How Much Does an Architect Cost?

If you're planning a renovation, building a new home or adding space to your property, one of your first questions is probably about cost. Specifically, how much does an architect charge, and what exactly are you paying for?

Understanding how architects structure their fees helps you budget appropriately. Whether you're adding a second story to your house or designing a custom home from scratch, knowing what to expect removes uncertainty from the process.

This guide breaks down architect compensation methods, factors that affect fees and what you can expect at each stage of your project.

Note: The American Institute of Architects (AIA) does not provide specific fee recommendations due to federal antitrust laws. This means each architect sets fees independently based on your project's unique requirements. What follows is educational information about how fee structures work, not pricing guidelines.

How Do Architects Structure Their Fees?

Architects use several compensation methods depending on project type, scope and complexity. Understanding these structures helps you evaluate proposals and choose what works best for your situation.

Percentage of Construction Cost

In this model, the architect’s fee is calculated as a percentage of the owner’s approved budget for construction. The fee is based on the budget you establish at the project’s outset, not the final construction cost.

This percentage adjusts at each design phase as your project scope changes. The contract protects you from architects designing beyond your budget because the fee remains tied to what you can afford to spend, not what the project ultimately costs.

This method works well for larger projects where the scope may evolve during design. As your vision becomes clearer and more defined, both the budget and the architect’s fee adjust accordingly.

According to AIA contract documents, the architect calculates each progress payment by multiplying the agreed percentage by your most recent construction budget. If your budget changes after you've already paid for earlier phases, those previous payments stay the same.

Stipulated Sum (Fixed Fee)

A stipulated sum is a negotiated, fixed amount for well-defined services. This works only when the project scope, schedule and other variables can be determined accurately from the start.

If project parameters change beyond the architect’s control, the fee must be adjusted accordingly. This protects both parties when unforeseen circumstances arise.

Fixed fee arrangements work best for smaller, straightforward projects where requirements are clear. They give you cost certainty upfront but require thorough planning at the project’s beginning.

Hourly or Time-Based Fees

Some architects charge based on agreed hourly or daily rates. Rates vary by architect experience, geographic location and local market conditions.

This structure works well when services are difficult to determine in advance, such as preliminary services like feasibility studies or site evaluations. You pay for the actual time spent rather than a predetermined amount.

Hourly fees include salaries, benefits, overhead and profit in the rate for designated personnel. The architect tracks time spent and bills accordingly.

Per Square Foot

Some architects use square footage as a pricing factor, multiplying the building’s square footage by a set rate. This method provides a quick estimate but may not capture project complexity.

Combination Methods

Architects often use different compensation methods for different project phases. For example, they might charge hourly for preliminary studies and pre-design work, then switch to a percentage-based or fixed fee for design and construction phases.

This flexibility allows the fee structure to match each phase’s characteristics and predictability.

What Factors Affect Architect Fees?

Multiple factors influence what architects charge. Understanding these helps you evaluate whether fees are appropriate for your project.

Project Scope and Complexity

Larger projects requiring more design time and coordination naturally cost more. Technical complexity also increases fees. A custom design with unique features requires more effort than adapting standard solutions. The number of spaces, special requirements and level of detail all affect the architect’s workload and, therefore, the fee.

Level of Services Required

Not all projects need all architectural services. Some clients need only schematic design and design development, planning to hire a different architect for construction documents. Others need full service through construction completion.

The services you require directly affect cost. Basic services include the five standard phases. Anything beyond these becomes supplemental or additional services.

Project Type

New construction differs from renovation work. Renovations often require more investigation, measurement of existing conditions and coordination with occupied spaces.

Commercial projects have different requirements than residential work. Each project type brings unique challenges that affect the time and expertise required.

The delivery method also matters. Design-bid-build projects follow different processes than design-build work, affecting architect involvement and compensation.

Project Documentation Requirements

Some projects require Building Information Modeling or electronic documentation in multiple formats. These technology requirements take additional time and specialized skills.

If your project needs extensive documentation or specific digital deliverables, expect fees to reflect this added work.

Project Schedule

Extended schedules requiring longer architect involvement affect fees. The architect must stay engaged throughout design and construction, so the timeline matters.

Fast-track or accelerated scheduling can also increase costs. Compressed schedules often require more resources working simultaneously to meet deadlines.

Geographic Location

Architect fees vary by location based on local market rates and cost-of-living differences. Architects in major metropolitan areas typically charge more than those in smaller markets.

Local market conditions, competition and demand for architectural services all influence pricing in your area.

Architect Experience and Expertise

Specialized skills, unique abilities and exceptional design capability command higher fees. An architect with specific project type experience brings value beyond basic services.

Speed of delivery matters, too. Experienced architects often work more efficiently, completing projects faster while maintaining quality.

