The Ultimate Storage Shed Cost Guide: How Much to Budget in 2026?

Have you thought about adding a dedicated space to store garden tools, outdoor equipment, or all those extra items that clutter your home? Maybe you’re dreaming of a backyard playroom, craft area, or hobby space for your kids. A garden shed can be a practical and cost-effective solution, giving you extra space while enhancing the functionality and appeal of your outdoor area.

Garden sheds come in a wide variety of shapes, sizes, and materials, which means costs can vary significantly from one style to another. That’s why we created this garden shed cost guide—to help you understand what to expect and make choices that fit your needs. Keep reading to explore the options available and start narrowing down the right shed for your backyard.

How Much to Budget to Construct a Garden Shed in Canada?

For example, the cost to build a 16 × 20 shed (320 sq. ft.) varies widely depending on the material you choose. A metal shed is generally the most affordable option, costing between $8,000 and $9,600 based on an average price of $25 to $30 per square foot.

If you prefer a wood shed, which is typically more durable and customizable, you can expect to pay between $12,800 and $16,000, using the average range of $40 to $50 per square foot.

For a resin shed, which offers low maintenance and good weather resistance, the cost is slightly higher, coming in between $14,400 and $16,000 at $45 to $50 per square foot. These examples give a realistic idea of how much to budget when building a 16 x 20 garden shed in Canada.

Average Backyard Shed Building Cost

In Canada, the cost of building a shed typically ranges from $2,000 to $10,000, with the overall price tag depending largely on the materials you choose and whether you hire a professional contractor to complete the job. 

Note that the price points details above don’t factor in the following:

• Materials needed for floors, doors, and hardware

• Additional material fees (including nails, screws, and decorative accessories)

• Electrical work

• Labour 

Make sure to consider all these items when budgeting for your project. Once again, bear in mind that overall project costs also depend on the size of your garden shed.

Affordable Option: Metal Garden Shed

Metal is on the lower end of the price per square foot scale, and is an extremely durable material. Metal garden sheds are usually made of steel or galvanized steel. This material benefits from rot- and insect-resistant properties. However, it’s not as versatile nor as resilient as resin or wooden sheds.

Metal shed: $2,000–$6,000; $25–$30 per sq. ft.

Standard-Priced: Wooden Storage Shed

Wood is one of the strongest materials. Wood-framed storage units make for great custom sheds, with shelving, loft-like areas, and tool holders. They can be painted or panelled to match or offset your home’s facade. This material doesn’t rust nor does it split, and is used to build a slew of sheds retailed in ranging sizes and styles. However, bear in mind that wood isn’t rot- or insect-resistant, so opt for a model that’s coated in a weatherproof stain.  

Wooden shed: $3,000–$10,000; $40–$50 per sq. ft.

High-End Option: Resin Garden Shed

Resin is also known as plastic, vinyl, and polyethylene. It’s an easy-to-handle, lightweight material that’s resilient and more durable than wooden sheds. This material is rather low maintenance. Moreover, resin sheds are rust-, insect-, and rot-resistant, meaning they uphold rather well in humid climates.

Resin shed: $3,000–$10,000; $45–$50 per sq. ft.

What Factors Affect the Cost of Garden Sheds?

Size

No surprise there, one of the biggest cost-affecting factors is the size of your storage shed. It then becomes essential to consider its use and the amount of space you really need. In a nutshell, the bigger the floor plan, the higher the roof, the steeper the cost.

Materials Used

As mentioned earlier, your shed building material of choice is another key factor to consider in terms of cost. A metal shed will be more affordable, followed by wood, and then resin at the top of the scale. Moreover, depending on the hardware, and selected accessories, such as door handles, hinges, windows, etc., the total cost is likely to vary. 

Labour

Unless you’re planning on buying a prefab shed, chances are, you’ll have to hire a contractor to assemble it, or DIY it depending on your skills and experience and the structure’s complexity. Keep in mind that hiring a professional contractor will increase the overall cost, but it could save you time and guarantee a proper setup. 

What Are Some of the Additional Costs?

Permits

Depending on where you live, you may need to get a permit to build a shed, especially if the size of the structures exceeds certain limits. Obtaining a permit means an additional project fee, but one that’s essential to ensure your construction meets local regulations. 

Delivery Fees

Delivery or shipping fees can vary based on the distance to travel and the shed’s size. If you’ve selected a prefab model, said fees could be quite high, especially if the shed is rather voluminous. It’s important to consider these costs from the get-go as they’ll tag onto the original price of your garden shed and can quickly add up.

Site Preparation and Utility Installation Costs

Before building your shed, you’ll need to prepare the site and consider any utility hookups. Site preparation can include clearing vegetation, levelling the ground, and adding a gravel or concrete base. Costs vary widely depending on your property’s condition and whether you do the work yourself or hire professionals, typically ranging from about $500 to $4,000 or more.​

If you plan to add electricity or plumbing, budget extra for utility installation. Running electrical wiring commonly costs about $1,000–$4,000, while plumbing can range from around $1,000 to well over $5,000, depending on the complexity and distance from your main utilities. Installing utilities during the initial build is usually cheaper and easier than retrofitting them later.​

Garden Shed Models

Not only is it important to choose the right building materials for your shed, but you also have to consider what type of garden shed best suits your backyard and needs. Naturally, there are no specific guidelines to follow when it comes to building your storage shed. Sometimes, it’s those tentative ideas that provide homeowners, and people in general, with the best starting point! 

Gable Roof

A gable roof—A-frame—garden shed is simple to build and set up and rather cost-effective. This type of shed is contemporary and designed to complement a wide variety of architectural styles. 

Gambrel Roof 

This one is more traditional-looking, closely resembling that of a tiny barn. This model is slightly bigger than the others and highly functional, fitted with a lot of wall storage space.

Lean-to Roof

This type of outdoor storage unit is usually considered a small shed. Lean-to-storage sheds are typically built directly next to a house or fence. It also boasts the quickest assembly time between all the sheds featured in this article. It’s also retailed at a low price point. 

FAQ

Ideally, ask yourself a few questions prior to jumpstarting your garden shed building process, including:

What is the best garden shed size?

Garden sheds are retailed in an array of sizes. It’s important to determine the ideal sizing for a garden shed beforehand. Based on your budget, the desired shed size will narrow down the materials to choose from. 

Here are some questions to ask yourself: What are you storing in your shed? Will it be multifunctional? Will it be used to store tools?

In any case, make sure there’s enough space for you to walk around, from one storage area to the next.

What garden shed size and style is best?

As already mentioned, sizing really depends on your budget and permits, but it’s also important to think about what you want instead of going in and buying materials blindly.

Where to build a garden shed?

Measure the area in your backward where you plan on building your shed. This will help you narrow down what kind of material you’ll end up using as some materials uphold better in specific environments.

Do I need a concrete slab for a storage shed?

Consider the type of structure you're planning to build. How big will it be, and what will it be used for? Larger, heavier outdoor storage units typically require a concrete pad to provide a stable foundation, preventing sinking or shifting—especially if you plan to store heavy items inside.

To learn about average renovation project costs, check out our Ultimate 2025 Home Renovation Cost Guide.