You’re tired of working in the living room, and you want to create an outdoor (ideally, soundproof) home office without buying a new home. Or maybe your ski equipment overflows—again—and you just need more storage space.
Whatever the motivation, building a shed in your backyard might be the perfect solution.
So, how much does it actually cost to build a shed?
Read on to find out—
The average cost of building a shed.
Shed costs depending on different sizes.
Whether it’s cheaper to build or buy a shed.
Read more:
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What’s the Average Cost of Building A Shed?
Building a shed costs, on average, $5 to $175 per square foot, which translates to a range of $320–$112,000.
The final cost will depend on the size, the materials you use, where you buy them, and whether you DIY the entire project or hire someone.
And then, of course, you need to decide what the shed’s purpose is—a wooden storage shed will be much cheaper than a fully functional she shed made of bricks.
LOW COST | AVERAGE COST | HIGH COST |
$320 | $3,500 | $112,000 |
Let’s break down all these aspects to see how much you’d have to pay for your shed.
If you’re unsure about the size and the looks of it, you can use tools like this 3D shed builder to figure it out.
Example cost of an 8x8 storage shed
Let’s start with an example of a simple storage shed.
A prefabricated kit of 8x8 is, on average, $3,500, and the assembly cost is $1,280.
Example cost of a 12x12 she shed
Source:eartheasy
A custom-built she shed of 144 sq ft costs, on average $21,757.
That includes labor cost ($15,120), material cost ($3,600), insulation cost ($648), permit fee ($25), and foundation cost ($864).
We added $1,500 for interior finishes, although the cost depends on your preferences.
Example cost of a modern, custom-built 16x16 shed
Source:Amazon
A modern, custom-built shed may cost around $40,000.
That includes labor ($26,880), materials ($6,400), permit fee ($150), foundation ($1,536), insulation ($1,152), and interior finishes ($3,000).
Shed Costs by Size
Here’s a quick rundown of some common shed sizes and what you can expect to pay for each:
SHED SIZE (FT) | COST TO BUILD A SHED |
8x8 | $320–$11,200 |
8x10 | $400–$14,000 |
8x12 | $480–$16,800 |
10x10 | $500–$17,500 |
10x12 | $600–$21,000 |
10x16 | $800–$28,000 |
10x20 | $1,000–$35,000 |
12x12 | $720–$25,200 |
12x14 | $840–$29,400 |
12x16 | $960–$33,600 |
12x20 | $1,200–$42,000 |
12x24 | $1,440–$50,400 |
16x16 | $1,280–$44,800 |
16x20 | $1,600–$56,000 |
16x32 | $2,560–$89,600 |
16x40 | $3,200–$112,000 |
20x20 | $2,000–$70,000 |
We crunched the numbers for the low- and high-end prices—your project may fall somewhere in the middle.
As you can see, the ranges can vary a lot.
That’s because they include everything from buying a cheap shed kit and assembling it yourself to hiring a professional and building the custom-designed shed of your dreams.
To get a better idea of how much you’d have to spend on building a shed, you need to ask yourself a few things first:
Do you want to build it yourself or hire someone to do it for you?
Are you okay with prefabricated kits, or do you want a custom design?
Which material would be best for you?
Is your backyard ready for the shed, or does it need preparation?
What will be the main purpose of your shed?
Once you know the answers to these questions, you’ll be ready to work out the costs.
We’ll show you the average cost for each category separately, using examples of the most common shed sizes—between 64 and 640 square feet.
Breakdown of Costs to Build a Shed
Before diving in, let’s create a to-do list (the shed edition) with everything you need to think of when building your shed:
Labor costs
Materials
Site preparation
Foundation
Installation
Insulation
Electricity, plumbing, etc. (if applicable)
Permit fees
Labor costs: DIY vs. hiring a professional to build your shed
You have two main choices when putting up your shed—do it yourself or hire a pro.
Each option has its ups and downs, so let’s take a look at what you should consider—
Doing It Yourself
Expected cost: Free
Pros
You can save some money on labor costs, and it can be a fun project if you’re into these things. Plus, you’ll have the satisfaction of knowing you built it yourself.
Cons
It can be time-consuming, especially if you’re new to construction. You might also run into unexpected challenges or make mistakes that could end up costing you more in the long run.
Hiring a Professional
Expected cost: $640–$96,000
Contractor fees usually include a minimum call fee of around $100 per project and hourly labor rates between $50 and $100.
Then you need to add the 30% markup on materials that contractors often charge.
Labor costs for various sizes
If you leave it to professionals, you can expect between $60 and $150 per square foot in labor costs for a custom-designed shed—and between $10 and $20 for assembling the kit.
Already have a size in mind?
Let’s see how much that would be:
Shed assembly vs. custom build cost
SHED SIZE (FT) | LABOR COST TO ASSEMBLE THE SHED | LABOR COST TO BUILD A CUSTOM SHED |
8x8 | $640–$1,280 | $3,840–$9,600 |
8x10 | $800–$1,600 | $4,800–$12,000 |
8x12 | $960–$1,920 | $5,760–$14,400 |
10x10 | $1,000–$2,000 | $6,000–$15,000 |
10x12 | $1,200–$2,400 | $7,200–$18,000 |
10x16 | $1,600–$3,200 | $9,600–$24,000 |
10x20 | $2,000–$4,000 | $12,000–$30,000 |
12x12 | $1,440–$2,880 | $8,640–$21,600 |
12x14 | $1,680–$3,360 | $10,080–$25,200 |
12x16 | $1,920–$3,840 | $11,520–$28,800 |
12x20 | $2,400–$4,800 | $14,400–$36,000 |
12x24 | $2,880–$5,760 | $17,280–$43,200 |
16x16 | $2,560–$5,120 | $15,360–$38,400 |
16x20 | $3,200–$6,400 | $19,200–$48,000 |
16x32 | $5,120–$10,240 | $30,720–$76,800 |
16x40 | $6,400–$12,800 | $38,400–$96,000 |
20x20 | $4,000–$8,000 | $24,000–$60,000 |
A she shed, a man cave, an outdoor home office—
Whatever your dream shed is, the labor costs to build it range between $3,840 for a small 64 sq ft to almost $100,000 for a large 640 sq ft shed palace.
