Understanding The Cost To Rebuild Your Home

The cost to rebuild your home is based on a number of factors and can often be higher than what you could sell your house for. The price of raw building materials may have increased over the past few years, while the value of real estate has generally decreased.

Key factors that impact the cost to rebuild your home include:

• Total living area (square footage of home)
• Style of home (e.g. ranch, contemporary, colonial)
• Exterior wall construction (e.g. frame, brick)
• Number of kitchens and bathrooms and quality of materials
• Garage type (e.g. attached, detached, built-in)
• Special features (e.g. fireplaces, porches, skylights)
• Additions or enhancements (e.g. finished basements; in-law apartment)

Why rebuild costs can differ

Costs to rebuild your home often differ from home market values, mortgage requirements, tax assessments and real estate appraisals. This is due to a number of factors:

• Cost for many raw materials that are needed to make repairs or rebuild have increased in recent years, in some cases very significantly
• Specialized workers are often needed, in the event of a loss, to prevent further damage to your property
• Building codes may have changed since your home was built

Make sure you have the right coverage

Updates, additions and improvements to your home may increase the amount of coverage you need. Most common changes like installing hardwood floors, updating a kitchen or bath or adding a deck can affect the cost to rebuild. 

For more information on home insurance, please call 478-922-8531 or visit our website at
 www.hunt-miller.com to obtain a free home insurance quote.

Source:  Travelers