We’ve talked before about the benefits of working from home with a Modern-Shed, how Modern-Sheds can save you money and how some of our customers are turning their sheds into money-making endeavors.
But now we’re looking closer at how some of our customers have profited from their Modern-Shed, either as a home office or as a long-term, short-term or vacation rental.
The Modern-Shed as rental income:
One family in California uses two Modern-Sheds to bring in extra money when they’re not using the sheds themselves while on holiday.
For the price of $47,000, including installation, in 2015, the family purchased two identical 10’ by 12’ sheds, which, when paired with an 864-square-foot cabin on the same property, help the family bring in approximately $18,000 in rental income every year.
This means that in less than three years, the sheds have more than paid for themselves.
Also, as the customer pointed out, the sheds require virtually no maintenance.
“We have incurred no costs for the sheds since we had them installed,” she said. “We had one issue with the track of the sliding glass door, and Modern Shed worked with the manufacturer to have them repair it. The sheds are in the mountains where they are exposed to extreme temperatures: blazing sun in the summer and snow in the winter. They don’t look one bit worse for the wear.”
Other families have found similar benefits from turning their sheds into rental income, including renting their sheds out on AirBnB.
The Modern-Shed as a home business:
As several of our clients have shared before, Modern-Sheds are a lucrative means of saving money on the costs of renting office space, commuting, hiring a nanny and so much more.
We spoke with our tax accountant about how much a customer could deduct from their taxes for using their shed as a home business.
The IRS currently allows taxpayers to claim 1/39th the value of your office space every year on your taxes — so for a customer that paid $50,000 to build a Modern-Shed, they would be able to claim about $1,282 each year in deductions.
A couple in Seattle recognized those benefits when they made the switch to a 12’ by 24’ Modern-Shed workspace, rather than continue to spend money on expensive office rent.
The shed cost about $98,000 in 2012, but the couple has saved an average of $20,000 a year by cutting out rental and renovation costs at an old office.
This means the shed has already paid for itself, and this doesn’t even factor in the tax savings (a deduction of about $2,500 each year).
For other families, the savings in child care expenses, gas prices and coffee costs quickly add up, making Modern-Shed a clear, affordable choice, despite the initial price tag.
One interior designer in California estimates that she saves up to $51,000 a year on child care and rent alone — in a single year, these savings more than cover the $31,000 initial investment she spent on her Modern-Shed.
Whatever use you decide to pursue for your Modern-Shed, know there are numerous invaluable benefits, such as the peace and quiet that come with your new space — but there are also plenty of tangible benefits as well, in the form of dollars saved.