Pros
You’ll have an experienced team handling the job, which means it’ll likely be done quicker and with fewer hiccups. They’ll also usually know all the ins and outs of permits and regulations.
Cons
You’ll need to pay for their services, adding to the project’s overall cost.
Material cost to build a shed
The materials you choose for your shed will also play a big role in the overall cost.
There are several options (each with its price tag and benefits).
Do you want an easy-to-assemble shed kit from Home Depot or a fancy she shed with electricity and a wine fridge?
Prefabricated kits
Expected cost: $350–$4,000
Choosing a prefabricated shed can be a great way to keep your project costs down.
You can find ready-made models and DIY kits starting at around $350, going up to $4,000 for bigger, feature-packed options.
Material costs to build a custom shed
Now, when creating your custom shed, the prices depend on the size:
SHED SIZE (FT) | MATERIALS COST TO BUILD A SHED |
8x8 | $1,280–$1,920 |
8x10 | $1,600–$2,400 |
8x12 | $1,920–$2,880 |
10x10 | $2,000–$3,000 |
10x12 | $2,400–$3,600 |
10x16 | $3,200–$4,800 |
10x20 | $4,000–$6,000 |
12x12 | $2,880–$4,320 |
12x14 | $3,360–$5,040 |
12x16 | $3,840–$5,760 |
12x20 | $4,800–$7,200 |
12x24 | $5,760–$8,640 |
16x16 | $5,120–$7,680 |
16x20 | $6,400–$9,600 |
16x32 | $10,240–$15,360 |
16x40 | $12,800–$19,200 |
20x20 | $8,000–$12,000 |
Site preparation and foundation costs
Before building your shed, you’ll need to prepare the site and choose the right foundation—this part of the process can affect your costs, too.
Here’s what you need to think about—
Clearing the area
Make sure the spot where you want your shed is clear of debris, rocks, and vegetation. You might need to spend some time and effort (or money if you’re hiring someone) to get it ready.
Grading and leveling
You’ll need a level surface for your shed, so you might have to do some grading and leveling. This can be a DIY job if you’re handy, or you can hire a pro to take care of it.
Shed foundation cost
Most sheds need a foundation. There are a few options for shed foundations, like gravel pads, concrete slabs, or piers and blocks.
A gravel pad foundation is a budget-friendly option, coming in at just about $1.25 to $1.80 per square foot, but the most popular foundation choice is a concrete slab, which usually costs around $6 per square foot.
Additional Costs
When budgeting for your shed, don’t forget to consider some extra costs that might come up.
Here are a few things you might need to think about—
Shed installation cost
If you’re hiring a professional to build your shed, you’ll need to factor in the price of labor and installation.
The average cost ranges between $60 and $125 per hour. Depending on the size of your kit, the installation cost would be from $240 to $1,000.
Cost to insulate a shed
If you plan to use your shed as a workspace or keep your stored items at a stable temperature, you might want to insulate it.
This will add to your overall costs, depending on the type and amount of insulation you choose:
SHED SIZE (FT) | SHED INSULATION COST |
8x8 | $256–$320 |
8x10 | $320–$400 |
8x12 | $384–$480 |
10x10 | $400–$500 |
10x12 | $480–$600 |
10x16 | $640–$800 |
10x20 | $800–$1,000 |
12x12 | $576–$720 |
12x14 | $672–$840 |
12x16 | $768–$960 |
12x20 | $960–$1,200 |
12x24 | $1,152–$1,440 |
16x16 | $1,024–$1,280 |
16x20 | $1,280–$1,600 |
16x32 | $2,048–$2,560 |
16x40 | $2,560–$3,200 |
20x20 | $1,600–$2,000 |
Cost to make a shed livable
If you’re thinking about turning your shed into a cozy retreat or guesthouse, you’ll need to invest in things like interior finishing, plumbing, and heating or cooling systems.
These extras can add up, so be prepared to adjust your budget accordingly.
Cost to build a shed with electricity
Adding electricity to your shed can be really useful, but it’ll also increase costs.
You’ll need to pay for wiring, outlets, lighting, and possibly an electrician to get everything set up safely.
Permit fees
If you plan to build a big or livable shed, you’ll most likely need permits.
On average, across the country, getting a permit for small projects like sheds usually costs between $50 and $300.
For bigger projects, you might have to shell out anywhere from $500 to $2,000.
Most of the time sheds fall into the small project category, so you’re likely looking at the lower end of the price range.
The average cost to build a shed in 2023 is between $300 and $112,000.
Prefabricated kits can save you money and time, but you can’t customize them to your needs.
Don’t forget to consider the costs of site preparation, foundation, and additional features (like insulation or electricity) when planning your project.
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