Hiring a thekedar: labour-only or with material, and what to check

Labour-only vs with-material contracts, fair per-sq-ft rates in 2026, what a contract must say, and the red flags that cost families money.

Updated

Most houses in Pakistan are built by a thekedar on one of two kinds of contract. Which one you choose decides how much of your own time the build takes, and where the risk sits.

Labour-only (labour rate)

You buy every material yourself; the contractor supplies masons and labourers. In Lahore the going rate is about Rs 550 – 750 per square foot for the grey structure.

  • Cheaper overall and you control the quality of steel, cement and bricks.
  • But you — or someone you trust — must be on site regularly, order materials on time and watch for wastage.
  • Best when you live in the same city and can visit several times a week.

With material (grey structure or turnkey)

The contractor buys materials and supplies labour. Expect about Rs 2,720 – 3,600 per square foot for grey structure, or Rs 4,620 – 6,300 for a complete house with a standard finish.

  • Far less of your time, and one person responsible for the result.
  • The risk is quiet substitution: a cheaper steel grade, fewer bricks, thinner plaster. The contract must name brands and grades.
  • Best for overseas Pakistanis and anyone who cannot be on site often — but hire a separate engineer to check the work at each stage.

What the contract must say

  1. The covered area the rate applies to, and how it is measured.
  2. Brands and grades: cement brand, steel grade (usually Grade 60), brick class, concrete mix ratios, slab and plaster thickness.
  3. What is excluded — boundary wall, water tanks, septic tank, approvals, connections — so nothing becomes a surprise 'extra'.
  4. A payment schedule tied to completed stages, with 5–10% retained until completion.
  5. A timeline, and what happens if it slips.
  6. Who pays for water and electricity used on site.

Red flags

  • A rate far below everyone else's. Something is being left out or cheapened.
  • Asking for half the money up front.
  • No written contract, or one that does not name materials.
  • Reluctance to let your own engineer inspect the steel before a slab is poured.

Before pouring each roof slab, have an engineer check the steel. Once the concrete is in, mistakes are invisible and permanent.

Check your contractor's quote