Friday, April 26, 2019

How much do builders make?


FYI:
How much do you think builders make
on the construction of your home?
 
On average, builders reported $16.4 million in revenue for fiscal year 2017, of which $13.3 million (81%) was spent on cost of sales (land costs, direct and indirect construction costs) and another $1.9 million (11.4%) on operating expenses (finance, sales and marketing, general and administrative expenses, and owner compensation).
As a result, the industry average gross profit margin for 2017 was 19%, while the average net profit margin reached 7.6%.


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