Partners and Suppliers Checkatrade 28/04/2025

Unlocking value: A landlord’s guide to garage conversions

Converting a garage into liveable, rentable space is one of the most financially strategic upgrades a UK landlord can make. With average costs starting at around £10,000 and the potential to add up to 20% to your property’s value, it’s no wonder landlords are unlocking this underused asset.

Whether you’re letting HMOs, single-lets, or targeting professionals seeking home office space, a well-planned garage conversion can increase both yield and property appeal. Here’s what you need to know—plus real-world examples to inspire your next move.

Why convert a garage?

Most UK garages go unused or are home to little more than bikes and boxes. But converting that space into a bedroom, studio, office, or annex instantly adds liveable square footage—boosting rental income and resale value.

Example 1: HMO yield boost in Rusholme, Manchester

A landlord in Rusholme (M14) turned an integrated garage into a compact en-suite room within a professional HMO. With a £13,000 spend on plumbing, insulation, and finishes, the new room now rents for around £707/month—£8,484 annually. That’s a gross yield of over 65% on the investment and a major uplift to the property’s overall income.

Example 2: Studio flat in Walthamstow, East London

In Walthamstow (E17), a landlord converted a detached garage into a self-contained studio with private access. The £25,000 project included a kitchen, bathroom, and full insulation. With local studio flats renting at around £1,100/month, this adds £13,200 in annual income from previously idle space.

Do you need planning permission?

In most cases, garage conversions fall under Permitted Development Rights, meaning no planning permission is needed if:

  • The building’s footprint remains unchanged
  • It’s not listed or in a conservation area
  • The title deed doesn’t prohibit converting garage space

Tip: Always confirm with your Local Planning Authority (LPA), especially in newer developments or leasehold properties.

What about building regulations?

Regardless of planning permission, building regulations will apply. These ensure the converted space is safe, energy-efficient, and structurally sound. You’ll need to meet standards on:

  • Structural stability
  • Insulation and damp-proofing
  • Fire safety and escape routes
  • Ventilation and soundproofing

Working with tradespeople registered under the Competent Person Scheme makes compliance and sign-off much easier.

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What will it cost?

Garage conversions typically cost:

  • £10,000–£20,000 for a single integrated garage (approx. 16m²)
  • £20,000–£45,000 for a double or detached garage

Costs depend on structure, finish, and location—London prices are often higher. More complex uses (like studios with kitchens and bathrooms) will also raise the price.

How to make it pay

To maximise return on investment:

  • Understand local demand – Areas with professionals or students benefit most from additional rooms
  • Add an en-suite – In HMOs, en-suite rooms let faster and rent higher
  • Offer private access – A studio with its own entrance attracts long-term tenants
  • Finish well – High-quality insulation, lighting, and finishes boost tenant satisfaction and reduce voids
Example 3: Home office in Bishopston, Bristol

In Bristol’s popular BS7 postcode, a landlord converted their integrated garage into a home office/second reception room. The £11,500 spend added £150/month in rent—£7,200 over four years—easily covering the cost. With semi-detached homes averaging £446,000 in Bristol, and garage conversions adding up to 15% in value, the property potentially saw a £66,900 uplift in resale price.

Planning the project

Here’s a step-by-step to keep your project on track:

  1. Define the space – Is it a bedroom, office, or self-contained unit?
  2. Check permissions – Confirm with your LPA
  3. Sort building regs – Hire professionals familiar with local compliance
  4. Get plans drawn – Architectural plans help with quotes and execution
  5. Set a budget – Include a 10–15% contingency
  6. Get multiple quotes – Compare value, not just cost

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Choosing the right people

  • Architects – Look for small-space conversion experience; expect fees of 5–12% of the total cost
  • Builders – Prioritise those with Checkatrade accreditation and relevant portfolio work
  • Communicate clearly – Get timelines, payment stages, and references in writing

Red flag: Avoid anyone unwilling to share proof of insurance or references.

Final word

A garage conversion is one of the smartest ways to boost your rental income and property value—especially if you’re strategic. Whether you're improving an HMO, adding a studio, or creating a home office, the right plan can turn wasted space into long-term profit.

Ready to boost rental yield and property value?

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