General Contractor Cost Guide 2026

What to expect to pay, what drives costs up or down, and how to get an accurate estimate.

What affects general contractor cost

GC costs are project-dependent and vary more than any other trade category. GC fees typically represent 10–20% of total project cost on top of subcontractor and material costs. Home additions: $100–250 per finished square foot all-in; a 400 sq ft bedroom addition typically $60,000–100,000; a full second-story addition $150,000–350,000+. Kitchen remodels with a GC: $25,000–90,000. Finished basements: $25,000–60,000. Detached two-car garage: $35,000–80,000. New residential construction: $150–350 per square foot. Permit fees for major projects: $500–2,500. Budget a 10–20% contingency for any project involving existing structure. Retain 10–15% of total payment until final inspection and punch-list completion. Get at least three fully scoped, itemized bids before awarding any project over $20,000.

About general contractor projects

A general contractor manages your entire building project — from permit application through final inspection — coordinating subcontractors, materials, schedules, and code compliance so you do not have to. In most states, general contractors performing work above certain dollar thresholds must register with their state's contractor licensing authority. Verify any GC's registration and confirm they carry general liability insurance (minimum $1 million) and workers' compensation coverage. For major projects like home additions, new builds, or full gut renovations, your GC should handle all permit applications, schedule and attend required inspections, and provide you with a detailed contract covering scope, schedule, payment milestones, and a defined change order process. A GC's value is primarily in coordination and risk management. They vet and schedule subcontractors — electricians, plumbers, HVAC mechanics, tile setters, framers — ensure their work passes inspection, and sequence tasks so the project moves forward without costly delays. When problems arise — a sub fails to show up, a structural surprise opens in a wall, weather delays a concrete pour — the GC absorbs and manages that disruption. For projects involving multiple trades over several months, the cost of a competent GC's oversight (typically 10–20% of total project cost) is well worth the coordination time and risk it removes from the homeowner.