8 Garage Conversion Ideas To Improve Your Home

Updated on Oct. 08, 2024

If you're outgrowing the current square footage of your home, look to your garage as a possible source of expansion.

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Interior design of a kid's playroom
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Kid Space

The reality is, not all homes have a spare room for the kids to play or hang out in. But if you have a garage, it can be an excellent opportunity to use that space in a new way.

Turning it into a dedicated space for young children or teens offers lots of benefits. For younger children, a separate play room consolidates toys, games and activities to one area rather than all over the house or in the bedrooms. The latter makes sleep more difficult.

For older children and teens, a space of their own offers a semi-independent place to hang out with friends, while parents supervise nearby. For young children and teens, it can foster autonomy and encourage screen-free activities. Converting a garage into a kid’s space can enhance the functionality and harmony of the home.

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Workroom at home
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Home Office

Converting a garage into a home office offers financial, health and productivity benefits.

A separate work space reduces distractions and interruptions, letting you to focus and get more done. It also offers a quiet and more professional space for virtual meetings and phone calls. Best of all, it creates a clear boundary between work and home life, adding to a healthier work-life balance.

There are also financial benefits. Eliminating a lengthy daily commute saves time and money. You also may be eligible for an annual tax deduction for the maintenance and operating costs of a home office if it meets certain requirements. Check with a tax advisor for specifics.

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A general interior view of cream coloured a fitted kitchen diner with rounded corner cabinets, centre island, wooden worktop, leather sofa, round spot light, down lights and dining table and chairs
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In-Law Suite

An in-law suite, or accessory dwelling unit (ADU), is a more expensive and involved project, but can be a great investment for your family.

In large cities, homes with an ADU are priced 35% higher on average than those without one. However, this can still be a low return on investment (ROI) due to construction costs. A garage conversion, on the other hand, uses fewer building materials for a lower initial cost.

Most families don’t build an ADU for financial gain, but rather to help aging parents live independently while close to family support. In 2021, 26% of American households were multigenerational, with one-third citing caregiving as a major reason for their living arrangement.

This project requires permits and zoning approval, so start with your local municipal board for guidance.

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Bedroom in a clean modern apartment
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Rental Space

Converting a garage into a rental space can generate a fantastic stream of passive income to offset mortgage or maintenance costs. Short-term rentals are projected to earn an average of $278.19 per day in 2023, and the industry is expected to grow more than 19% annually from 2022 to 2032.

Transforming your garage into a mini-Airbnb can be a lucrative venture, but it’s also costly and complicated. A private rental unit with a kitchen and bathroom will cost more than just a rental bedroom, but the financial return will also be much higher. Do the arithmetic and determine which makes more financial sense for your situation.

Short-term rental laws are also constantly changing, so make sure to read up on local regulations and restrictions. Then check with your municipality for zoning and permit requirements before making any changes to your garage.

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Creative artist studio with painting on easel.
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Art Studio

Here’s a way to greatly benefit your overall health and well-being. A study from the Society of Behavioral Medicine suggests people who take part in creative activities have fewer negative emotions and are less stressed.

In a home studio, you can pursue artistic hobbies like painting, photography, pottery or crafts. If you’re more musical, create a practice and performance space for your instruments. The isolation from the main living area minimizes disturbances, allowing for deeper concentration and expression.

It also creates an area to store and organize your art supplies or instruments, making it a great idea if you’re looking for an easier way to keep your home clean and organized.

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Home Gym

A home gym offers another way to invest in your physical and mental health. According to the Centers for Disease Control and Prevention (CDC), regular physical activity is one of the most important things you can do for your health. It cites benefits to brain health, weight management and disease prevention as compelling reasons to stay active and fit.

A home gym is convenient and accessible, so you’re less likely to skip a workout. You save time by not commuting back and forth, as well as waiting for others to finish using equipment. It also saves you around $600 annually, the average cost of a gym membership.

The privacy of a home gym may also encourage more workouts by letting you exercise without feeling self-conscious or judged by others.

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Laptop on coffee table in a modern living room of an old country house
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Living Room

With the correct garage planning this conversion increases the usable space of a home for relaxation, entertainment and family gatherings. This added functionality can significantly improve your overall quality of life.

It’s a great consideration in a home with a small living room. A garage conversion can offer a new, roomier alternative and open the former living room for use as a dining room, office or playroom.

Moreover, the conversion can enhance the property’s value since it increases the livable square footage. Lastly, it transforms an underutilized area into a functional and aesthetically pleasing part of the home, making better use of existing resources.

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Greenhouse

Growing your own food in a garage greenhouse can save you money and improve your health. Since January 2021, the cost of groceries has increased more than 7%, with fruit and vegetables rising .9%.

A greenhouse is a great way to save on these food costs by cultivating your own instead. A greenhouse offers protection from ever-changing weather conditions and allows control over temperatures, humidity and light to promote optimal plant growth.

More than one billion pounds of pesticides are used in the U.S. each year to grow fruits and vegetables. These are associated with elevated cancer risks and reproductive, immune and nervous systems issues. By growing your own food, you can control or eliminate your family’s exposure to pesticides.