Perhaps you are considering an outdoor home improvement, such as a backyard shed. Maybe this was triggered by the tidal wave of novel potting sheds, she sheds, mancaves, and mini guest homes.  Or your simply want a tool shed for space and extra storage. Another consideration may be that you are preparing to move and wondering how to ensure your shed is an asset instead of a liability.

An Asset or A Liability?

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Fact. A backyard storage shed is a bit more of a weighty purchase than picking out a new breakfast cereal. Which is why you smartly opened this blog (maybe even while trying out that new breakfast cereal) seeking the answer to this relevant question…” Will a shed increase my property value? Will the addition of a shed to my property attract buyers or turn them off?  

The quick and vague answer to the above question is…yes, however under certain criteria. Sadly “just a shed” will not raise your property’s value simply by existing in your backyard.

Annoying right? Good news! A shed can still be an asset IF the following conditions are met.

Sure-Fire Ways A Shed Will Increase Your Property Value

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1. Get a Permit (if you are planning to build)

Without a paper from your local township, your shed is a liability when you go to sell. Make sure you check with your local township to ensure that owning a shed is legal and that you have obtained the proper paperwork to build one. We repeat…without proper documentation, your shed is a liability.

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2. Set Your Shed on a Foundation

Without a foundation under your shed, your shed may be considered an accessory. Which means, that it will not be included in your house’s appraisal, even if it looks like Buckingham Palace. The reason for this is that it can be moved from location to location, just as a picnic table or other unattached outdoor embellishments. So, plan to prepare or install a foundation before bringing your shed home.

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3. Bring Your Buildings Together in Style & Harmony

The aesthetics of your shed is money when it comes to increasing property value. Potential buyers might cringe (or worse) if the prospective property’s house is a natural tan and the shed is a funky orange. Try to match the colors and materials as closely as possible. If you want to build a butterfly garden surrounding your shed, then a distinctly different color might work. Just keep in mind the idea of blending your outdoor aesthetics together as much as possible. A clean, modern, and charming blend of all your property’s buildings wins higher value in interested buyers.

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4.  Choose Quality Over Cheap Cookie Cutter

No cheap, cookie cutter shed is going to impress anyone. Avoid going the cheap shed route. Investing in a high-quality shed is a smart move for you, your shed’s purpose, and your overall property investment. Choosing custom built sheds guarantees a long-lasting and quality built shed. The materials used by the shed builder determines your shed’s quality. Custom sheds are built with quality wood and with high quality craftmanship. Quality materials coupled with professional build ensures a long-lasting outdoor structure. Potential buyers will be impressed if they ever discover your good-looking shed is over 10 years old and still in excellent aesthetic and functional condition.

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5. Create Charming Curb Appeal

Curb appeal is a must when your house and property hit the market. But especially consider curb appeal when it comes to making your shed look its charming best on your property. Does your shed’s location on the yard add or take away from the overall property aesthetics? If so, it would be best to move it (if possible) to a more appealing location. If your property is going to raise value in the eyes of the potential buyer, keep your yard and your shed orderly and well-maintained. Keep your shed orderly and well-maintained all the days of its life. Buyers will notice whether your outdoor structures are worn down. Appraisers notice too. An orderly yard and a well-maintained shed create the perfect combo of desirable curb appeal. 

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6. The Inside Matters TOO!

As mentioned above, prevent frenzy decluttering or quick re-painting in order to cover up years of shed neglect. Instead maintain your shed’s appearance from the inside out! Yes, the inside of your shed matters too. Create an organized interior by adding helpful shelves and a workbench. Or decorate the inside (like the above picture), sweep the floors, and while you are at, add homey scents! Try some Febreze scents or natural indoor air fresheners. Good smells incite good feelings. Your shed should do just that!

Not All Sheds Increase Equal Property Value

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So, in a world of mancaves, she sheds, tiny homes, and tool sheds, does the description and purpose affect the property value when it comes to the appraisal of my home?

Yes, it does. And typically, the use and function of your shed will either raise your property value when appraised by much or by little.

Here are the most property value enhancing ways to use a shed according to professional home appraisers.

  • Living Quarters (potentially 15,000 of added value)
  • She Shed & Man Cave (1-2% + value increase)
  • Tool Shed (1-2% value increase)

In a Nutshell…Will a Shed Increase My Property Value?

A typical tool shed will not considerably increase home value. However, if the shed is in quality condition, sits on a foundation, and creates a desirable curb appeal, (while smelling great😉) it will increase the property value. If you go the living quarters route, your shed turned guest house will bring the highest increase to your property value when appraised. Although do not plan on the added value far exceeding the cost of the renovation.s

Check out Kauffman Structure’s quality and custom-built sheds and start building your home’s value today!

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