# Contractor with material or labour-only: which is cheaper and safer when building a house

URL: https://which.pk/property/guides/contractor-with-material-vs-labour-rate/
Author: Ahtisham
Updated: 19 Oct 2026

## Summary

In Lahore, the construction rate with material for grey structure is Rs 2,800 to Rs 3,500 a sq ft in builders' October 2026 rates. Labour alone is quoted at Rs 450 to Rs 850 a sq ft, depending on the builder and what the labour covers. Labour-only lets you control materials, but builders warn that wastage, theft, rework and delays often erase the saving unless you can supervise every day. Most builders quote labour-only per project. Pay by stages, after inspection.

## Key facts

- Grey structure with material, Lahore (Oct 2026): Rs 2,800 to Rs 3,500 a sq ft
- Labour only, grey structure, Lahore: Rs 450 to Rs 850 a sq ft
- Mason, Lahore (PBS Sep 2026): Rs 2,461 a day
- Contingency builders advise: 5 to 10%

The construction rate with material for a grey structure in Lahore is **Rs 2,800 to Rs 3,500 a square foot** in builders' October 2026 rates. A labour-only contract, where you buy the materials, is quoted at **Rs 450 to Rs 850 a sq ft** for the labour. Labour-only can cost less, but only if you can buy well and supervise the site every day. Otherwise, builders say, the saving disappears.

Below are the published rates for both, what each contract leaves to you, and how to protect yourself either way.

## Construction rate with material vs labour-only

| | With material | Labour-only |
|---|---|---|
| Who buys cement, sarya, bricks, sand | The contractor | You |
| Lahore rate, grey structure | Rs 2,800 to Rs 3,500 a sq ft (ACCO, Oct 2026); Rs 3,300 standard (Avenir, Q4 2026) | Rs 450 to Rs 750 (The M Square, May 2026); Rs 650 to Rs 850 (Avenir); Rs 680 (Elegant Properties) |
| Islamabad and Rawalpindi | Rs 3,500 standard (Avenir) | Rs 800 to Rs 1,000 (Avenir) |
| Who carries wastage and theft | The contractor | You |
| Your time on site | Inspections at each stage | Daily |

Rates are per sq ft of covered area. Avenir's labour figure is the labour share inside its own with-material rate (20% to 26% in Lahore). Avenir says it doesn't take labour-only contracts. ACCO takes them but quotes "per project" after seeing the drawings.

The labour figures differ partly because they cover different work. Avenir's includes excavation, steel fixing, shuttering, concreting, masonry, plaster, plumbing and electrical rough-in, roof treatment and curing. The M Square doesn't say what its range covers.

## How much is labour for a 5 marla, 10 marla or 1 kanal house?

Elegant Properties publishes labour lump sums for a grey structure:

| Plot | Labour, grey structure |
|---|---|
| 5 marla | Rs 8 lakh to Rs 10 lakh |
| 10 marla | Rs 16 lakh to Rs 23 lakh |
| 1 kanal | Rs 28 lakh to Rs 35 lakh |

Zameen's calculator, updated 16 October 2026, agrees for 10 marla: labour is Rs 16.23 lakh of its Rs 97 lakh Lahore grey estimate, and Rs 16.94 lakh in Karachi. Finishing labour is extra. The M Square puts it at Rs 700 to Rs 1,500 a sq ft. For painters' rates and paint prices, see [which paint is best for a house](/property/guides/best-paint-for-house-pakistan/).

## What do builders pay workers per day?

If a labour-only contractor quotes by the day or you hire trades yourself, compare with the Pakistan Bureau of Statistics (PBS) city averages for September 2026:

| City | Mason | Labourer | Plumber | Painter | Electrician (per point) |
|---|---|---|---|---|---|
| Lahore | Rs 2,461 | Rs 1,747 | Rs 2,037 | Rs 2,227 | Rs 319 |
| Karachi | Rs 2,482 | Rs 1,500 | Rs 2,359 | Rs 1,912 | Rs 418 |
| Islamabad | Rs 2,405 | Rs 1,500 | Rs 2,238 | Rs 2,299 | Rs 487 |
| Rawalpindi | Rs 2,370 | Rs 1,500 | Rs 2,232 | Rs 2,289 | Rs 471 |
| Faisalabad | Rs 2,065 | Rs 1,364 | Rs 1,594 | Rs 1,754 | Rs 266 |
| Multan | Rs 1,909 | Rs 1,153 | Rs 1,811 | Rs 1,520 | Rs 284 |
| Peshawar | Rs 2,421 | Rs 1,466 | Rs 2,500 | Rs 2,065 | Rs 332 |
| Quetta | Rs 2,194 | Rs 1,449 | Rs 1,498 | Rs 1,793 | Rs 317 |

Per day except electrician. Construction wages were 9.69% higher in September 2026 than a year earlier, PBS says.

## Is labour-only really cheaper?

You don't pay the contractor's margin on materials, so the price on paper is lower. No builder publishes what that margin is, so we can't tell you how much you'd save.

