Costs for architects in renovation: Your guide to precise budget management

(ex: Photo by

on

(ex: Photo by

on

(ex: Photo by

on

Costs for architects in renovation: Your guide to precise budget management

Costs for architects in renovation: Your guide to precise budget management

Costs for architects in renovation: Your guide to precise budget management

17 Jul 2025

9

Minutes

Federico De Ponte

Expert in Real Estate Valuation at Auctoa

17 Jul 2025

9

Minutes

Federico De Ponte

Expert in Real Estate Valuation at Auctoa

Planning a renovation and worried about uncontrollable architect costs? The Fee Structure for Architects and Engineers (HOAI) has been more flexible since 2021, giving you room for negotiation. This article shows you how to accurately calculate the fee and secure your budget.

Chat with ImmoGPT for free now.

With access to Google, BORIS, and Deep Research.

The topic briefly and concisely

The HOAI 2021 is no longer a rigid price list but a negotiable guide for architect fees.

The cost for an architect during a renovation usually amounts to 10-20% of the billable construction costs.

A conversion surcharge of 20-33% is common for renovations and must be contractually agreed upon.

Did you know that the cost of an architect in a renovation often accounts for between 10% and 20% of the total construction costs? Many property owners shy away from this investment due to fears of unclear billing. However, since the revision of the Official Scale of Fees for Services by Architects and Engineers (HOAI) in 2021, fees are negotiable and offer more transparency. A qualified architect not only ensures the quality of your renovation but can even reduce overall costs by up to 15% through clever planning and consultancy on funding opportunities. This guide demystifies the key cost factors and provides you with the tools to confidently assess and negotiate fees.

Understanding HOAI 2021 as a Basis for Negotiation

The fee scale for architects and engineers (HOAI) regulates remuneration for planning services in Germany. Since a decision by the European Court of Justice in 2019, the previously binding minimum and maximum rates have been abolished. The HOAI 2021 now serves as a guideline framework, with values that can be freely negotiated. For you as a building owner, this means: The architect's fee is no longer set in stone, but can and should be agreed upon in written form. In the absence of such an agreement, the basic fee rate automatically applies, creating a solid foundation. This new flexibility allows the fee to be adapted to the actual scope of the project, which is especially advantageous for a complex renovation of old buildings. Understanding these regulations is the first step towards cost control.

Chargeable costs as the basis for fee calculation

The basis for fee calculation is the 'chargeable costs'. According to § 4 HOAI, these include the costs for constructing, altering, or modernising the object, determined in accordance with DIN 276 (2008 version). Importantly, not all project costs are chargeable. Costs for the land, its development, or external facilities, for example, are not included. Primarily, chargeable are the cost groups 300 (Building - Structural Work) and 400 (Building - Technical Equipment). In a renovation project with total costs of €700,000, the chargeable costs could be, for example, €537,500. The value of the incorporated construction materials must also be appropriately considered and agreed in writing in advance. A detailed list will help you understand the architect's basis for calculation and conduct a thorough cost-benefit analysis.

The 9 Performance Phases: Fee Shares in Detail

The HOAI divides the architect's work into nine clearly defined service phases (LPH) that represent the entire project timeline from the idea to completion. Each phase has a percentage share of the total fee, allowing for a transparent, step-by-step commissioning process. You do not have to commission all 9 phases; you can select the services according to your needs. However, commissioning all phases ensures consistent quality control. The percentage distribution for building planning is as follows:

  1. Basic Evaluation (LPH 1): 2% of the fee

  2. Preliminary Design (LPH 2): 7% of the fee

  3. Design Planning (LPH 3): 15% of the fee

  4. Approval Planning (LPH 4): 3% of the fee

  5. Construction Planning (LPH 5): 25% of the fee

  6. Preparation for Contract Award (LPH 6): 10% of the fee

  7. Participation in the Awarding of Contracts (LPH 7): 4% of the fee

  8. Construction Supervision (Site Management) (LPH 8): 32% of the fee

  9. Project Supervision (LPH 9): 2% of the fee

This structure helps you track progress and calculate and control renovation costs online. Next, we will look at how the level of difficulty affects costs.

Fee zones and refurbishment surcharge: The complexity decides

Not every renovation is the same. Therefore, the HOAI divides projects into five fee zones that reflect the complexity of the planning – from Zone I (very low requirements) to Zone V (very high requirements). A simple modernisation often falls within Zone III, while the renovation of a listed building is classified in Zone IV or V. Additionally, for renovations, a conversion or modernisation surcharge is applicable, as building within existing structures is more complex than new constructions. This surcharge must be agreed upon in writing and for buildings with an average level of difficulty, it ranges between 20% and 33%. For interiors, it can even be up to 50%. If nothing is agreed, a surcharge of 20% is automatically considered agreed. A detailed renovation potential report can help to assess the complexity early on and define a fair fee zone.

