Cost-Plus Pricing for your Custom Home

At Walnut Ridge Construction, we believe every homeowner deserves clarity and control over their investment. That’s why we use a cost-plus pricing model — a simple, transparent approach that shows you exactly where every dollar goes during your custom home build. No hidden markups. No inflated bids. Just honesty, craftsmanship, and open communication from start to finish.

New Construction

Our Process

Our Portfolio

What Is Cost-Plus Pricing?

Unlike fixed-price builders who pad bids with huge profit margins, cost-plus pricing gives you full visibility into your project costs. You pay only the actual cost of materials, labor, and subcontractors, plus a clearly defined builder’s fee. That means every invoice, material purchase, and vendor expense is shared with you in real time — ensuring complete trust and transparency.

Cost-Plus Pricing Includes:

Direct Construction Costs: Labor, materials, and trade partners
Builder’s Fee: A flat, pre-agreed percentage or rate
No Hidden Markups: You see every receipt and estimate
Real-Time Updates: Budget tracking through the entire project

Learn About Our Cost-Plus Contract

The Hidden Bait and Switch with SOME Cost-Plus Builders

Think you've gotten a deal by going with the Cost-Plus Builder that only charges 15% instead of the one that charges 20%?

THINK AGAIN.

We know first hand because we've been offered it (but declined) that subcontractors give some of these builders inflated Invoices (already marked up 10-20% before they add on their 15%. So it may have seemed like a deal at 15% plus but in reality you're now paying 25%-35% instead of choosing an honest company like Walnut Ridge Construction that charges a fair rate but passes on 100% of our discounts to you with no hidden markups and full transparency.

Contact Walnut Ridge Construction

Why We Use Cost-Plus Pricing

We’ve seen too many homeowners frustrated by “fixed price” builders who promise one number and deliver another. Our cost-plus model prevents that by providing true transparency — every estimate, change, and decision is made with your full knowledge and approval.

Benefits of Cost-Plus:

Transparency at every stage
Flexibility to choose materials and finishes
Accurate accounting and no builder markups
Easy to compare bids and make changes mid-project

Ready to Tour a Spec Home?

Our available inventory changes frequently. Contact Walnut Ridge Construction to see current listings, schedule a showing, or learn about upcoming builds nearing completion.

Factors That Affect Custom Home Pricing

Every home is unique, and so are its costs. We don’t quote “per-square-foot pricing” because that’s often misleading — but we do help you understand what affects your budget early in the process.

Key Pricing Factors:

Home Size & Layout: Larger or complex designs require more labor and materials.
Lot Conditions: Slope, access, and soil type can affect foundation and grading costs.
Material Selections: Cabinets, flooring, windows, and finishes impact overall cost.
Location: County-specific codes, permitting fees, and delivery logistics can vary.
Special Features: Outdoor living, basements, or custom kitchens add premium costs.

Start with a Preconstruction Consultation

Our Transparent Estimate Process

Before construction begins, we provide a line-item estimate that breaks down every aspect of your home — materials, subcontractor costs, allowances, and builder fee. You’ll know exactly what to expect and can make informed design decisions early in the process.

You’ll Receive:

Itemized cost breakdown by category
Real-time updates during construction
Access to all receipts and invoices
Regular budget and schedule reviews

Start the Custom Home Questionnaire

Controlling Costs Without Sacrificing Quality

Because you see every detail, you can choose where to invest or save. We’ll guide you through material selections and construction options that achieve your look and functionality within your budget.

Common Ways Homeowners Save:

Simplifying rooflines or foundation shapes
Choosing cost-effective finishes that maintain quality
Phasing optional features (like outdoor kitchens) for future build-outs

Book a Call with the Builder

Pricing Transparency You Can Trust

Transparency isn’t just a business model — it’s the foundation of every relationship we build. From first estimate to final invoice, you’ll see where every dollar goes and how your vision becomes reality.

You’ll Appreciate:

Builder-direct communication
Detailed, itemized reporting
Honest, upfront budgeting
Flexibility to make changes anytime

Learn More About Our Cost-Plus Contract

Ready to Discuss Your Budget and Build Plan?

Whether you’re early in planning or ready to start, our team can help you understand what your custom home will cost and how to stay within budget — without surprises.

Testimonials

Tellico Village

“We interviewed several builders before choosing Walnut Ridge, but what sold us was their open-book pricing and constant communication. We saw every invoice and cost, and there were zero surprises. The process was honest and smooth from start to finish.”

Sarah & Mark L.

Rarity Bay

“From our very first meeting, we knew we were in good hands. Kenny and his team took the time to understand our needs, our land, and our budget. Our home fits our lot perfectly and turned out even better than we imagined.”

Tom & Rachel B.

Loudon County

“The craftsmanship is outstanding. Every trim line, cabinet, and stone detail feels intentional. It’s clear Walnut Ridge Construction takes pride in every home they build.”

Greg & Melissa K.

WindRiver Community

“We were building from Florida, and Kenny kept us updated with progress photos, budget reports, and quick responses. We never felt out of the loop, even from hundreds of miles away.”

David & Karen T.

Monroe County

“We’ve built before, and this was by far the best experience. The cost-plus contract gave us peace of mind, and the workmanship exceeded expectations. We would recommend Walnut Ridge to anyone building in Tennessee.”

Mark & Sheila R.

Blount County

“I've had the pleasure of knowing the general contractor of Walnut Ridge Construction, Kenny Schmidt, for over 20 years. So, when it came time to build a house, there's only one person I trusted to take care of me. You'll never meet a more honest person in your life.”

David M. & Melanie W.

Frequently Asked Questions

What is cost-plus pricing?

Cost-plus pricing means you pay only the actual cost of materials, labor, and subcontractors plus a fixed builder’s fee, with no hidden markups.

How much does it cost to build a custom home in Tennessee?

Costs vary by design, materials, and lot conditions, but most custom homes range between $600,000–$1.5M+. Every build is fully transparent and itemized.

Do you charge extra for upgrades or changes?

No hidden fees. Any changes or upgrades are billed at actual cost with full visibility through our cost-plus system.

Do you offer financing support?

Yes. We can recommend lenders who specialize in construction-to-permanent loans for custom homes.

What’s included in your cost estimates?

Every estimate includes materials, labor, site work, builder’s fee, and allowances for finishes — itemized line by line for full transparency.

East Tennessee’s trusted builder for custom homes, additions, and renovations crafted with care and a foundation of honesty, transparency, and integrity. Trust your home with Walnut Ridge Construction.