Are Garden Annexes a Good Investment?

With house prices climbing and families needing more flexible living solutions, many homeowners are considering whether a garden annexe is a smart investment. Whether you're looking for extra living space, a home office, a rental opportunity, or simply a way to add value to your property, a well designed annexe can tick all the boxes. But how much does a garden annexe cost, and what are the long-term benefits? Find out everything you need to know by reading on...

How much does a garden annexe cost?

Unlike traditional brick and mortar home extensions, which can cost upwards of £100,000 and take many months to complete, garden annexes offer a much more cost-effective solution that delivers the same benefits. The cost of a garden annexe depends on a variety of factors, including its overall size, cladding option, and the number/size of rooms, such as having a bathroom and kitchen area.                                                                                                         

At Cabin Master, we can provide you with five annexe building examples with sizing and room specifications with pricing in our brochure. These will help you to make an informed decision and give you some inspiration in the early stages of thinking about investing in an annexe building.

Our expert design team are here to bring your dream garden annexe to life, for free as part of your journey to securing your new space. Whether you already have some plans drawn up or are starting from the ground up, our designers are on hand to listen, offer their guidance, and create a 3D model of your perfect fully liveable structure. It’s what’s so great about going bespoke! You have control of your vision and we will help you to bring it to life, from paint colours to cladding options, to window and door placement. The choice is yours!

Do garden annexes add value to your property?

Yes! A well-designed, high-quality garden annexe can increase your property’s value by on average 5-15%, making it an attractive feature for potential buyers should you ever decide to sell up and move. But what's driving this appeal? For starters, a garden annexe provides an additional self-contained living space which is very flexible. Nowadays, potential buyers are seeking multipurpose homes and properties which can grow and evolve with them and their changing requirements. An annexe offers versatility as it can be used as a guest house, a garden office, or even a music studio.

Moreover, having a garden annexe will appeal to larger families. Multigenerational living is increasing in the UK, and having a self-contained garden annexe will increase your property's appeal to families with elderly relatives or young adults wanting more independence. 

Plus, a Cabin Master annexe is not just a standard annexe building! All of our garden annexes are expertly designed with high-quality materials, excellent insulation for comfortable year-round use, and energy efficiency in mind. They truly are a valuable asset to any property, and will stand the test of time. 

Can you make money from a garden annexe?

A garden annexe isn’t just a convenient addition, it can also become a valuable source of additional income. Many homeowners choose to rent out their annexes as self-contained AirBnbs or long-term lets, making it a smart investment that offers great returns. You can read more on this in our blog. Others transform their annexe into a dedicated home office or business space, saving thousands each year on external rental costs. They also work brilliantly as guest accommodation, providing a private, comfortable space for visiting friends, family, or even paying guests. With the growing demand for short-term rentals and flexible living solutions, a well-designed annexe can quickly pay for itself, and everything beyond that is pure profit. 

What are the long-term benefits of garden annexes?

A garden annexe brings a wide range of long-term benefits that go far beyond creating extra space. For families embracing multigenerational living, it offers a private yet connected solution, ideal for elderly parents or grown-up children seeking independence. It also future-proofs your home, adapting to your changing needs over time, whether that’s serving as a home office now or a guest house later. Unlike traditional extensions, which can drag on for months, a garden annexe is typically installed in just a few weeks, with minimal disruption to your home life. Built separately from the main house, there’s no need to live in a building site! Modern annexes also prioritise sustainability and energy efficiency, often including features like high-performance insulation. At Cabin Master, our annexes are designed for year-round comfort, combining energy-efficient glazing, durable materials, and smart design to create a truly liveable space that stands the test of time.

Planning permission & legal considerations

Before building a garden annexe, it’s important to do your research and check your local planning rules. In some cases, annexes may fall under permitted development, meaning full planning permission isn’t required. For larger, self-contained annexes, approval is usually necessary as they can be classed as a liveable structure. It’s also worth noting that if an annexe is classified as a separate dwelling, it may be assigned its own council tax band, although some local authorities offer reductions for dependent relatives.

Regardless of permissions, all annexes must meet building regulations to ensure they’re safe, well-insulated, and suitable for year-round living. But worry not! At Cabin Master, we’ve got it covered. Every annexe we build is designed to meet regulations, and our expert team handles everything from planning applications to full installation, keeping the entire process smooth and stress-free for you.

 Finally... is a garden annexe a good investment?

Absolutely. Whether you’re looking to boost property value, generate income, or create flexible living space for yourself and your loved ones, a garden annexe is a cost-effective, high-return investment. With the added benefits of quick installation, minimal disruption, and long-term usability, it’s no surprise that more homeowners than ever are choosing annexes over traditional home extensions.

If you’re considering adding a garden annexe to your property, our team of experts at Cabin Master can help you design the perfect solution tailored to your needs. 

Get in touch today to explore your options! Let's wok together to create your dream garden annexe.