 2x social security etc. building 3-4 houses a year will not be a windfall or a lot of income. If they are spec homes you may be in the 10-20% after all costs are in (probably closer to 10%) I thought about doing this early on in my career (I work in construction management) and unless I was doing $1M in revenue it was not worth the risk.

thx for the reply.  i was thinking 10-20% as well.  i can build a home for about 130k, a lot is about 50k.  and i can sell for around 300k.  all this would of course be depending on if my employer cares if i do it or not.  i love my job and my company so i definitely wouldn't do it if my employer was opposed to it.

If your company is fine with it and your doing it and keeping your day job then yes go for it. If your managing it yourself (acting as the GC) though I would be careful if you use the same subs as your work uses as well as the fact that it will take away from your day job. I did similar in that we GC'd our own house and you will just have to manage your time wisely. Fortunately for me my wife had the time off and managed most of the project.

is that why you advised against in in your first post?  because you thought my employer would be against it?  i know a guy or two that i work with that flips houses on the side.  not sure how my endeavor would be any different, but like i said, i love my job and my employer and would NOT do it if its a no-no.

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