A prefab guest house is a type of living space you make from a kit. As its name suggests (prefabricated), this kit comes with parts of the guest house pre-assembled and ready to go, so a lot of the work is already done for you.
Guest houses can come in a wide range of shapes and sizes. You might’ve heard of them called something different. From guest houses to garden suites, tiny homes to ADUs, or something else, these can all often mean the same thing – a separate living space on your property. One of the main things that sets a prefab guest house apart from the rest is that some of the structure comes partially pre-made before you assemble it.
Prefab guest houses are a great addition to your property, especially when you’ve got family or friends staying over. These living spaces have become increasingly popular in recent years, and while they’re not allowed in every region, they are becoming a big success with many municipalities. Toronto’s February 2022 garden suite update meant these great spaces were now permitted in the area, marking a big day for those needing precious extra living space.
Whether you’re looking for somewhere private to put your guests up in, a nice quiet spot away from the house, or both – creating that extra space can add something truly special to your home.
Prefab Guest House vs ADUs vs Tiny Homes
| Feature | Prefab Guest House | ADU | Tiny Home |
|---|---|---|---|
| Permanent residence | Sometimes | Yes | Often mobile |
| Utilities | Optional | Usually required | Varies, can be off-grid |
| Typical use | Guests, office, family | Independent living | Primary/secondary home |
| Permits & zoning | Required in most areas | Strict municipal bylaws | Varies widely |
| Foundation type | Pads, sonotubes, piers | Permanent concrete | Wheeled trailer or jacks |
| Financing options | Personal or home equity | HELOC or construction loan | RV or personal loan |
| Mobility | Stationary | Fixed to property | High portability |
| Square footage | Small to mid-sized | Varies by local code | Under 400 sq. ft. |
How Much Does a Prefab Guest House Cost?
The exact cost of your prefab guest house can vary. The price for a project like this will depend on where you’re building it, the overall square footage of the guest house and labor costs (if you decide to hire a contractor to help you).
Summerwood’s cabin designs make for the perfect guest houses, with design options starting around $10,000 CAD. Bear in mind, the exact cost will depend on the style you’re looking for and the features you want for it.
What is a Quick Breakdown of Other Costs?
Based on a large 20’ x 30’ design in Toronto, budgeting $15 CAD per square foot (the average being $10-$20/sq. ft.), a concrete slab foundation would be in the approx. $9,000 range. Permit fees to the city can add approx. $3,000 based on 55 square meters of guest house space. When adding in utility hookups for water and electrical, those costs begin around $15,000 total, going from there based on distance from the main house.
A ballpark budgeting tip: try to split your overall budget in two, one half for the prefab kit, the other half for all interior finishes, utility hookups, and the foundation.
How Easy is it to Build?
Comparatively speaking, a prefab guest house is much easier to build than if you were to construct a guest house from scratch. With Summerwood, building is a breeze. You’ll get detailed assembly instructions along with these prefab guest house kits, which guide you through the construction process from start to finish. To make installation that extra bit easier, we have some other support materials you might want to check out:
- Support drawings specific to your building
- A checklist with all the parts your kit should include
- Installation videos
- A list of the tools you’ll need to assemble the guest house
- Customer service (available online or via phone)
- Support to help you find a contractor if you need help building the guest house
There are so many different design options for a prefab guest house, and a range of add-on features you can customize it with. Smaller, more simple structures can be pretty straightforward to build, especially for a seasoned DIYer. It’s only when you pick a more complex design that you might need some help with installation from a contractor.
At Summerwood, we have knowledgeable designers with plenty of advice on whether you might need to hire a contractor, depending on the complexity of the build and your level of experience.
Where Can I Put My Prefab Guest House?
You can have one of these guest houses in your backyard, so long as you have the appropriate permission and permits to do so. Guest houses are a private, quaint haven away from your main home, so it can be nice to put it somewhere secluded. Ultimately though, it’s all down to personal preference!
You’ll need to pick out a perfect spot for your prefab backyard guest house. Do you have a nice quiet corner in the back? Or would it look better closer to the house? Will you have to move some plants and garden features to make way for the structure? Think about all these different things when picking out a spot. Once you have a better idea of where you’d like to build the structure and how much space you can allocate to it, you’ll be able to make a better decision on overall size and which type of prefab to go for.
Do I Need a Permit for a Guest House?
Guest houses can often require permits. You might want to look at the Related Mechanical HVAC Permit and other forms like the Plumbing Data Sheet when thinking of building one. The exact regulations around your guest house will depend on where you live. If you’re in Toronto, it’s worth exploring our guide on the rules and requirements for these types of spaces.
Get in contact with your local planning and building departments to find out whether you can build a guest house. A quick call and these departments can help you learn more about the regulations that’ll apply to your project. They will be able to explain exactly what you can and cannot do. Just make sure to always follow any rules around building this type of structure.
How Big Should My Guest House Be?
It depends! Are you building it just for guests? How many people do you want it to sleep? Do you need a prefab guest house with bathroom and kitchen facilities? Answering these questions will help you decide how big you want the space to be.
