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In the majority of states the average cost is below $85 per square foot. In the northeastern states and California the average price of construction can be between $100 and $120 dollars per square foot.In reality there are many factors that impact the average custom home costs.Letâs walk through a few.n the northeastern states and California the average price of construction can be between $100 and $120 dollars per square foot. In reality there are many factors that impact the average custom home costs.
Estimating Custom Home Building Costs: Location. Location is an important variable in building costs. The average home cost in the rural South is about $80 â $90 per square foot, by the time it is completed and ready to move in.The average cost per square foot in California is $130 to $140 per square foot.stimating Custom Home Building Costs: Quality. Luxury homes can cost over $800 per square foot, while a cheap shell home can be purchased for as low as $20 per square foot.