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When building an addition, it's usually more cost-effective to expand your footprint and build out than to build on top of an existing structure. This question is often confused because the opposite is true for a new build. 

Generally, building out for a remodel is cheaper than adding a second story to an existing dwelling. By contrast, building up is more affordable than expanding the footprint for the new construction of a single-story home.

A home addition can take two to three months to build. Simpler additions, like bedrooms and dens, take less time than more complex additions, like bathrooms and kitchens, that may require additional electrical or plumbing work. These timelines assume that all materials and labor are readily available. Supply chain issues or waiting for the necessary building permits can delay construction.

Generally, it’s less expensive to build an add-on than it is to build a new house. Add-ons typically cost $22,440 to $80,930, while a new home build costs $112,040 to $448,950, on average. However, if your project is a complex addition—such as a luxurious 100-square-foot bathroom with new plumbing—multiple add-ons, or a second-story addition that requires removing the roof, your total cost can quickly approach the cost of a new build.

The standard size for a family room addition is about 12-by-18 feet, or 216 square feet, which can comfortably fit a six-person family. The ideal family room size depends on several factors, like your family size, the size of your furnishings, and whether you prefer a cozy or more open space.

Check with your local building codes and regulatory bodies to determine how far you can bump out a house in your area. A footed bump-out extends the farthest, while a cantilevered bump-out extends four times the depth of your existing joists. This is the most common bump-out type for home additions. Contact a home addition contractor in your area for further guidance.

Costs can vary based on many factors, like if you decide to add a second story to your single-story home or expand its footprint by building outwards. The average home addition cost is anywhere from $80 to $200 per square foot. So, you should budget at least $80,000 to $200,000 to add 1,000 square feet to your house.