Commercial and residential constructions are all parts of private construction. However, the difference between commercial and residential construction comes out clearly in the types of equipment used, job size, and financial backing.
Here, we uncover some differences between those two major categories in the construction industry.
Table of Contents
Commercial Construction
Private investors and developers have to bid for construction contracts on schools, hospitals, malls, office spaces, and other commercial infrastructure projects for commercial construction. The job site for commercial construction may range from small to large.
The projects can also range from single stories to several stories in height and use steel frames to support them. In some commercial construction job sites, heavy excavators and bulldozers allow workers and operators to move heavy materials from one point to another.
You are also likely to find operators using the latest automation technology and robotics to speed up work and limit workers’ exposure to dangerous places.
Residential Construction
Residential construction is another category of construction in the industry. In most cases, residential construction focuses on developing co-ops, condos, and townhouses funded mainly by homeowners and private developers. Most buildings are designed for tenants – for residential living once the project is complete.
The residential construction projects mainly use large steel beams for condominiums and wood frames for small structures. The projects will vary and operate small and medium size equipment like front loaders, compact loaders, and small excavators to move a load.
Customizability of Design
The customizability of design is a significant factor that differentiates the two types of construction. In commercial construction, everything used in the project must be within the pre-set regulations and norms of the industry.
However, in residential construction, developers can be more creative in personalizing the project to homeowner requirements. You consider many factors when building your home, and you can customize each item to meet your unique specifications. Right from decking, flooring, gutting, wallpapers, and solar panels, you can create your unique project.
Construction Cost
Construction costs for both commercial and residential buildings are different, even when you narrow it down to smaller projects. Things like permits and the price of materials determine the amount spent on each project. In most cases, what makes a difference in cost is the number of skilled labor required in the project and the type of equipment used in the construction.
Usually, a commercial construction project is funded by bank financing, government agency, and corporations. On the other hand, residential construction is funded by a homeowner. Most of the funds for residential projects are from bank loans, insurance loans, and savings.
Final Thoughts
Many things strike the difference between commercial and residential construction. Some differences are in the type of equipment used, project cost, labor, materials, timeline, and licensing.
Both commercial and residential construction uses different equipment at a job site. These two industries employ millions of people worldwide and play a significant role in the growth and development of spaces. The need for both is vital for any country that intends to promote its infrastructural growth plan.
