The Cost of an Outdoor Living Space

Normal range: $1,500 - $20,000

Adding an outdoor living space to your home costs an average of $7,800, but prices can easily go upwards of $20,000 depending mostly on what type of space you plan to build.

How we get this data
A guest house with a patio and a small pool
Photo: AJ_Watt / E+ / Getty Images
Alison Kasch
Written by Alison Kasch
Contributing Writer
Updated December 22, 2023
A guest house with a patio and a small pool
Photo: AJ_Watt / E+ / Getty Images

Your outdoor space presents a world of new opportunities for morning coffees, afternoon barbecues, and late-night hangs around a warm, crackling fire. With average costs falling anywhere from $1,500 to $20,000, or upwards of $180,000, building an outdoor living space can also fit a wide range of budgets. If you’re looking to upgrade that collection of folding lawn chairs, here’s what you can expect to budget for some of the most popular setups.

See the price range for building outdoor living spaces:
How we get this data
Normal range for U.S.
$1,500 - $20,000
  • Average
  • $7,800
  • Low end
  • $1,500
  • high end
  • $180,000
LOWHIGH

Outdoor Living Space Cost Breakdown

Labor can take up 50% or more of your total project cost, though the materials you use will certainly impact the total price. Aside from that, getting the permits and land prep done will tack on extra to your budget. You’ll also pay more based on the size of the foundation or structure, as well as how you furnish and accessorize.

Outdoor Room TypeCost for MaterialsLabor Costs
Patio$1 – $35 per square foot$5 – $15 per square foot
Deck$20 – $45 per square foot$15 – $35 per square foot
Gazebo$2,000 – $8,500Kit assembly: $300 – $800; Custom build: $1,500 – $9,000
Sunroom$3,000 – $60,000$2,000 – $25,000
Pool or Guest House$14,000 – $112,000$34,000 – $70,000

Materials 

Materials can significantly impact your cost, covering a wide range of $1 to $45 per square foot, or upwards of $100,000 for major builds like pool or guest houses.

Labor

Labor can make up a significant chunk of your project cost, coming in at anywhere between $15 and $35 per hour or more. Many contractors will also charge by the project, so get in touch with a contractor in your area for the most accurate estimate.

Land Prep

If your land isn’t clear or level, you may need to budget anywhere from $500 to $6,000 or more to prep it for building. Your main cost factors are the number of trees, plants, and debris to remove, as well as the size of the plot that you’re looking to prep.

Permits

Many new constructions outside the home require extra permits—plan to invest about $400 to $1,500 depending on the project and where you live.

Size

The cost of your outdoor room’s foundation will go up depending on the size of the build. Use these ballpark figures to plan your budget accordingly.

Outdoor Room TypePrice per Square Foot
Deck$30 – $60
Sunroom $150 – $300
Patio$10 – $50
Pool or Guest House$60 – $600

Deck/Patio Covers, Furniture, Add-Ons, and Accessories

If you need to protect your outdoor room from the elements, the cost to add a deck or patio cover can be anywhere between $3,000 to $10,000. Or, if you want to occasionally work on your tan, a retractable awning typically costs between $2,000 and $3,500

From there, you can accessorize and transform your outdoor room into your dream hangout spot. Here are a few ballpark cost estimates to factor into your budget:

  • Patio furniture chat set (four chairs and a low table): $350–$5,000+

  • Patio table and chairs: $100–$5,000+

  • Hammocks: $40–$200+

  • Privacy curtains: $15–$400+

  • Outdoor Kitchen: $1,000–$40,000+

  • Outdoor Bar: $5,000–$20,000

  • In-ground pool: $40–$70,000+

  • Fire Pit: $300–$1,400 

  • Heater: $100–$300

  • Propane Fireplace: $300–$700

  • Lighting Fixtures: $8–$30+ each

  • Outdoor TV/Home Theater System: $550+

Cost of Outdoor Living Space to Build an Outdoor Room by Type or Foundation

Your main expense in building an outdoor room is choosing the type of foundation you want. Patios and pre-build gazebos can be fairly budget-friendly, while major builds like a pool house will cost significantly more.

Outdoor Room TypeCost
Patio$1,900 – $5,300
Deck$4,100 – $11,220
Gazebo$3,100 – $9,400
Sunroom $20,800 – $72,600
Pool or Guest House$48,000 – $180,000

Patio

The cost to build a patio ranges from $1,900 to $5,300 on average, or anywhere between $5 and $50 per square foot. Materials are your biggest cost factor for this project—inexpensive options like gravel or poured concrete go for as little as $1.50 to $6 per square foot, while high-end materials like granite cobblestone can run as much as $20 to $35 per square foot

Deck

The average cost of building a deck is $7,630, with most installations ranging between $4,100 and $11,220. Size, the type of deck materials, and labor are your biggest cost factors. You can build your own deck to save an average of $15 to $35 per square foot, but be sure to arm yourself with the proper tools and know-how to achieve a solid, level, and aesthetically appealing result. In many cases, it’s best to hire a local deck builder

Gazebo

Building a gazebo costs $6,200 on average, with builds typically falling between $3,100 and $9,400. Pre-made gazebo kits from your local home improvement store will be the most affordable option, while pre-built professionally installed models can land on the mid-to-high end of the spectrum. If you want to go all out, custom builds can go for upwards of $20,000 or more

Sunroom

The interior of a sunroom with a comfy couch
Photo: John Keeble / Moment / Getty Images

Sunrooms typically run anywhere from $20,800 to $72,600, or between $150 and $300 per square foot. However, you can pay as little as $5,000 if you build a small room yourself or purchase a pre-fab kit.

Pool or Guest House

Building a pool or guest house costs an average of $114,000, or between $48,000 and $180,000 for a 300-square-foot structure. To save major cash, consider a pre-fab model for around $27,000 and up.

DIY vs. Hiring a Contractor

DIY enthusiasts have many ways to save with this project, but it’s important to do your research beforehand to avoid structural issues and other hiccups. Pros can cost significantly more, but they offer guaranteed stability, longevity, and aesthetic appeal.

Outdoor Room TypeDIY CostHiring a Pro
Patio$80 – $11,000$400 – $14,400
Deck$1,200 – $7,500$2,500 – 17,000
Gazebo$1,500 – $8,500 $1,500 – $9,000
Deck or Patio Cover$1,250 – $3,500$3,000 – $10,000
Sunroom$5,000 – $20,000$21,000 – $75,000
Pool or Guest House$5,000 – $45,000+ (prefab structure; DIY builds by non-professionals not recommended)$27,000 – $180,000

Frequently Asked Questions

In most cases, yes, an outdoor living space adds value to your home. The trick to your best return on investment is to choose high-quality building materials that will look nice and durable without crossing the line into total luxury that becomes cost-ineffective. For example, there’s no need to install marble tiles around your pool, but a durable and aesthetically pleasing deck will go a long way.

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Learn more about our contributor
Alison Kasch
Written by Alison Kasch
Contributing Writer
Alison is a Chicago-based writer who has spent the last seven years focusing her content on everything inside and outside the home.
Alison is a Chicago-based writer who has spent the last seven years focusing her content on everything inside and outside the home.
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