How Architects Bill Their Clients

Building a custom home is a process. While it typically starts in your imagination before you do anything, it does later does have steps that deal with physical land, construction, buying materials and furniture and so on.

Because of all of this, architects do have a somewhat tricky position: on the one hand their fees are typically somewhat high and on the other hand these fees do not buy you a piece of land or a hunk of steel.

However, this doesn’t mean that architects do not deserve their money. You work with architects can help you turn your dreams into reality and save money during other stages of the home-building process.

Architects typically charge for their services in one of three ways. These ways are a percentage, a fixed rate and an hourly rate. You may also sign or negotiate a contract that will include a combination of these methods.

A percentage means an overall percentage of a project. Typically, fees range between 3% and 10% of the total costs of a project. This means that if your total project costs £500,000, your fee to your architect is going be some somewhere between £15,000 and £50,000. Star and celebrity architects may change as high as 20%, which means a hefty fee of £100,000 on a £500,000 project. The potential issue with this payment method is that there is no cap and the more you pay for the project, the more your architect gets. This is why you may want to negotiate a cap and evaluate how much the services of your architect are worth to you to make sure that you receive a fair value in exchange for your money.

The second way of paying for architectural services is hourly. Hourly rates vary significantly and can range anywhere from £50 to £500 per hour.

Finally, there is a per project fee where an architect looks at your project and quotes you one all-inclusive fee for all the work.