Regional Cost Index

Localize a construction estimate between metro areas. Pick where the estimate was priced and where the work is, and the tool converts the cost using separate material and labor location factors (U.S. average = 100). Labor swings cost far more than material between cities, so the two convert independently — set your material/labor split to match the job.

Locations

Your Estimate

Cost on the From basis
Rest is labor

Austin, TX vs National Average

Conversion Factor0.994×
Cost Difference-0.6% (0.994×)

Austin, TX index · U.S. avg = 100

Combined99.5
Material100.0
Labor99.0

Labor swings cost far more than material between metros. Material and labor legs convert independently at the share you set. Figures are approximate location factors for planning — verify against local quotes and prevailing wage.

How it works & data notes

  • National average = 100. A combined index of 118 means roughly 18% more than a national-average estimate; 90 means about 10% less. Material and labor each have their own index because they move differently.
  • Material varies modestly, labor a lot. Lumber, steel, and copper are nationally-traded commodities, so material spread is mostly freight and local market. Wages, union density, and prevailing-wage rules swing installed cost far more — which is why the two legs convert separately at your chosen split.
  • Localizing an estimate: a base cost priced on the “From” basis is split into material and labor by your share, each leg is scaled by the ratio of the two cities’ indices, then recombined — so moving a bid from Dallas to San Francisco (or from the national average to your metro) respects that the labor jump is bigger than the material one.
  • These are approximate location factors, not licensed RSMeans City Cost Index data. They are planning seeds — refine the labor side against BLS metro construction wages (OEWS) and cross-check the overall level against BEA Regional Price Parities. Always verify against real local quotes and prevailing wage before relying on a number.
  • This page is informational and not financial, bidding, or purchasing advice.

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