We recently got a letter from our homeowners insurance recommending that we consider how much recent inflation has effected the cost of building materials, yada yada. Says they "Automatically increase coverage at each renewal to account for normal inflation but ... extraordinary inflation conditions ... may not be enough to rebuild your house if the worst happens." Invited us to call and discuss with our agent to ensure we're fully protected. A lifetime of experience has taught me to be wary of getting all of my information about something like this from the very person who stands to profit most from every increase in my premiums. So I reach out to this august band of experts on everything from epidemiology to motor oil. Realistically speaking, how much does it cost these days to bulldoze the remains of a demolished house and build a new one in its place? 3 bedrooms, 2 baths, about 1100 square feet of living area in a 2 story structure on a sloping lot. We also have a detached garage (24x24) with a 24x24 bonus room above it on the same property along with a couple of other structures. One of those was built in 2020 during the height of the pandemic so I saw first hand how expensive materials got while getting that project completed.