🏡 How much would I save with a personal loan instead of rent to own for a shed?

Rent-to-own programs are heavily marketed for pre-built sheds, but they are incredibly expensive. A standard 48-month contract will often cost you nearly double the cash price of the shed once you factor in the monthly payments and taxes.

As Kevin (PawPaw) notes, this one they were looking at $11,100 and then if they did the rent to own for four years it would be $444 plus tax. By the time they ended up paying for it they would probably have about $21,000 in it.

Instead of getting trapped in an expensive rent-to-own contract, consider taking out a standard personal loan from a bank or credit union. You will generally secure a much lower interest rate, saving you thousands of dollars over the life of the loan.

As Kevin (PawPaw) explains, they actually what they did was they paid it down under the rent to own option until they got it pretty small and then they went and got a personal loan at a much lower interest rate.

The shed itself is just the beginning. Even if delivery is free within 50 miles, you are responsible for leveling the site. You will need concrete blocks, plus potentially thousands for gravel or a concrete pad if your land isn't level.

As Kevin (PawPaw) points out, a good estimate to start off with is probably around 50 to 100 blocks and at $3 a block which is what it cost in his area you're talking about $150 to $300. If your land isn't level you might need to bring in some gravel or build a concrete pad which could add another $1,000 to $5,000.

Based on content by Kevin (PawPaw) on AskPawPaw (YouTube).

Original: Is Buying a Shed for a Tiny Home Worth It? The Real Costs