Have you ever dreamt of having a small guest house in your backyard? A peaceful retreat for family and friends has its benefits. For this reason, it’s not just a place for visitors to stay, but it can also serve as:
- home office
- rental property
- in-laws apartment
- home gym
- additional storage
- art studio
- woodworking shop
- nanny quarters.
Most importantly, it adds value to your property and provides additional income opportunities. Plus, having your guests and family close by but enjoying their privacy at the same time, can help you build stronger family ties.
So, we will guide you through the steps of constructing a charming and intimate space that will provide comfort and relaxation for your guests and family members. From selecting the perfect layout to adding personal touches, discover how to build a small guest house in your backyard on a budget.
Furthermore, let’s analyze trending floorplans for building your guest house. It is a collection of professionally designed tiny and 1-2 bedroom house plans that will spark your imagination on how to build a perfect guest house.
1. 347 sqft Tiny Backyard Guest House
If you are looking for ways on how to build a guest house cheap, this tiny house project is for you. With extreme attention to every small detail, this 347 sqft plan is well-designed to accommodate your friends and family.
Firstly, if you had no chance to experience the tiny house movement, building a tiny backyard guest house is a great first step. So, with an approximate DIY building cost of $25,800*, it is an affordable way to build a guest house. (* estimated by the designer based on the average cost of building materials at the time of writing)

Get Plan Camila by PinUpHouses HERE
2. 578 sqft Guest House
Above all, this 578 sq. ft. floor plan has a simple layout with a cozy porch. As a result, your guests will enjoy a well-designed small space with all modern amenities: a kitchen, a spacious living room, and a private bath with a stackable washer and dryer. Additionally, the home has a narrow footprint (16’6″ x 35′) and can fit in a narrow space.

3. 600 SQ.FT. Small Backyard ADU

Is ADU (Accessory Dwelling Unit) the same as a guest house? In brief, ADU is an independent residential unit located on the same property as a main single-family home. ADU must have certain features:
- a kitchen
- a bathroom
- a living space
- a separate entrance.
Though any properly designed ADU can be used as a guest house, not every backyard guest house will qualify as a legal ADU (for rental potential) if it doesn’t meet the above-mentioned criteria.
Nevertheless, this 600 sq. ft. plan with modern board and batten siding meets all the legal requirements for an ADU. As a result, you as a homeowner will have the flexibility of renting your guest house /ADU if you ever need additional income.
4. 419 sq. ft. Pool / Guest House

This spacious ADU boasts a large covered patio and an open-concept kitchen/living space. So, with a private bedroom and walk-in closet, your guests will feel very comfortable.
Additionally, on the back, the plan has room for storage and pool equipment. Thus, this 619 sq. ft. structure offers flexibility for multiple uses, including a pool house or a home gym.
5. 1-Bedroom Backyard Cottage

This cozy 672 sq. ft. cottage would be a great addition to any backyard. Picture this: a peaceful oasis in your very own backyard where your guests can relax on a large porch, surrounded by fresh air and tranquil scenery.
With a mud room to keep your space tidy and organized, a cozy fireplace for chilly nights, and a spacious living area with a vaulted ceiling, this guest house is truly a gem. Transform your backyard into a cozy retreat and give your guests the perfect home away from home.
6. 730 Sq.Ft. Country House Plan

Notably, this spacious floor plan gives homeowners lots of possibilities. Besides the excellent layout downstairs to accommodate guests, the plan offers a loft space that can be used as a craft room, art studio, or home office.
7. 774 SQ. FT. Compact Craftsman

You would appreciate the beauty and spaciousness of this 2-bedroom craftsman structure which offers great opportunities to homeowners. With this in mind, take a look at the 774 sq. ft. floor plan boasting such amenities as a full kitchen, separate laundry room, pantry, and generous closet space.
8. 787 SqFt Modern ADU

As illustrated, this modern ADU gives plenty of space to enjoy outdoors (with 2 porches) and indoors. With 787 sq. ft. of heated space, a bedroom, and a 115 sq. ft. loft, there are plenty of opportunities for a flex use of space. For example, a loft can serve as an extra bedroom, home office, or den.