How Much Do Shipping Container Homes Cost?

Shipping containers these days aren’t just for shipping goods. They can become sports stadiums, event seating, shopping malls, pop-up venues — and homes. 

More and more people are building container homes. They’re low-cost, customisable, and even have a smaller carbon footprint on average than conventional homes. Although building costs can vary, depending on the square footage and special features you want, building your own shipping container home could cost as little as £25,000.

What is a shipping container home?

A shipping container home is exactly what it says on the tin (pun intended). It’s a home constructed from steel shipping containers. You can build a home from a single shipping container. But, if you want a bigger home, their modular construction means that you can easily add on more containers — and more floor space.

Types of shipping container homes

Shipping containers are designed to be stacked as efficiently as possible. In construction, you can combine any number of shipping containers in different ways to create your ideal space.

However, there are two common types of shipping container homes:

• Single-container homes. These are made from just one shipping container, usually either 20 feet or 40 feet long. Single-container homes are perfect for individuals, couples, or small families who want to try the tiny-home lifestyle.
• Multi-container complexes. In a complex, multiple shipping containers are combined to create a bigger living space. They can be stacked or positioned side by side.

Are shipping container homes safe?

Shipping container homes are secure and durable. In some ways, they’re even safer than traditional homes.

Shipping containers are built to withstand extreme conditions at sea, from tropical heat to freezing cold, rain, and wind. Their steel walls can resist natural disasters such as hurricanes, earthquakes, and even fires. 

Before you move in, however, your shipping container will need a few modifications. You’ll need insulation and ventilation to suit your local environment. You’ll also have to comply with local building codes and regulations. These modifications will ensure that your container home is comfortable and safe all year round.

Learn why shipping containers are a safe and reliable alternative to traditional homes. Check out our comprehensive guide Are Shipping Containers Safe To Live In? for all the details.

Benefits of shipping container homes

Container homes have several advantages over traditional housing — during and after the construction process.

The average cost of building a container home is much lower than bricks and mortar. You can set it up on a relatively small patch of land, which means lower property costs. Plus, you’ll save on time: it doesn’t take long to refit a shipping container into a home with all modern conveniences. 

Some people choose container homes because they have a smaller environmental footprint, too. There’s a global surplus of used shipping containers. Instead of using new materials, like in conventional housing, you’ll be recycling!

Finally, container homes represent freedom. You can build them, transport them, and design them however you want. You can customise the layout of your container home, from minimalist tiny houses to futuristic block complexes. What’s more, shipping containers are designed to be moved — so if you move, you can take your home with you.

Cons of shipping container homes

Shipping containers are made of tough steel, but they can sometimes have structural issues. 

The roof of a shipping container is its weakest point, while the corners are strongest. So it’s usually a good idea to build a second roof over the top of a container home — especially if you live somewhere that gets heavy snowfall.

The only other downside of container homes is that the average cost can rise if you want to build something with a large number of containers. The grander your design, the bigger the price tag.

However, if you stick to pre-manufactured container homes, you’ll still be looking at a lower cost than traditional homes.

Are shipping container homes cheaper than traditional homes?

The average cost to build a shipping container home is typically much lower than conventional buildings. 

A standard, 2600 square foot home built with traditional materials can cost anywhere between £240,000 and £710,000. That includes extra costs such as permits, inspections, site preparations, foundational work, and construction costs.

Container homes cut out a lot of those expenses. Once you’ve bought and placed the containers, you just have to convert them.  However, according to the Department for Trade & Business, material costs have risen in the last few years, so the design choices you make will have a big impact on the cost.

How much does it cost to build a shipping container home?

We can suggest the average cost to build a container home, but in practice, everyone’s home is different.

A standard-size new 20ft shipping container will set you back between £2000 and £6000. Preparing a site, delivering, and placing the container usually costs between £3000 and £8000. Then you just have to take care of the details, such as retrofitting insulation and furnishing your home.

Here’s what you’ll need to bear in mind: 

• Size and shape. If you choose a design with multiple containers or larger containers, it will cost more.
• Insulation. Shipping containers need to be retrofitted with insulation to make them comfortable.
• Utilities. To become habitable, you’ll need to plumb in the container and add a power source.
• Heating. Even with insulation, your container will need heating during the cold months.
• Fittings and furnishings. Don’t forget about your interior design budget!

Factors affecting shipping container home costs

Container homes are a cost-effective way to build. However, the exact cost will vary based on factors such as the size, design, and location of your shipping container home. 

The type and cost of the shipping container

There are two key factors you need to consider:

• What size is the container? The standard size is 8 ft wide by 8.5 ft high, available in 20ft or 40ft lengths. Larger containers, or containers with different dimensions such as high cube options, are usually more expensive.
• Is the container new or old? For example, new 40ft containers cost £2000 more on average than their used counterparts.

Interested in learning about the different types of shipping containers and their uses? Check out our guide 15 Common Types of Shipping Containers & What They Are Used For to find out more.

The number of containers

The number of containers that you use is up to you. For many people, a single container makes the perfect minimalist home. Others want more space — whether it’s for extra bathrooms, living space, or even a home office or workshop.

Custom vs. prefabricated

You don’t have to DIY your own container home. There’s an established industry which constructs container homes, often at set prices.

