Calculate replacement cost for real estate investments and properties
Enter building square footage, construction cost per square foot, and depreciation percentage. The calculator estimates current replacement cost.
A 3,500 sq ft home at $150/sq ft construction cost has a replacement cost of $525,000. Depreciation reduces insurable value.
Determines insurance coverage needed. Should insure for cost to rebuild, not market value (which includes land). Underinsuring means partial payout for claims.
Demolition, construction at current prices, built-in appliances, finishes. Excludes land value (land doesn't burn down) and improvements (may be insured separately).
Annually review with insurance agent. Construction costs fluctuate with labor and material prices. Major renovations should trigger immediate update.