{"id":1050,"slug":"nahb-cost-of-constructing-2024-marketing-0-8pct","title":"NAHB Cost of Constructing a Home 2024 — marketing = 0.8% of average new home sale price; builder profit 11.0%","kind":"reference","scope":"business","status":"current","audiences":["kevin","candid-team"],"topics":["gc-vertical","marketing-budgets","builder-economics"],"reference_body":"**Claim:** NAHB's 2024 *Cost of Constructing a Home* survey reports the following decomposition of the average new-home sale price:\n\n- Construction costs: **64.4%**\n- Average builder profit margin: **11.0%**\n- Overhead and general expenses: **5.7%** (up from 5.1% in 2022)\n- Sales commission: **2.8%**\n- Financing costs: **1.5%**\n- **Marketing costs: 0.8%**\n\n**Source:** NAHB, *Cost of Constructing a Home*, 2024 edition.\n\n**Confidence:** Verified.\n\n**For Candid:** The 0.8% figure is the *baseline* a builder reads in industry materials. Any marketing pitch that proposes Gartner-equivalent levels (~7.7% — see [[gartner-cmo-spend-2024-2025-7-7pct]]) is proposing a ~10× shift from the industry norm and will be read accordingly. The honest pitch positions Candid spend as a fraction of revenue commensurate with the [[buildern-2026-1-8-to-3-2pct-residential-builder-spend]] benchmark, not the cross-industry CMO average.","rationale_body":null,"metadata":null,"links":{"outgoing":[{"slug":"research-brief-psychology-gc-marketing-aversion-may-2026","title":"Research brief: the psychology of marketing aversion among general contractor owners (May 2026 foundation)","kind":"reference","scope":"business","link_type":"relates-to"},{"slug":"gartner-cmo-spend-2024-2025-7-7pct","title":"Gartner CMO Spend Survey 2024 & 2025 — marketing budgets averaged 7.7% of revenue (down from 11% pre-pandemic); 59% of CMOs report insufficient budget in 2025","kind":"reference","scope":"business","link_type":"relates-to"}],"incoming":[]},"created_at":"2026-05-24T23:24:06.268Z","updated_at":"2026-05-24T23:24:06.268Z"}