Barndominiums have captured the imagination of homeowners across the United States. These versatile, durable, and often cost-effective structures combine the practicality of a barn with the comfort of a home. While they’ve grown in popularity over the past decade, one question still lingers for many potential builders and buyers: Do barndominiums have resale value?
Whether you’re building your dream rural retreat or considering a barndominium as an investment, understanding their long-term value is crucial. In this post, we’ll explore the resale value of barndominiums by looking at key influencing factors like location, construction quality, market perception, financing, and more.
What Is a Barndominium?
Before we dive into resale potential, let’s quickly define what a barndominium is. Originally coined from the words “barn” and “condominium,” a barndominium—or “barndo”—is a metal or steel-framed structure that combines living quarters with workspace, storage, or recreational areas. They are commonly found on rural properties but are increasingly being built in suburban areas.
Key characteristics of barndominiums include:
- Open-concept floor plans
- High ceilings and wide-span interiors
- Metal or steel construction (though some use wood)
- Mixed-use space (residential + workshop, garage, or storage)
- Customizable designs for lifestyle-specific needs
The Rise in Popularity
Barndominiums gained national attention through TV shows like Fixer Upper, but their appeal runs deeper:
- Affordability: Barndos often cost less per square foot than traditional homes.
- Speed of Construction: Pre-engineered kits allow faster build times.
- Low Maintenance: Steel construction resists pests, mold, and rot.
- Customization: Homeowners can design layouts to suit specific needs.
- Rural and Homestead Appeal: Perfect for those seeking land and a self-sufficient lifestyle.
But does popularity automatically translate to resale value? Not necessarily. Let’s look at the details.
Do Barndominiums Hold Their Value?
The Short Answer: Yes, But With Conditions.
Barndominiums can have strong resale value—especially when properly built, maintained, and located in the right market. However, they also come with resale risks that traditional homes may not face. Here’s a breakdown of the key factors that affect a barndominium’s resale value:
- Location, Location, Location
Just like any real estate investment, location plays a huge role in a barndominium’s value.
- Rural Areas: Barndos are often built on larger plots of land in rural or agricultural zones. While they’re ideal for homesteading and country living, these areas may have fewer buyers and slower market turnover. This can limit how quickly or profitably you can resell.
- Growing Suburbs: In areas experiencing suburban sprawl, barndominiums are increasingly accepted and even sought after. When land values rise and infrastructure improves, resale value increases as well.
- Zoning & HOA Restrictions: Some neighborhoods or counties don’t permit metal buildings or alternative homes. This can hurt resale potential or limit your buyer pool.
- Quality of Construction
Not all barndominiums are created equal.
A barndominium built with high-quality materials, insulation, energy-efficient features, and code-compliant methods will retain value far better than a DIY project lacking professional oversight. If the structure includes:
- HVAC systems
- Finished interiors
- High-end kitchens and bathrooms
- Durable roofing and siding
- Modern appliances
…then its resale value can rival or exceed a conventional home.
Poorly insulated or unfinished barndos, on the other hand, may be seen as liabilities rather than assets.
- Perception and Market Awareness
One challenge with reselling a barndominium is buyer perception. In some regions, potential buyers may be unfamiliar with what a barndominium is or might assume it’s just a converted barn—without realizing the comfort, design, and functionality it can offer.
Real estate agents and appraisers may also be less familiar with barndominiums, which can result in undervaluation.
Solution: Work with agents who have experience selling alternative or custom homes. Proper marketing can help buyers see your barndominium as a unique, valuable property.
- Financing and Appraisal Challenges
Traditional homes have long-established comparables and appraisal standards. Barndominiums, being a newer and more custom concept, can struggle in this area.
Some potential resale issues include:
- Appraisers having few comps to determine fair market value
- Lenders being cautious about issuing mortgages for non-standard homes
- Buyers needing larger down payments due to financing limitations
That said, the tide is shifting. As barndominiums become more common, banks are more willing to fund purchases and appraisers are gaining the experience needed to assign accurate values.
- Maintenance and Longevity
Barndominiums are generally low maintenance, especially those built with steel framing. They are resistant to:
- Termites and pests
- Fire
- Mold and mildew
- Warping and settling
This durability appeals to resale buyers, especially those looking for homes that will last for generations. Features like metal roofs, energy-efficient windows, and spray foam insulation can make a barndo more attractive than a traditional wood-frame home.
- Customization and Livability
Highly customized homes can be a double-edged sword. On one hand, a uniquely designed barndo tailored to your lifestyle (e.g., gym, workshop, horse stable) can be a dream to live in. On the other hand, highly personalized layouts may make it harder to sell to a broader market.
To maximize resale value, aim for:
- A functional, family-friendly layout
- At least 2-3 bedrooms
- Finished kitchens and bathrooms
- Ample storage
- Outdoor amenities like patios or covered porches
- Energy Efficiency and Green Living
Today’s buyers are increasingly eco-conscious. Many barndominiums incorporate features like:
- Solar panels
- Rainwater harvesting systems
- Geothermal HVAC
- Energy Star appliances
These green upgrades can improve not only your quality of life but also the home’s resale value. Energy-efficient homes command higher prices and are more attractive to younger buyers and families.
- Comparable Sales and Real Estate Trends
Over the last few years, barndominiums have increasingly been featured in MLS listings across the U.S., and data shows they are appreciating along with the broader market in many regions.
In states like Texas, Oklahoma, Tennessee, and Florida, barndos are in high demand due to favorable land prices, climate, and lifestyle appeal. If local comps are available, your resale value can align closely with stick-built homes of the same size and amenities.
Tips to Maximize Resale Value
If you’re building or improving a barndominium with resale in mind, here are some strategic tips:
- Keep It Code-Compliant: Get permits and inspections. It builds trust with future buyers.
- Choose Neutral Finishes: Avoid overly bold designs unless you’re in a niche market.
- Add Curb Appeal: Landscaping, fencing, and a good driveway make a big difference.
- Invest in Comfort: Insulate well, upgrade HVAC, and install efficient lighting.
- Think Versatility: Leave some flex space that future buyers can adapt.
Conclusion: Are Barndominiums a Good Investment?
Yes—barndominiums can offer strong resale value when thoughtfully built and located in the right area. Their uniqueness, durability, and flexibility make them a great choice for modern living. However, like any home, their value depends on location, construction quality, and market awareness.
If you’re considering a barndo, do your homework, build smart, and connect with professionals who understand the market. When done right, your barndominium won’t just be a great place to live—it’ll be a profitable asset for the future.