Alternative billing: hourly rates and incidental costs

For individual consulting services or smaller tasks, a time fee can be agreed upon instead of the HOAI tables. The hourly rates for architects in Germany vary widely and range between €70 and €150 net, depending on experience and office location. The NRW Chamber of Architects, for example, recommends an hourly rate of €128 for a project manager (as of 2024). Ask for a transparent performance record to be able to understand the billed hours. In addition to the fee, incidental costs may arise, which are billed either as a lump sum or on an itemized basis. These typically include:

  • Costs for reproductions and printing (e.g. for building applications)

  • Travel costs for distances over 15 km from the office location

  • Postage and shipping costs

  • Costs for creating models or special photos

These costs should be clearly regulated in the architect contract to avoid surprises. A clear contractual regulation is also an important component in property financing.


Optimise costs through subsidies and negotiation

A good architect is not only a planner but also an advisor who helps you save costs. Especially in the case of an energy-efficient refurbishment, they can advise you on government funding programmes from BAFA or KfW. The involvement of an energy efficiency expert is often a prerequisite for obtaining grants, which can be up to €120,000 per housing unit. The architect's services themselves are often eligible for funding, which significantly reduces the net costs for you. Since the HOAI reform in 2021, fees are also negotiable. Use the architect's cost estimate from the preliminary planning (LPH 2) as a basis for negotiation and obtain comparative offers. A professional funding check ensures you don't leave any potential untapped and take the right measures for an energy-efficient modernisation. This way, investing in the architect becomes a lever for increasing the value of your property.

kosten-fur-einen-architekten-bei-sanierung

The costs for an architect during a renovation are a worthwhile investment in the quality and future viability of your property. Instead of a rigid cost dictate, the HOAI 2021 offers a flexible framework that you can actively shape. The key lies in a clear contractual agreement that precisely defines chargeable costs, service phases, and the renovation surcharge. An independent partner like Auctoa can assist you with a data-driven assessment to understand the potential of your property before investing large sums. This ensures that the renovation is not only aesthetically pleasing but also financially rewarding. Make informed decisions for your property.

FAQ

Is the HOAI still binding for architects' fees?

No, since the 2021 version, the HOAI is no longer legally binding in terms of pricing. The fee schedules it contains serve as a guideline. The fee for architectural services can and should be freely negotiated and agreed upon in text form between the builder and the architect.

What is the conversion surcharge and when is it due?

The conversion surcharge is a percentage surcharge on the architect’s fee that compensates for the increased complexity of planning and building on existing properties. It is due for renovations, conversions, and modernizations and should be contractually agreed upon. Typically, it ranges from 20% to 33%.

Which phases of performance (LPH) are most important in a renovation?

All phases are important for a smooth process. However, particularly critical are LPH 1-3 (basic evaluation, preliminary and design planning) for establishing a solid foundation, LPH 5 (detailed design) for precision, and LPH 8 (construction supervision) for correct implementation and cost control on site.

How can I reduce the costs for the architect during my renovation?

You can reduce costs by negotiating the fee based on the HOAI 2021, commissioning only the service phases that are truly needed, and checking whether it is possible to invoice certain partial services at a more favourable hourly rate. Additionally, the architect can assist in reducing the total project costs through advice on funding opportunities.

Are the planning services of an architect eligible for funding in an energy renovation?

Yes, the costs for professional planning and construction supervision by a certified energy efficiency expert (often an architect) are eligible for funding under the Federal Funding for Efficient Buildings (BEG). This can significantly reduce the costs for the architect.

What happens if no written fee agreement is made?

If no agreement is reached in text form regarding the amount of the fee, the respective basic fee rate (the lower value of the fee tables) shall be deemed agreed in accordance with § 7 para. 2 HOAI 2021. For renovations, a renovation surcharge of 20% is also considered agreed if the degree of difficulty is at least average.

Subscribe to our newsletter

Get helpful tips and tricks for your mental health. A newsletter from experts for you.

Subscribe to our newsletter

Get helpful tips and tricks for your mental health. A newsletter from experts for you.

Subscribe to our newsletter

Get helpful tips and tricks for your mental health. A newsletter from experts for you.

Discover more articles now

Discover more articles now

Discover more articles now

Contact us!

Who is the service for

For me
For my company

Contact us!

Who is the service for

For me
For my company

Contact us!

Who is the service for

For me
For my company

auctoa – Your partner for precise appraisals and certified reports. Property valuation and land valuation. With digital expertise, expert knowledge, artificial intelligence, personalised advice, and comprehensive market insights.

Made in Germany

BASED IN HAMBURG

GDPR-compliant

HOSTED IN EUROPE

auctoa – Your partner for precise appraisals and certified reports. Property valuation and land valuation. With digital expertise, expert knowledge, artificial intelligence, personalised advice, and comprehensive market insights.

Made in Germany

BASED IN HAMBURG

GDPR-compliant

HOSTED IN EUROPE

auctoa – Your partner for precise appraisals and certified reports. Property valuation and land valuation. With digital expertise, expert knowledge, artificial intelligence, personalised advice, and comprehensive market insights.

Made in Germany

BASED IN HAMBURG

GDPR-compliant

HOSTED IN EUROPE