Prefabricated container homes typically cost between £120 and £300 per square foot. This type of structure is often used as a home office, in-law suite, or rental unit on an existing property. 

If you want something a bit different, you can commission a custom build. Custom container homes can cost anything from £40,000 to £500,000+.

Construction and modification costs

Whether you do it yourself, commission a design, or buy a prefab, your shipping container will require modifications before it’s a liveable space.

Common costs include:

• Cutting and framing openings for doors and windows.
• Strengthening the structure (for example, by adding an extra roof layer).
• Preparing the site for delivery.
• Setting a foundation under the container.
• Delivering and placing the container.

Utilities

Once your container home is plumbed and wired, you’ll need to connect it to water and electrical services. 

Costs vary a lot depending on where you place your container.

• Installing water, electrical, and sewerage utilities has an average cost of £10,000.
• Running new power lines to the site costs roughly £2,000-£5,000 (if required).

Some container home owners opt for solar panels instead of linking to the power grid. Solar power is affordable, doesn’t need a power line, and can even benefit you with tax credits.

Fixtures and appliances

Shipping container homes are smaller than average. While some people build elaborate complexes, container homes are often minimalist. 

That means they’re cheap to furnish, and you can even install smaller appliances. Flooring, cabinetry, and appliances could cost as little as £10,000 — although we’ve seen projects range up to £100,000 depending on the materials and finishes you choose. 

Land requirements and permits

Container homes have a small footprint and they’re easy to move around. But you still need somewhere to place them. If you already own land, then it’s simple to install a container home on your property. If you don’t own the land yet, it could set you back tens of thousands of pounds, depending on the location.

Will I need planning permission?

Shipping container homes stand on permanent foundations. In UK law, they’re classed as “permanent structures” overall — so you will need planning permission. Every local authority has its own local guidelines which you’ll need to check.

The cost of full planning permission in the UK can vary depending on where you are and how smoothly the process runs. For example, site assessments and pre-application advice could cost between £300 to £1000. Progressing the application costs £750 to £2000 on average. 

If you’re granted permission, that’s the end of the process. But if your application is rejected, a written appeal could cost you between £1000 and £3000. 

Taxes and insurance

Container homes have lower costs on average than conventional homes, but they’re still subject to some charges.

• If you purchase land for your container home, you’ll have to pay Stamp Duty Land Tax (SDLT).
• Once your container home is livable, you’ll have to pay Council Tax based on its value.
• You may be charged VAT at different rates, depending on whether the home is a new build or a conversion of an existing structure.
• You’ll need buildings insurance and contents insurance, just like owning any other home.
• If you build the home yourself, you’ll also need public liability insurance and structural warranty insurance. 

What other costs will I need to consider?

Shipping container homes have some unusual features compared to other types of housing. Sometimes, these can involve extra costs.

The most common difference in container homes is that they’re not automatically built into the power grid and water lines. Depending on how you heat your container home, you might need to factor in costs for gas deliveries or solar panels. 

Container homes also have maintenance costs. For example, you might need to install a channel pipe to draw surface water away from the container’s foundations. You’ll need to keep the container’s walls and roof free from rust, too.

Ways to cut costs when building a shipping container home

Container homes are an affordable option if you want to build something unique and compact. You can minimise your costs even further with some of these suggestions. 

Select the right container

Used containers are much cheaper to buy than new ones. And, with a little research, you can find “retired” shipping containers which are still in excellent condition. 

It’s also important to choose the right shape and size of container. For example, the choice between one large container or two smaller ones could make a big difference to your costs.

Consider the do-it-yourself approach

Some aspects of converting a shipping container into a home need specialist skills or tools — for example, cutting doors and windows into the steel. But a lot of the conversion can be DIY. You can carry out tasks such as painting and installing floors on your own. It’s a lot cheaper, but it will take up more of your time.

Keep things simple

Your building costs will be lower if you opt for a simple design. The easiest, most affordable type of container home is a single, standard-sized container, with minimal structural changes.

Plan ahead

You’ll save a lot of money by planning your home in detail before you start. With a plan in mind, you can spread out costs and reduce the risk of expensive mistakes.

Get a professional to review your plan

When people hear “expert”, they sometimes think “expensive”. However, in this case, hiring a professional can save you money. An expert in container homes will be able to spot potential problems and make suggestions to reduce building costs and future maintenance.

How much is a pre-built shipping container home?

There’s a big difference between custom and pre-built shipping container homes. If you design your own shipping container home, costs can add up fast. Factors like the size, number of containers, custom modifications, and interior design fittings can add up fast — becoming almost as expensive as a traditional home.

Pre-built shipping containers don’t have the same customisation possibilities. But the average cost of a pre-built container home is much, much lower.

It’s also worth thinking about the long term. Shipping container homes are unlikely to become investment assets in the same way as traditional houses. However, they’re much cheaper to maintain and run. 

The bottom line

Container homes are increasingly popular because they’re versatile, affordable, and eco-friendly. You can customise container homes to almost any size and specifications. 

If you’re on a budget, you can save money by choosing a pre-built container home and sticking with a simple design. Whatever you choose, you’ll still end up with a home which is durable, unique — and most importantly, all yours.