According to the U.S. Bureau of Labor Statistics, the median annual wage for architects was $96,690 in May 2024. For context, architectural and engineering managers earned a median of $167,740. These figures reflect the education, training and licensing requirements architects meet to practice.

What Do Basic Architectural Services Include?

Basic services follow five traditional phases defined by the AIA. Each phase builds on the previous one, moving your project from concept to completion.

Schematic Design

The first phase establishes your project’s foundation. The architect consults with you to determine project goals and requirements, developing what’s called the architectural program. This defines required functions, estimated square footage for each space and elements needed to achieve your goals.

During schematic design, the architect develops study drawings and other media illustrating design concepts. These show spatial relationships, scale and form for your review.

This is also the research phase. The architect discovers and addresses zoning requirements and jurisdictional restrictions that will affect your project.

Deliverables typically include a site plan, floor plans, sections, elevations and other illustrative materials. These may include computer images, renderings or models. Drawings include overall dimensions, and a construction cost estimate is prepared.

The phase concludes with a final schematic design that you approve after consultation and discussions with the architect.

Design Development

Design development takes the approved schematic design one step further, adding technical details. This phase lays out mechanical, electrical, plumbing, structural and architectural details.

The resulting drawings specify design elements such as material types and window and door locations. The detail level depends on your request and project requirements.

The design development phase often ends with a formal presentation to you and your approval before moving forward.

Construction Documents

This is the most detailed phase. The architect prepares complete construction-ready drawings and specifications with all information needed to build your project.

This includes structural, mechanical, plumbing and electrical engineering. The architect maintains the design schedule, assists with permits and provides cost estimates.

Construction documents form the basis for contractor bidding and become part of the construction contract.

Bidding or Procurement

The architect assists you in selecting a contractor. This includes answering contractor questions and providing additional documentation as needed.

Bidding services can start early in the process for budget consultation or occur after construction documents are complete.

Construction Administration

Construction administration services are rendered at your discretion and outlined in the owner-architect agreement.

The architect’s core responsibility during this phase is helping the contractor build the project as specified in the approved construction documents. This includes site visits to verify construction matches documents, developing sketches for clarification, reviewing contractor questions and solving field problems.

These services begin with the initial construction contract and terminate when the final certificate of payment is issued. A successfully built and contracted project is the deliverable.

What Services Cost Extra?

Beyond basic services, architects may provide supplemental and additional services, each compensated separately.

Supplemental Services

Supplemental services are identified at contract execution. AIA Document B101-2017 lists approximately 30 potential supplemental services. The owner-architect agreement specifies which party is responsible for each service.

These services are not included in basic services but are known upfront when you sign the contract.

Additional Services

Additional services arise as the project proceeds, after the contract is signed. These address needs that emerge during design or construction.

Examples include design revisions beyond the agreed scope, extended construction administration if the contractor’s schedule extends beyond what was anticipated, or full-time on-site representation.

If the lowest bona fide bid exceeds your budget due to market conditions the architect could not reasonably anticipate, redesign services to meet the budget become additional services rather than the architect's obligation.

Reimbursable Expenses

Reimbursable expenses are distinct from professional fees. These include costs for computer models, drawings and specifications, production of instruments of service and other expenses incurred in the project’s interest not covered by professional fees.

How Architects Charge for Their Services

Understanding billing methods helps you plan for cash flow and budget monthly expenses.

Retainers

Many architects request a retainer at project initiation. This advance payment indicates your willingness and ability to pay for services.

The retainer amount typically covers the cost of services from project start until the first invoice payment. It continues covering services throughout the project and is credited to the final payment.

Percentage of Completion

Architects often invoice monthly based on phase completion. For each active phase, they calculate the percentage complete and bill accordingly.

This method works for both stipulated sum fees and percentage-based fees. The work breakdown structure determines what percentage of each phase is complete.

Payment at Project Milestones

Some contracts establish predetermined fee amounts at specific project milestones. This approach helps you anticipate costs at key project stages.

Milestones might include schematic design approval, design development completion or construction document submission.

Payment Schedule

For clients who prefer knowing monthly costs in advance, architects can divide the fee by the number of months per phase. This creates a predictable monthly payment during each phase.

Assuming the project progresses on schedule, you pay the predetermined rate each month.

How to Determine If Architect Fees Are Fair

Evaluating fees requires understanding the value architects bring beyond the cost of delivering services.

1. Understand the Value of Their Services

Architects bring special talents, unique abilities and specific project knowledge. Their professional training includes extensive education and licensing requirements comparable to those of other professionals.

2. Assess the Scope of Work

Architects develop fees using a work breakdown structure that divides the project into phases. Each phase breaks down into individual tasks, with each task budgeted in hours and dollars.

