Tearing down and rebuilding a house costs $125,000 to $450,000 on average or $104 to $165 per square foot. An architect costs $100 to $250 per hour before demolition to save time and money by determining if any house parts are reusable, such as the foundation.  Replacing or installing all-new utility lines in their existing location makes up some of the total rebuilding cost. Costs include permits and inspections for water, sewer, gas, and electric lines.