Think a new kitchen or bathroom is the only way to boost your property’s price? Think again.
New research from The Shed Company, conducted by Primara Research, reveals Australians are willing to pay an average of $17,380 more for a property with a backyard shed, with 79 per cent of buyers prepared to pay a premium and one in four willing to go at least $20,000 above asking price.
Queenslanders are leading the charge, prepared to pay an average of $18,200 extra, closely followed by New South Wales buyers at $18,006, and Western Australians at $17,944. Southern states, while still valuing a shed, show slightly lower figures, with South Aussies willing to splash an additional $16,646 on a shed, followed by Victorians at $16,624, while the average premium for Tasmania, the ACT and the Northern Territory sits at $13,800.
MORE NEWS
Dozens of homes hit market for under $200k
Mould nightmare forces family to shower outside
‘Lucky to be alive’: Star’s carbon monoxide horror
New research from The Shed Company, conducted by Primara Research, reveals Australians are willing to pay an average of $17,380 more for a property with a backyard shed. Picture: Ellen Smith
The workshop advantage
If you’re thinking of adding a shed, consider its purpose carefully.
The research highlights that sheds earmarked for workshop use command the biggest premium, pushing the average up to an impressive $25,248.
That’s a substantial $7,868 above the national average.
It appears a shed with a clear, practical function is highly desirable, with one in five buyers seeking a workshop willing to pay more than $30,000 above the asking price.
This indicates that a dedicated space for hobbies, DIY, or a home business is valued significantly more than a shed used purely for general storage.
Source: Primara Research
Millennials driving the shed boom
Perhaps the most surprising finding is that no generation values a shed more than Millennials. This cohort would pay an average of $19,239 more – over $2,000 above any other age group – with nearly a third (30 per cent) willing to pay $20,000 or more.
This trend is echoed in our major cities, where urban buyers are prepared to pay over $2,000 more than regional buyers for a shed.
The principle is simple: the scarcer the space, the higher the value placed on it. As housing affordability pressures continue to push younger buyers into smaller homes with less internal storage, a backyard shed is fast becoming an essential “overflow” solution.
The data shows Queenslanders are most shed obsessed.
Peter Drennan, Head of Research and Data at Primara Research, said the message is clear: when space is scarce, its value skyrockets.
And as housing affordability pressures push younger buyers into smaller homes with less internal storage, a backyard shed is becoming an increasingly vital “overflow” solution.
“The $17,380 average understates what a shed can do for younger buyers,” he says. “Affordability has pushed this generation into smaller footprints, and a shed becomes the practical overflow that a smaller home can’t provide.
“That’s why the premium climbs so sharply for this group; it isn’t a nice-to-have, it’s solving a real problem.”
So, if you’re looking to add value to your property, it might be time to consider that humble backyard shed. It could be worth more than you think.
English (US) · 