The Speculative Builder.

Progress, Volume XVIII, Issue 6, 1 February 1923, Page 140

The Speculative Builder.

According to Mr. Entrican, who addressed the recent Science Congress, the speculative builder is now practically extinct. He stated that prior to 1917 fifty per cent, of the houses erected in the Dominion were constructed by speculative builders. The responsibility of house-construction is therefore a matter of concern for the home-builder. High building-costs have ruled during the last seven years, and it is to be much regretted that no true appreciation of these costs has been presented to the public by a competent authority. Some details of interest have therefore been collected from architects and contractors relating to the analysis of building-costs.

the costs of an average wooden house are separated into three major divisions —first, all labour, representing 45 per cent, of the cost; second, all material, 42 per cent, of the cost; and, third, all overhead expense, profit, 13 per cent, of the cost. Direct labour, skilled and unskilled, is seen to represent the largest single factor in the cost of construction of a building. If the analysis is carried still further, and the indirect labour entering into- the manufacture of materials, and equipment, and transportation considered, the labour percentage is increased to 78 per cent, of the total cost of the building. This analysis explodes the theory that timber is responsible for the high building-costs which have ruled for the last seven years, it represents only 18 per cent, of the total cost of the uuuumg. in fact, to-day presents an excellent opportunity lor building. Costs for both labour and material have decreased considerably since the peak of 1920, the reduction in many cases having totalled 33 per cent. Many mills, moreover, during the slump of 1921 produced timber considerably in excess of market demands, with the result that large stocks of wellseasoned timber are now available for the housebuilder.