Housing contractor says cost per-square-foot to build in California has just crossed over $600. And because of that the company has decided they can no longer build in the Golden State

A housing contractor tells me that the cost per square foot to build a home in California has just crossed over $600. And because of that the company has decided they can no longer build in the Golden State. It’s too expensive. Instead the company is now looking to Texas, where the cost is around $200 a square foot or Florida where building costs for 2025 ranged from $150 – $180 per square foot, and in Arizona where it is as low as $100. Typical cost per square foot in 2025 for a new home ranges from $150 to $400 in America, with most projects clustering between $200 and $350 depending on finishes, site conditions, and labor markets. The per‑square‑foot figure combines materials, labor, permits, and overhead, and is minus land costs and financing.