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Hard costs in construction are the direct costs of physically building a structure: the materials, labour, equipment, subcontractors and site work that go into the finished building. Soft costs are the indirect costs around the build, such as design, approvals, insurance and finance. Hard costs are usually the largest part of a project budget and the easiest to estimate, because they can be measured from the plans. Hard costs at a glance Direct and measurable. Every hard cost