Commercial and Residential Construction Differences Explained End Project Results So, let’s jump right into the difference between residential and commercial construction. This includes differences in the sales process, materials and equipment used, the project timeline and scope, the way projects are funded, the codes and permits needed, and even planning the buildings in the first place. There are critical differences between them that extend beyond their use. Yet, the truth is that residential and commercial construction can be very different. Large-scale living complexes and privately owned public spaces are examples of commercial constructions. So, apartments and individual houses are considered residential constructions.Ĭommercial buildings are used for business purposes. Residential building construction is done for buildings meant to be lived in. Mainly, the difference between residential & commercial construction projects is what purpose the final building will serve. Residential and commercial projects serve different purposes and have very different project scopes.