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Whether you're launching a business, building a portfolio, or setting up an online store, the cost of building a website can vary wildly. Without a clear plan, it’s easy to spend more than you need to.
I’m Henry Purchase, founder of SEOSpace, the SEO plugin for Squarespace. I’ve worked with thousands of site owners, freelancers, and designers, and I’ve seen what drives costs up and where you can cut back.
This guide breaks down the key factors that impact pricing, so you can build a professional site that fits your budget.
5 factors that affect website costs in 2025
The cost of building a website in 2025 can range from a few hundred dollars to hundreds of thousands, but it’s very possible to keep your budget low if your needs are relatively straightforward. Your actual costs will depend on the following five factors:
Domain registration and hosting
Design and functionality add-ons
DIY vs. hiring a professional
Ongoing maintenance and updates
Customization and scalability
1. Domain registration and hosting
When building a website, the first steps are registering a domain name and choosing a reliable hosting provider.
A domain name is the unique URL pointing to your website; think of it like your website’s address on the Internet. For example, the domain name for Squarespace is squarespace.com. Domain costs can range from a few cents to hundreds of dollars annually, depending on the domain you choose, the domain registrar, and whether it’s a premium or regular domain. Premium domains are short and memorable, and often contain a popular keyword, making them highly desirable and thus, more expensive.
Hosting, on the other hand, is the service that stores your website’s data on a server. A server hosts your website files so that they can be accessed by anyone on the internet.
The cost of hosting varies, ranging from a couple of dollars to thousands of dollars per month. The price is based on factors like server type, performance, and traffic capacity. For instance, shared hosting is budget-friendly and perfect for small websites, while dedicated hosting costs more but offers more power and is suitable for large or high-traffic projects.
You can often find these services bundled into one platform to lower your costs. For example, every Squarespace website subscription includes web hosting in the plan price. You can also find and register a domain through Squarespace Domains and get a free year with an annual subscription.
2. Design and functionality add-ons
Website designs and structures are another crucial consideration, given that 94% of first impressions relate to a site’s design. However, a premium design comes at a cost.
You have two options when designing a website:
Design templates or AI website creation from a website builder like Squarespace, which are typically free unless you buy a premium template from a designer.
Hire a professional designer instead. The cost of hiring a professional web designer can range from $500 to a couple of thousand dollars, depending on the complexity and creativity required.
Add-ons are another cost factor to consider. These include plugins for extra ecommerce capabilities, email marketing, automations, and advanced SEO tools. While some platforms offer free plugins, you’ll typically need to pay for premium extensions or hire a developer to create custom features that aren’t available with the default or free options.
3. DIY vs. hiring a professional
Development cost is another significant consideration to look into. Website builders like Squarespace are user-friendly and offer a cost-effective solution if you’re looking for a do it yourself option. Designing your website yourself eliminates development costs from your budget.
On the other hand, if you have special customization needs, then you’ll typically need to hire a website developer. The cost of hiring a developer can range from $50 to $150 or more per hour, depending on the developer’s experience and the project’s requirements. This can quickly increase your budget. If you go this route, get multiple quotes to compare.
4. Ongoing maintenance and updates
Beyond the initial setup, consider the ongoing costs of keeping your website running smoothly. Regular updates, security patches, and content updates are essential to maintaining your site’s reliability and performance.
Depending on whether you perform these tasks yourself or hire someone, maintenance fees can range from a few dollars to hundreds of dollars annually.
If you choose the DIY route, most website building platforms will handle performance and security updates for you. You can cut costs by updating website content yourself and relying on your website host for technical maintenance.
5. Customization and scalability
As your business or personal brand expands, you may need to upgrade your hosting, add new functionality, or redesign your site to match growing demands and trends. This can contribute to the overall cost of owning your website or even require you to migrate to a new platform.
Consider building from the start with a flexible platform or solution that allows for growth. That can minimize complications and ensure you can easily scale as your business expands in the future. This potentially mitigates future expenses and ensures your website remains effective as your needs change.
How web development options impact your costs
The development approach you choose when building your website is a major factor in its overall cost. You typically have three options:
Using a website builder
Building on a self-hosted platform
Coding the site from scratch
1. Using a website builder
A website builder like Squarespace offers you a robust platform for launching a scalable website.
Squarespace offers an all-in-one platform that simplifies the entire web development process, from design to hosting to maintenance. For design, the platform provides a variety of templates that you can modify to fit your brand’s aesthetic and an AI website builder that generates copy, pages, and images tailored to what you do. With pricing plans starting at around $16 per month for personal use and moving up to $99 per month for advanced commerce features, it’s a cost-effective way to get your site up and running.
A comprehensive platform like Squarespace includes simplified maintenance and built-in security, which are crucial for businesses that need a reliable website. You won’t have to worry about technical updates or threats, as Squarespace handles these aspects for you.
Another plus is the ease of management the platform affords; the intuitive Fluid Engine editor interface allows you to drag and drop elements onto your website, making the design and update process accessible even for those with no technical background.
