I built a backyard office for under $20,000 — here's the full cost breakdown
Building a backyard office, the build and cost breakdown

A Portland homeowner shares how he built a backyard office for $19,478, complete with a Tuff Shed shell, custom windows, electrical, insulation, drywall, flooring, and a mini-split HVAC system. He explains his decision to avoid a $30k prefab pod, the importance of getting multiple contractor quotes, and lessons learned about lighting, CO2 levels, and hiring smaller contractors. Includes a detailed cost breakdown and tips for anyone considering a similar project.
In small spaces, you should make very intentional choices.
- kslambert
Author here. Thanks for the comments everyone!
There are many comments on the price point. I would like to comment on one thing.
"$20k is too much"
I agree $20k is an investment. Could I have done it for cheaper? Absolutely. Would a DIY shell been cheaper? Would doing more of the work myself have been cheaper? Could I have saved by putting in the smaller stock windows and not having a skylight? Of course!
But I am a dad with a young kid, he was 1 when I built the office. I didn't want to spend my limited free time on this project. There was a trade-off between paying for labor and the time it would take to do it myself. At this point in my life I always look at these decisions through a lens of: is the cost savings worth my time. In this case I valued my time more than the cost savings. I was lucky enough to be in a situation where I would rather spend money for someone else to build this then spending my nights and weekends on this project.
I am almost 4 years in I would have paid over $20k for a co-working space. We were able to stay in our smaller house with a ridiculously low mortgage rate. We made the right choice for us.
Cheap is relative. Sometimes your time is worth more. There are litteraly entire companies built on this premise, cough DoorDash
- ryandrake
For work-from-home, I can't emphasize enough how much of a game changer it is to have a physically separate building for your work, especially if you have a family with kids and noise and pets and things. Working from a spare bedroom, even one without a bed / outfitted as an office, is just not my thing. Even if your family "knows the rules" and let you work in peace. It subjectively still "feels like you're home". With a separate building, I can do a short walking commute and take those 10 seconds to "get into work mindset." And, once I'm out there, it can be a hermetically sealed, zero-distraction zone.
If you are lucky and fortunate enough to live in an actual house with land, and work (or are thinking about working) remotely, seriously consider investing in an actual separate building for your office.
- mtlynch
I jumped to the end and saw $2.3k for the mini split and couldn't believe it. I've installed mini splits on two homes and the quotes were always in the $15-25k range for 3-5 head units, so $2.3k for a head + outdoor condenser unit sounded implausible, but then I saw he found a surprisingly good deal:
> I got a ton of quotes for installing a mini split. They ranged from $4-$7k, which was higher than I expected after researching the cost of a quality small unit and knowing this would be a tiny job for an HVAC contractor, especially because I had my electrician prewire the electrical. I was considering installing a DIY system (Mr. Cool DIY system with pre-charged AC lines), But found an HVAC contractor who would install a system for a much lower price than the other quotes I received (and he had great reviews on Thumbtack). In the end, I got a Daikin Mini-split, a common system with many replacement parts. The installation took about 5 hours, and my tech did a great job. I am glad I researched and got a lot of quotes for this one.
- starkparker
> In Portland, I didn’t need a permit for the building because it was under the size threshold
You still need a structural building permit, beyond any electrical or plumbing permits, if it's both heated and used either as a living space or "for a business".
The city added the "for a business" wrinkle in 2024 and is very squirrely about whether using it as a work-from-home office counts as "for a business". It _does_ include working from it without bringing employees or clients into the buildling, but the way it's written implies that it's for people running a business out of their home address and not working for someone else's business.
It's a gray-enough area that I hope you got some solid legal advice. We ended up getting the permit to cover our bases in case I had to move to freelance/consulting self-employment.
- rootsudo
Boy things are different in Portland where you pay people to insult sheds…
But 8x10 for $20,000 just goes to show how expensive USA is for construction. There’s a point where I would review coworking space cost (not as convenient, I know) to just living and owning property abroad.
- titanomachy
Thanks for taking the time to make this detailed write-up! You got a beautiful result, and I appreciate the spirit of sharing what you learned and helping people who are considering similar projects.
I'm glad you measured CO2. I've recently noticed I tend to get headaches when working or sleeping in small poorly-ventilated spaces, and I'm surprised how often I encounter new structures without ventilation. I guess tightly-sealed buildings are still a relatively new idea.
In the PNW you could probably be comfortable >90% of days with a cracked window, fan, adjustable shades, and a little electric radiator, but if I was doing this project I'd probably opt for the modern heat pump / ERV combo as well.
- eysquared
Im jealous of the Tuff Shed or prebuilt being an option. Where I live we have incredibly high snow loads, so any structure ends up needing to be custom built to meet our requirements (even out buildings). I've found plenty of pre-fab units that claim to handle "high snow loads" that will not meet code where I am.
I'm still planning on building out an office/studio, but it will be a much larger investment despite being able to DIY much of it.
- ipython
Looks awesome, but I would have run single-mode fiber between the house and the office. Eliminates any issues with lightning strikes taking out equipment or other electrical gremlins, not to mention providing opportunity for expanding bandwidth in the future by just swapping out the SFP modules on each end. Pre-terminated fiber from fs.com is inexpensive and easy to work with - just measure and install.