Texas Barndominiums

Key takeaways:

• A barndominium is a type of structure that looks similar to a barn on the outside, using durable materials like steel frames instead of lumber. On the interior can be customizable living, working, or storage spaces. 
• Depending on the level of customization and your desired size, building a barndominium (or purchasing a preset barndominium kit) could be more affordable than building a conventional house. 
• Before embarking on your barndominium journey, research different options for building methods, insurance, and loans. Texas Farm Credit can help you get started with a range of financial tools available, including rural home loans, construction loans, or even existing home refinancing.

This content has been updated as of February 2026.

A hot real estate trend is growing all over Texas: barndominiums.

A barndominium is a nostalgic alternative to conventional or new build homes, combining a barn’s traditional exterior look while adding customizable living and workspaces.

For those dreaming of building their own home but worry about the cost, barndominiums may offer a happy medium.

To help you decide if building and financing a barndominium is right for you, here’s a look at everything you need to know about barndos in Texas.

What is a barndominium?

Over the last five years, as interest in barndominiums has varied nationwide, one state remains the top place searching for info about barndominiums: Texas.

If you’ve noticed these structures popping up, you’re not alone. The frames look like a typical barn, but inside, they’re fully decked out, just like your traditional home.

Typically, Texas barndominiums are constructed on a concrete footpad, framed with steel, and covered in metal sheeting instead of wood or siding, which helps reduce build costs.

Because barndos are so customizable, buyers and builders aren’t limited to one floorplan or style. They range in size, design, and purpose. Some serve as the family home, while others may include workspaces, equipment storage, and stables.

How does a barndo differ from a conventional home?

A few key differences exist between a traditional home and a barndominium.

Keep these in mind as you weigh your options:

• Building materials. A conventional home is often built out of wood and brick. However, most barndominiums use metal siding and roofing as the primary exterior building materials.
• Cost. Barndominiums typically cost less to build thanks to more affordable building materials.
• Design. Barndos provide a blank canvas for owners to create the interior space they want. Adding work, storage, and equipment space to a barndominium’s design is easy.
• Acreage. Based on the square footage and design, barndos may need more land than a conventional home — and would still need to meet zoning regulations.

A barndominium may fit those who dream of living in wide-open acreage, renting land for recreation, or building a weekend ranch away from the hustle and bustle of city life.

Types of barndominiums

If you’re hoping to live in a Texas barndo, you have several options:

• Buy an existing barndo. Barndominiums are popular all over East Texas, for example.
• Use a kit. Kits are pre-fabricated based on existing floor plans. Choose the kit you like, and the manufacturer delivers the pieces for construction.
• Custom designed. Work with a designer and general contractor to modify an existing floor plan for an additional cost or start with a new custom design.

What is the lifespan of a barndominium?

One of the biggest advantages of barndominiums is their durability. Since they’re usually constructed with steel frames, this means stronger resistance to common issues traditional homes experience, like termites or rot. 

Barndominiums are also more resilient against extreme weather conditions. Whether you’re dealing with tornado risk in central Texas, or worried about hurricanes near the Gulf Coast, barndominiums can offer more protection against natural disasters.

No structure will last forever, but barndominiums often last 50-70 years or even more. Maintenance is also simpler and less expensive than with traditional houses. If you’re looking for durability, a barndominium could be the way to go! 

The pros and cons of barndominiums

As with any home, there are advantages and challenges associated with building and living in a barndo. Run through your must-haves and non-negotiables and determine the best option.

Barndo pros:

• Quick builds. Compared to a new build traditional home, a barndo can be ready for you to move into in a month or two. A wood-framed home can take seven months to a year to build, based on size and customization.
• Durability. A steel building can withstand most weather and is more resistant to storm, impact, and insect damage.
• Versatility. A barndominium can be more than a home, including spaces for your home office or business, equipment, and storage.
• Customization. Barndominiums are blank canvases featuring large, open spaces. You can transform a barndo into something uniquely yours that meets your needs.

Barndo cons:

• Zoning. Depending on where you live, you may struggle to get the permits to build a barndo since it’s not a conventional home. Before purchasing land where you’ll build your barndo, check with local building regulations.
• Corrosion. While a barndominium may not have the upkeep of a wood-framed home, metal may corrode and rust over time.
• Selling. If you decide to sell your custom barndominium, you may struggle to find buyers who agree with your design choices. 
• Noise. Metal homes may transfer more noise inside than conventional wood or brick homes. For example, you’ll hear rain hitting the roof or the sides of your home.

Is it cheaper to build a barndominium or a house?

If you’re considering buying land and building a home, one of your first questions may be: how much does a barndominium cost in Texas compared to a new home?

According to Kindred Homes, you could build a 2,000+ square-foot home in the Dallas-Fort Worth area starting at around $389,000 (about $190 per square foot). Compare this to some general numbers for barndominiums:

• $30-50/sq. ft. for a barndominium kit, including the shell and onsite assembly (but not including the site prep, foundation, or any interior components)
• $65-160/sq. ft. for standard builds on an average 2,000 sq. ft barndo

How big of a barndominium can I build for $100,000?

Prices can also vary based on land costs, customized designs, and materials needed. In general, building a barndominium in Texas can range. For a 1,000 square-foot barndo, expect to pay between $65,000 and $160,000. 