Totals accumulate into a net fee. A contingency allows for variations from the plan.

This detailed approach ensures the fee reflects the actual work required.

3. Consider Risks

Professional responsibilities carry risk. Projects with specific challenges may require additional effort or specialized consultants to address those risks.

Fees should account for project-specific risks the architect must manage. This protects both parties when unexpected complications arise.

Questions to Ask About Architect Fees

Before signing a contract, clarify compensation details to avoid surprises.

Fee Structure

Ask which compensation method will be used and why. Understand what’s included in basic services versus what costs extra.

Learn how changes and revisions are handled. Will design modifications require additional fees? What’s the process for approving additional services?

Payment Terms

Clarify retainer requirements and how much you’ll need to pay upfront. Understand invoice frequency and what triggers payment.

Ask about payment milestones and any not-to-exceed limits that protect you from runaway costs.

Services and Deliverables

Know what deliverables to expect at each phase. Understand the architect’s level of involvement during construction.

Identify who will be your main point of contact. Will you work directly with the principal architect or with team members?

Fee Adjustments

Understand what happens if the project scope changes. If using percentage-based fees, know how budget changes affect the architect’s compensation. Learn the process for approving additional services when they arise.

How to Budget for Your Architectural Project

Architect fees are one component of total project costs. Budget for all expenses to avoid surprises.

1. Account for All Professional Fees

Beyond architectural fees, budget for engineering consultants, including structural, mechanical and electrical engineers. Specialized consultants may also be needed depending on your project.

2. Plan for Reimbursable Expenses

Document production costs add up. Permit and approval fees vary by location but can be substantial.

3. Include Contingency

Every project encounters unexpected costs. A contingency buffer protects you from making difficult decisions under pressure when surprises arise.

4. Understand Timeline Impact

Longer projects may require fee adjustments if the architect’s involvement extends beyond original expectations. Fast-track schedules can also affect costs if additional resources are needed.

How to Save Money on Architect Fees

While quality architectural services cost money, strategies exist to manage expenses.

1. Be Prepared and Decisive

The more prepared you are with clear requirements, the more efficiently the architect can work. Indecision and frequent changes increase hours spent and, therefore, costs if billing hourly.

2. Limit Revisions

Each design revision requires time and effort. Getting design right earlier in the process costs less than making changes after construction documents are complete.

3. Consider Phasing Projects Over Time

If the budget is tight, ask about phasing the project. Completing work in stages can spread costs over time while allowing the architect to design with future phases in mind.

4. Review Essential Services

Not every project needs full architectural services. If you have construction expertise, you might hire an architect only for design phases and manage construction yourself.

Clarify exactly which services you need and which you can handle other ways.

Is Hiring an Architect Worth the Cost?

Architects bring value that extends beyond design drawings. Here’s why hiring one can be worth it (and essential):

Code Compliance and Permit Expertise

Architects understand building codes, zoning regulations and permit requirements. This expertise helps you avoid costly mistakes and delays.

Budget Management and Cost Control

Good architects design within budget and provide cost estimates throughout the process. They help you make informed decisions about where to invest and where to save.

Design Quality and Resale Value

Quality design increases your property’s value and improves how you live or work in the space. This long-term value often exceeds the architect’s fee.

Problem-Solving

Every project encounters challenges. Architects bring creative problem-solving skills and technical knowledge to overcome obstacles while maintaining design quality.

How to Choose the Right Architect for Your Budget

Finding an architect who fits your budget and project needs requires research.

1. Get Quotes and Compare Proposals

Interview multiple architects and request detailed proposals. Compare not just fees but services included, experience with similar projects and approach to your specific needs.

2. Review the Contract Carefully

Read contracts carefully before signing. Verify that basic services match your expectations and that additional services are clearly defined.

3. Learn the Red Flags to Watch For

Be cautious if an architect avoids discussing fees clearly, dismisses your budget concerns or doesn’t seem to listen to your ideas. These signal potential problems.

Unrealistic promises about the timeline or the budget should raise concerns. Trust your instincts about whether this feels like the right partnership.

4. Balance the Cost with Experience and Fit

The cheapest architect isn’t always the best value. Consider experience, portfolio quality, communication style and whether the architect understands your vision.

Sometimes paying more upfront saves money long-term by avoiding costly mistakes or delays.

Final Thoughts

Understanding architect compensation helps you budget appropriately and make informed decisions about your project. While the AIA does not provide fee recommendations due to antitrust laws, the compensation methods described here give you a framework for evaluating proposals.

Architects set fees based on the effort required, the risks involved and value provided. Transparent communication about costs from the start creates better working relationships.

Your investment in architectural services brings value through code compliance expertise, budget management, design quality and creative problem-solving. The right architect helps you achieve your vision while managing costs effectively.