What builders do say is where the saving goes:

- **Wastage, theft, rework and delays** "often erase the saving", ACCO says.
- **Time, storage and supervision.** Avenir says buying your own materials only saves money if you have time to buy, a safe place to store them and someone competent on site every day.
- **If you live abroad or work full-time**, ACCO says a turnkey contract is usually cheaper overall.

Before you choose, price the materials yourself. At PBS September 2026 prices in Lahore, cement, sarya, bricks, sand and crush alone come to **Rs 1,479 to Rs 2,506 a covered sq ft**, depending on the structure, before pipes, waterproofing and wastage. Our [construction material calculator](/property/tools/construction-material-estimator/) does this for your covered area and city.

## Which should you choose?

| You are… | Builders' advice points to |
|---|---|
| Living abroad or working full-time | With material, or turnkey |
| Able to be on site daily, with safe storage | Labour-only can work |
| Wanting one party responsible for quality | With material (Avenir, which only takes with-material work, says this makes one party accountable for the whole structure) |
| Building in DHA | Either; Avenir adds about 6% to its rates there for DHA's extra inspection stages |

**Protect yourself with either contract:** - **Get the scope in writing**, item by item. Avenir says curing is often dropped from low quotes, and tells you to confirm whether scaffolding, shuttering and plant are in the rate.
- **Ask for an itemised bill of quantities (BOQ)**, not just a rate per sq ft, ACCO and Avenir both say. Finalise the design before work starts.
- **Pay by stage**, for work that is done and inspected, "never far in advance" (ACCO).
- **Keep 5 to 10% aside** for price and design changes, ACCO advises.
- **Check the contractor**: past projects, technical staff, supervision and whether they own their equipment (Avenir).

## Plan the rest of the build

What the with-material rate includes is in [grey structure cost per sq ft](/property/guides/grey-structure-cost/). For the whole house with finishing, see [house construction cost in Pakistan](/property/guides/house-construction-cost-pakistan/), and for sizes, [5 marla](/property/guides/5-marla-house-construction-cost/) and [10 marla house construction cost](/property/guides/10-marla-house-construction-cost/).

This month's cement, sarya and brick prices are in [construction material prices in Pakistan](/property/guides/construction-material-prices/).

More guides: [building a house to rent out](/property/guides/building-a-house-to-rent-out/), [home loans in Pakistan](/money/guides/home-loan-pakistan/), [Property](/property/).

## Questions people ask

### What is the grey structure rate without material in Lahore?

Published labour figures run from Rs 450 to Rs 750 a sq ft (The M Square, May 2026) to Rs 650 to Rs 850 (Avenir, Q4 2026). Elegant Properties puts labour at Rs 680 a sq ft. Most builders quote labour-only contracts per project.

### What is the construction rate with material in Lahore?

For grey structure, Rs 2,800 to Rs 3,500 a sq ft (ACCO, October 2026), Rs 3,300 for Avenir's standard specification, and Rs 2,874 for 10 marla on Zameen's calculator (16 Oct 2026).

### Is labour-only cheaper than a contractor with material?

On paper, often yes, because you pay no margin on materials. But ACCO warns that wastage, theft, rework and delays often erase the saving, and Avenir says it only saves money if you have time to buy, safe storage and daily supervision.

### How much labour does a 10 marla house need?

Elegant Properties quotes labour of Rs 16 lakh to Rs 23 lakh for a 10 marla grey structure. Zameen's calculator puts labour at Rs 16.23 lakh in its Rs 97 lakh Lahore estimate (16 Oct 2026).

## Sources

- [Urban Inter-City Consumer Prices of Construction and Energy Items, September 2026](https://www.pbs.gov.pk/wp-content/uploads/2020/07/Urbn-Construction-11.xlsx), Pakistan Bureau of Statistics (accessed 18 Oct 2026)
- [Monthly Review on Price Indices, September 2026](https://www.pbs.gov.pk/wp-content/uploads/2020/07/Monthly-Review-September2026.pdf), Pakistan Bureau of Statistics (accessed 18 Oct 2026)
- [Grey Structure Cost Calculator (2026)](https://avenirdevelopments.com/house-construction-cost/grey-structure-cost/), Avenir Developments (accessed 19 Oct 2026)
- [House Construction Cost in Lahore](https://acco.com.pk/house-construction-cost-lahore/), Ahmed Construction Company (ACCO) (accessed 19 Oct 2026)
- [Cost Of Construction In Lahore (2026 Complete Guide)](https://themsquare.com.pk/cost-of-construction-in-lahore/), The M Square (accessed 19 Oct 2026)
- [Grey Structure: Complete Guide & Rates 2026](https://elegantdha.com/construction-services/grey-structure/), Elegant Properties (accessed 19 Oct 2026)
- [Construction cost calculator: 10 marla grey structure, Lahore](https://www.zameen.com/tools/construction-cost-calculator/10-marla-grey-construction-cost-lahore-1/), Zameen.com (accessed 18 Oct 2026)