If you want all the bells and whistles—and plenty of space—you might spend upwards of $500,000 for a 5,000 square-foot barndo. The average cost across all sizes runs at about $230,000.

What factors affect barndominium building costs?

When building, primary costs to consider include land, materials, and labor. But you’ll need to budget for other expenses too.

Buying land in Texas

Factor in how much acreage you want and determine the costs of barndominium land packages in your area, including access to roads and utilities. Land costs vary across Texas.

The average price for an acre in Texas runs at about $5,000. Land in more rural areas, such as the South Plains, costs less than in Dallas, Austin, or the Gulf Coast.

Prices vary based on location and type of land. For example, Texas cropland is valued higher compared to pastureland, according to the USDA.

Site preparation and development

Before any building can start, there are costs associated with getting the land prepped. This includes pulling permits and complying with zoning regulations.

Costs here depend on the barndominium land package: if it’s cleared, leveled, and in a buildable condition, ready to be hooked up to local utilities and septic systems, then development costs may be far less. On the other hand, adding utilities to the lot could be a significant investment.

Most barndos sit on a concrete slab foundation. So if the land is ready for building, factor in the cost of excavating, leveling, and pouring the footprint.

Floor plans

Size is one of the most significant decisions impacting the cost of building a barndominium. To design your own Texas barndominium floor plan, you must work with a professional drafter or architect.

A preset floor plan is a more affordable but slightly less customizable option. For example, you can purchase a basic floor plan for a barndo for $1,000 or less. Expect to pay more for more extensive or custom plans.

Once you have a floor plan, give it to your architect or contractor to create a site plan and mechanical and plumbing drawings. You’ll need those plans stamped by a structural engineer before the building begins.

What’s the most expensive part of building a barndominium?

Exterior building materials are where you can save a lot of money on a barndominium compared to traditional houses. A reasonable estimate is that around 40-50% of project costs go to materials.

Keep in mind interior costs may run similar to conventional home builds. According to the NAHB, the average home build costs include around $80,000 in major plumbing, electrical, and HVAC systems and about $103,000 in interior finishes. Depending on the size and layout of your barndominium and how much work you’re willing to do yourself, interior costs may be lower.

Since barndos are constructed primarily from metal, you can save time and money by not relying on lumber for framing and siding. If you use a barndo kit, the exterior building supplies are included and delivered to your site.

If you work with a builder, starting from scratch, they will source and supply the materials and include those in the total cost. 

Construction and labor

Beyond materials, labor is often the other significant construction cost, ranging from 25-35% of project costs. 

If you purchase a barndominium kit, construction costs will be lower. Materials are delivered, and you can put it together yourself or hire your own crew. Or, if you go with a customized barndo, you would bring on a builder or general contractor. 

You may also need to hire plumbers, electricians, and carpenters.

Protecting your investment: Why is hard to get insurance on a barndominium? 

Insurance for barndominiums is more complicated. Since many barndos are mixed-use, such as home and work or storage space, traditional homeowners insurance may not cover it.

When comparing insurance plans, carefully read the policies to understand what’s covered, as it may range dramatically by carrier.

Typically, barndo owners can get coverage ranging from actual cash value of the property to replacement costs and extended value policies.

Different Texas barndominium loan options

Whether you plan to buy an existing property or build your own, you may need help financing a barndominium.

There are a few paths to explore depending on your needs and financial situation.

Conventional loans

A conventional loan may be an option if you’re looking to purchase an existing barndominium as your primary residence, investment property, or vacation home.

For a conventional loan, terms are often for 30 years, with no restrictions on acreage. However, you may need to meet minimum credit scores and other financial requirements.

Rural home loans

Texas has plenty of rural acreages, and if you dream of buying and building on a larger plot in the country, a rural home loan may fit your needs.

These home loans have similar terms as conventional loans, and you must meet specific requirements for credit scores and maximum loan amounts.

Construction loans

If you plan to build your barndo, explore a construction loan. These have slightly different terms than conventional home loans and provide construction financing for barndos and other types of homes.

A construction or homesite loan offers a one-time loan, meaning you begin paying your mortgage at closing rather than waiting for the final construction. This can help save on additional fees and closing costs.

After closing the deal, your bank may help you manage the draw process to ensure the project moves on time and according to plan.

Home refinancing

Do you love the look of barndos but don’t want to leave your home? Consider expanding your current home and adding a barndo-style addition.

In this case, explore refinancing your home. For example, a cash-out refinance can help you pull from the equity you’ve built in your home and use those funds to finance your barndo addition.

Preparing for financing a barndominium in Texas

Just like with other types of financing, you’ll want to prepare for the loan application process. Since barndominiums are still somewhat unconventional, having your paperwork, plans, and ducks in a row can help you secure financing more quickly.

When you’re ready to apply for a loan, the more information you have, the better. Include the following:

• Your credit score
• Interior and exterior floor plans
• A list of supplies
• Contractor or subcontractor bids and information
• A realistic timetable
• Estimated costs

The bottom line on Texas barndominiums

Whether buying an existing barndominium or planning to build your own, you have options.

Learn how Texas Farm Credit’s Mortgage division can help you get started.

From buying rural land to applying for a conventional loan, we have the tools and resources for everything you need for barndominium loans.