Some areas will have minimum and maximum requirements for guest houses. In Toronto, for example, the perimeter of the space can’t go over 60 square meters. You might have height restrictions to follow as well, this will depend on how far away the guest house is from the main house. Read our guide for other things to consider when building a backyard structure.
Prefab Guest Houses FAQs
1. Can you live in a prefab guest house year round?
Yes, you can! Many prefab guest houses are finished to the same four-season standard as a regular home, allowing for everything you may need to live there any time.
2. How long do prefab guest houses last?
Built correctly, they can last a lifetime! If the structure itself is built to code and can stay dry over time, there is no reason why the guest house could not last many years. Some upkeep further down the road may include the roofing shingles, any wooden siding, or small issues with the concrete foundation; however, proper maintenance will make anything major easily avoidable.
3. Can I install one myself?
Yes, you can! With prefab kits, the majority of work is done for you so any experienced DIYer or local handyperson can assemble one when following the detailed instructions provided. There is also technical support available for any questions you may have.
4. Do they increase property value?
Yes, guest houses can increase property value significantly. As they can work as private spaces for family members to live while close to home, or even as potential rental income; guest houses and ADUs are highly attractive to a variety of potential buyers.
5. Can they have plumbing or a kitchen?
Prefab guest houses can have any interior finishes you like added during and/or after assembly. Many kits supply the entire building shell, making plumbing and electrical for a kitchen and bathroom able to be added with ease.
6. Do I need a concrete foundation?
While not mandatory in some cases, the foundation needed for your guest house will depend on both the kit itself and what your local permits require. Concrete pads and/or sonotubes are a fantastic option for any type of project and are generally the gold standard for any long-term build.
7. Are prefab guest houses insulated?
Prefab guest houses can be insulated in a variety of ways during assembly. Many prefab kits can offer some form of insulation (wall, roof, floor, etc.) and/or four-season options, such as metal-vinyl doors & windows, exterior house wrap and OSB packages, making it simple and easy to add any additional desired insulation.
Seasonal Living in a Prefab Guest House
There are many ways to handle the changing of the seasons while living in a prefab guest house. Starting with insulation, insulating key areas such as the walls, floor, and ceiling is an incredible help when heating and cooling throughout the year. Add in metal-vinyl doors and windows for even more four-season options, and you have the perfect base to stay cozy in the winter and comfortable in the summer. A simple tip: mini splits are a very popular option for heating and cooling smaller to mid-size buildings.
Unsure about mixing a prefab guest house with California heat, Colorado snow, or Florida hurricanes? No matter where you are based, we always engineer to meet and/or even exceed your local codes of where the guest house is being shipped to. Snow loads, wind ratings, and fire resistance are key things that we have plenty of experience with, in a wide variety of locations.
Prefab Guest House Ideas
There are tons of different ways you can style your prefab guest house. Want to keep it classic with big white-framed windows and shutters? Or, maybe you’re more about that sleek modern look. No matter the design you’re after, we’re here to help you get it.
Summerwood’s collection of professionally designed cabins can be customized and transformed into the perfect guest house. We’ve got a range of designs for you to choose from with all sorts of customizable features, so you can really make the place your own.
The Kepler Creek
Inspired by the stunning Wyoming countryside, the Kepler Creek has an idyllic cottage feel to it. With a classic gabled roof, and a charming dormer to add windows to, bringing in more light while adding to the potential loft space above. This traditional Summerwood cabin brings that weekend cottage getaway feel to your own backyard.
Difficulty level: 3/5, relatively straightforward to install with a couple handy DIYers.
The Nomad
The Nomad is perfect for those wanting a fresh modern style. Its low-sloped roof adds a contemporary feel to the cabin, while soaring ceilings with space for plenty of windows give it plenty of light and an airy, spacious feel.
Difficulty level: 4/5, requires carpentry experience to install with a few fellow handy people.
The Sonoma
The Sonoma is one of our most iconic cabin designs. Whether you want a rustic feel or something more avant garde, you can equip the Sonoma with a vast range of features to suit your personal tastes.
Difficulty level: 2/5, relatively easy to install on your own, with a couple extra pairs of hands to help.
The Oban
Love the cozy cabin-in-the-woods aesthetic? Our Mini Oban and full-size Oban designs might be the one for you. A Nordic cabin, the Mini Oban offers a fresh minimalist style with its flush, trim-free aesthetic. Looking to use more vertical space? Opt for the Oban with its full second story loft.
Difficulty level: 4/5, requires carpentry experience to install by yourself with some help from handy friends.
If you have your own design ideas for your dream prefab guest house, we’re here to make them a reality. Schedule a free consultation to discuss your perfect cabin.





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This post really opened my eyes to the benefits of prefab guest houses! I love the idea of having a stylish, quick-to-assemble space for visitors. The design options seem endless, too. Can’t wait to explore this for my backyard!
I never realized how convenient prefab guest houses could be! The design options seem endless, and it’s great to see such an affordable and stylish way to host friends or family. Thanks for highlighting this trend!