Certified Healthcare Constructor Practice Exam 2025 – Complete Preparation Guide

The term "soft costs" in the context of healthcare construction refers to the indirect costs incurred during a construction project that do not involve physical construction materials. These costs can include project management fees, legal fees, financing costs, design and consulting fees, insurance, and other administrative expenses necessary for completing the project. Understanding soft costs is crucial for effectively budgeting and managing a construction project, as they can significantly impact the overall financial plan and must be accounted for in addition to the hard costs related to materials and labor.

In contrast, the other options primarily pertain to tangible aspects of the project, such as direct costs for materials and labor, which fall under the category of "hard costs." Landscaping and external design, while important for the aesthetics of a facility, do not encompass the broader financial implications of project management and operational overhead that soft costs represent.