How Much Does It Cost to Build a Shed in 2025?
Building a shed costs an average of $3,500
The average cost to build a shed ranges between $1,000 and $15,000, or $3,500.
Shed size, materials, features, and labor all impact the final cost.
Hiring a professional shed builder ensures that your new structure is durable and properly constructed.
This article was updated using automation technology and thoroughly reviewed for accuracy by HomeAdvisor Editor Ryan Noonan.
Most homeowners spend an average of $3,500 on the cost to build a shed, although prices range from $1,375 for a simple prefab model to well above $100,000 for a fully custom design. The average cost range is between $1,000 and $15,000.
Your final shed budget depends on how you plan to use the space, its size, and the materials you select. Bringing in a professional shed builder keeps those moving parts on track and ensures your new shed is structurally sound.
Shed Building Cost Factors
The cost of your shed depends on several factors, including its size, purpose, and the type of building materials used.
Size
Size is the biggest driver of shed cost. The larger the footprint, the more material and labor you’ll need. Expect to spend $10 to $160 per square foot for materials and labor.
Prefab vs. Customization
Prefabricated shed kits cost less than a fully custom-built structure. A 10-by-10-foot prefab model runs $1,000 to $4,000, whereas a custom version of the same size can reach $3,000 to $16,000.
Depending on the type of build, assembling a prefab shed can cost $10 to $40 per square foot, while a custom-built shed can cost $30 to $160 per square foot.
Whether you choose a prefab or custom construction, be sure to consider water runoff. “When planning your shed location, don't forget to evaluate water drainage,” says Andy Kilborn, owner of Andy's Handyman Service in Des Moines, IA. “Ensure your shed roof won't be creating a water issue near your home.”
Purpose
How you plan to use the shed directly shapes the final price. A home office shed or playhouse costs more than a barebones garden shed. For instance, a workspace may need shelving and insulation, while a playhouse shed may call for windows and other additional structures. The cost to build a greenhouse may involve plumbing and glass panels.
Materials
After size, the material you choose has the biggest impact on your shed budget.
| Material | Average Cost Range |
|---|---|
| Plastic | $750–$4,000 |
| Metal | $500–$7,000 |
| Wood | $1,000–$4,300 |
| Brick | $15,000–$30,000 |
| Concrete | $10,000–$28,000 |
Features
A no-frills, four-wall structure is the most cost-effective option. Each add-on—think foundation, insulation, or wiring—pushes the total higher.
| Feature | Average Cost Range |
|---|---|
| Foundation | $4,000–$12,300 |
| Insulation | $0.35–$3 per sq. ft. |
| Deck or Patio | $10–$50 per sq. ft. |
| Landscaping | $4–$10 per sq. ft. |
| Electrical | $40–$100 per hour |
| Plumbing | $45–$150 per hour |
Additionally, consider labor, permits, and preparation work, as these can significantly affect your shed-building budget.
Labor
Labor rates swing based on whether you’re assembling a kit or commissioning a custom build. Hiring a handyperson to build a prefabricated shed costs between $60 and $125 per hour, while a custom structure by a local shed builder can cost $50 to $100 per hour.
Permits
Most homeowners pay an average of $250 for a shed permit, although strict local rules can push that figure to $2,000.
Prep Work
Before construction starts, you may need to prep the site—level the ground, clear vegetation, or improve drainage. For example, land that isn’t completely flat may need to be graded.
Does Building a Shed Increase Home Value?
A simple garden or storage shed rarely moves the appraisal needle. While buyers appreciate the extra storage, it won’t add serious dollars to your sale price. Luxury, finished sheds are the exception. Insulation, plumbing, and electricity effectively create livable square footage—an upgraded she-shed, home office, or studio—that can boost resale value.
Budgeting for Building a Shed
Shed prices span a wide range, but smart planning can keep your spend in check. Use the tips below to trim costs without sacrificing function:
Pick budget-friendly materials: Wood and brick look great, but cost more. For a basic garden shed, vinyl or metal does the job for less.
Opt for a prefab kit: A ready-made design slashes both design and labor costs compared with a custom build.
Shop local: Buying from a nearby supplier helps you avoid hefty delivery fees and fuel surcharges.
Consider a lighter foundation: Timber skids or a gravel bed cost far less than a poured concrete slab.
Handle the easy prep yourself: Clear vegetation and level minor bumps before the crew arrives to reduce labor hours.
How HomeAdvisor Gets Its Cost Data
No place is more important than your home, which is why HomeAdvisor connects homeowners with local pros to transform their houses into homes they love. To help homeowners prepare for their next project, HomeAdvisor provides readers with accurate cost data and follows strict editorial guidelines. After a project is complete, we survey real customers about the costs to develop the pricing data you see, so you can make the best decisions for you and your home. We pair this data with research from reputable sources, including the U.S. Bureau of Labor Statistics, academic journals, market studies, and interviews with industry experts—all to ensure our prices reflect real-world projects.
Frequently Asked Questions
Most sheds larger than six feet by eight feet require a foundation to remain level and dry. A compact tool shed might get by without one, but anything heavier should sit on at least a 4-inch-thick stone-and-gravel pad that extends two feet past the walls. The gravel protects wood skids and promotes drainage. If you want maximum stability—and your budget allows—a poured concrete slab is the strongest option.
Your ideal shed size hinges on purpose. A common 10-by-12-foot kit gives you 120 square feet—plenty for lawn tools and bikes. Need just a spot for a mower and a few rakes? A compact 4-by-7-foot model should work. If you’re envisioning a workshop or hobby room, look at 12-by-16 feet or larger.
A good rule is to raise the shed floor four to six inches above the surrounding soil. That clearance encourages water to drain away instead of pooling beneath the structure. The simple step is especially important for wood floors and skids, helping deter rot, mold, and insect damage while extending the life of your new outbuilding.
Choose the route that fits your goals. Prefab sheds arrive in standard layouts and go up fast—perfect for basic storage on a tight timeline. Custom builds cost more and take longer, but let you add windows, wiring, plumbing, and unique finishes. Balance budget, features, and timeframe before deciding which type of shed is best for your needs.
Get our Angi-powered app
