How Much Builders REALLY Make on a $2M Home | Bruce Raney

How much do builders actually make on a $2 million custom home? Bruce Raney of Cleo Builders breaks down the real profit margins in custom home building - the honest numbers homeowners and new builders never hear. We cover what it costs to build a custom home in Austin right now, why building under $1M is nearly impossible, why builders bragging about 40% margins aren't telling the truth, and the communication skills that separate $2M+ builders from everyone else. Bruce has spent 30+ years on every side of construction - subcontractor, general contractor, developer, and client. Today he builds luxury custom homes in Austin, Texas at $2M and above. This video is not sponsored. It's an open conversation to help first-time builders, new custom home builders, and homeowners planning their first build. Questions for Bruce or want to see Cleo's work? https://cleobuilders.com/ 🛠️ 3-Day Bootcamp (hands-on, real job sites) → https://www.thefirstmillion.biz/build... 🏗️ Complete Builder Program → https://www.thefirstmillion.biz/build... 📚 Other Helpful Tools for Builders → https://www.thefirstmillion.biz/youtu... 📬 FREE Weekly Newsletter for Home Builders → https://thefirstmillion.mycoursecreat... 📝 My Builders Blog → https://thefirstmillion.biz/housebuil... 🤖 Get FREE AI feasibility tool that I developed: https://www.thefirstmillion.biz/free-... 📚 GO DEEPER WITH YOUR BUILD 🎥 FREE Webinar — 12 Steps to Build Your Dream Home → https://www.thefirstmillion.biz/squee... 🤝 COMMUNITY & SUPPORT 👥 Facebook Group (1,000+ builders) →   / buildyourownhome   📩 DIRECT QUESTIONS Email me: bondar@thefirstmillion.biz CHAPTERS: 0:00 The Real Profit on a $2M Custom Home 3:11 Cost-Plus vs. Fixed Price: How Builder Contracts Work 11:40 What It Costs to Build a Custom Home in Austin 16:35 The $300 Plans Trap: Why Complete Design Matters 23:39 Why Spec Homes Under $1M Are a Losing Game 28:17 Your First Build Pays in Education, Not Profit 29:59 "It's Not a Flex" - The Truth About 40% Margins 31:17 "I'm Not a Builder, I'm a Problem Solver" 34:25 Handling Mid-Build Change Requests 45:41 Better Communicators, Not Better Craftsmen 49:24 Weekly Calls, Word and Excel: Cleo's Client System 52:58 Client Red Flags: When to Walk Away 1:02:51 Every Side of the Table: Bruce's Path 1:06:50 Reading People: The Skill That Built His Career 1:13:36 Stop Swinging the Hammer: The Opportunity Cost Trap 1:19:04 Pride, Craftsmanship, and Tearing Out Bad Work 1:28:26 Splitting Roles in a Building Business 1:35:31 "I Pay for a Green Wall": Managing Subcontractors 1:41:09 Will AI and Robots Take Construction Jobs? 1:46:10 Rapid Fire: Overrated Upgrades and Final Advice #customhomebuilder #homebuilding #constructionbusiness