Squarespace also includes tools for every size and type of business, so you won’t need to change platforms if you decide to paywall content, sell products, host events, or book services. There are no limits on Squarespace; if you’re comfortable with coding or you wish to hire a developer, you can do both and still use a Squarespace website.
Note: Squarespace plan pricing varies by location and plan type. Visit our pricing page for the most up-to-date details in your area.
2. Building on a self-hosted platform
If you want more flexibility and have some web design knowledge, you might consider a self-hosted platform.
Although this approach requires a bit more technical know-how, it can be rewarding in terms of the control it provides. Also, the costs can vary widely. Depending on the complexity and features of your site, you might spend $100 or more.
Using WordPress as one example, this is what the costs might look like. Note that these are estimates, and actual costs can vary:
Domain registration: Commonly around $10 to $15 per year
Web hosting: Ranging from $3 to $50 per month
Themes: Can range from free to over $100 for premium options
Plugins: Often free, but some premium plugins come with monthly, annual, or one-time costs between $5 and $100
Ongoing maintenance: Ranging from $75 to $15,000 annually, depending on the level of support you require and the complexity of your website
3. Coding the site from scratch
If you’re tech-savvy or need a truly custom solution, building a site from scratch could be the way to go. This is the most versatile approach, offering total control over every aspect of your website. However, it’s also the most time-consuming and expensive option.
If you’re taking this option, you can typically build the website yourself or hire a developer.
DIY approach: You’ll need to invest considerable time in learning and applying web development skills. Although you might save money on hiring fees, you shouldn’t underestimate the value of your time. If you already have the skills, then notable costs can include purchasing domain names, hosting services, and any additional features like ecommerce or shipping solutions.
Hiring a developer: Employing a professional developer can significantly ease the process, but it comes at a price. Basic websites may start at $500, while more intricate sites with custom functionalities can run into tens of thousands of dollars.
Ultimately, the method you choose to build your website will largely depend on your budget, technical skills, and the level of customization you require.
Squarespace offers simplicity and ease of use for a reasonable price, while other options might work for those who are comfortable with more complexity and time investment.
By weighing these options carefully, you can determine the best path to building a website that fits both your needs and your budget.
7 expert tips to save on website costs
No matter which path you choose, finding places to reduce your web design budget can give you flexibility to invest those funds elsewhere. Below are some proven strategies that you can employ to minimize the overall cost of building a website:
Prioritize your needs.
Use free tools and resources.
Choose cost-effective hosting solutions.
Consider website builders.
Opt for DIY design.
Schedule regular maintenance.
Scale as you grow.
1. Prioritize your needs
When creating your website, it’s essential to distinguish between what’s necessary and what’s “nice to have.” Prioritizing must-have functionality can significantly reduce costs. For instance, if you’re building a portfolio site, focus on showcasing your work effectively rather than investing in complex ecommerce features. By concentrating on your primary goals, you can avoid unnecessary expenses that don’t contribute to your website’s core purpose.
2. Use free tools and resources
The internet is abundant with free resources that can assist you in your website creation journey.
Squarespace, for example, regularly publishes tips and updates to help business owners get the most out of their websites. Similarly, graphic design platforms can assist in creating stunning visuals without the need for a professional designer. These free tools can both minimize costs and empower you to maintain more control over your site’s design and functionality.
3. Choose cost-effective hosting solutions
Hosting is a crucial element of any website, and selecting an affordable yet reliable hosting provider can save you money over time. Always compare different hosting services and consider starting with a basic hosting plan, which can always be upgraded as your site grows.
If you’re thinking of using a website building platform, see if any of your options handle hosting for you.
4. Consider website builders
For many beginners, a website builder like Squarespace provides an all-in-one solution that balances cost and ease of use. The platform comes with predesigned templates and built-in hosting, reducing the need for additional spending.
Although the monthly fee may seem higher at first compared to self-hosting options, the built-in functionality and system of connected tools may net out to a similar or lower cost than adding these individually. You also get the simplicity of managing everything from a single dashboard, which can compensate for any added expense, especially if you have limited technical expertise.
5. Opt for DIY design
If you have a creative flair, consider designing your website yourself. With a wealth of tutorials available online, learning the basics of web design can be more accessible than you might think.
Most website builders are designed to be user-friendly, allowing you to create a professional-looking website without the cost of hiring a designer. Designing your website yourself allows you to save money while gaining valuable skills. DIYing your site also makes the process straightforward if you want to update your content or design in the future.
Get a designer’s 10 essential principles of web design
6. Schedule regular maintenance
A well-maintained website is crucial for avoiding unexpected costs in the future. Set up a schedule for regular updates and backups, ensuring that your site runs smoothly.
Many hosting providers offer automated backup services as part of their package, which can be a smart investment to protect your data without additional effort. Staying on top of maintenance prevents issues from escalating and incurring higher repair costs later.
7. Scale as you grow
Instead of investing heavily upfront, adopt a growth-oriented approach by starting small and scaling your website as your needs evolve. This strategy allows you to manage your budget effectively, adding features and enhancements incrementally rather than all at once. By focusing on gradual improvements, you ensure that your spending aligns with your website’s actual needs and growth trajectory.