Shipping Container Home ADU: The Complete Backyard Guide
- Keith Henderson
- May 27
- 5 min read
Accessory Dwelling Units, commonly known as ADUs, have become one of the fastest-growing trends in residential real estate. As communities across the country work to address housing shortages, many states and local governments have updated zoning regulations to make ADUs easier to build. Homeowners are taking advantage of these changes by adding flexible living spaces that can generate income, accommodate family members, or increase property value.
For many property owners, a shipping container ADU offers an efficient and modern alternative to traditional construction.
In this guide, we'll explore what a container home ADU is, how it can be used, and why more homeowners are choosing prefab container homes for backyard living spaces.
What Is a Container Home ADU?
An Accessory Dwelling Unit (ADU) is a secondary residential structure located on the same property as a primary home. ADUs can be attached to the main residence, built above a garage, or constructed as a standalone unit in the backyard.
A container home ADU uses a converted shipping container to create a fully functional living space that can serve a variety of purposes, including:
A private guest house for friends and family
A long-term or short-term rental property
A home office, studio, or creative workspace
Independent living space for aging parents or adult children
Because shipping container homes are built using durable steel structures and much of the construction is completed before delivery, they can often be installed faster and with less disruption than many traditional backyard building projects.
Why Shipping Container Home ADUs Are a Smart Investment
Shipping container ADUs are gaining traction for several practical reasons.
Speed. Traditional ADU construction can take 12–18 months or longer. A Boma prefab container home is built in approximately 100 days from deposit to delivery, dramatically compressing your timeline to occupancy.
Cost efficiency. With traditional ADU construction costs often running $200–$400+ per square foot in labor and materials, a prefab container ADU delivered to your site offers strong value by comparison. Our 20ft and 40ft container homes are fully finished and ready to connect.
Durability. Steel construction doesn’t rot, warp, or require the same level of ongoing maintenance as wood-framed structures. A properly installed container ADU is built to last decades.
Rental income potential. Whether you rent it long-term or list it on Airbnb, a backyard container ADU creates a second income stream from land you already own. Our own container homes in New Hampshire and New Mexico consistently perform well on short-term rental platforms.
Which Container Home Models Work Best as ADUs?
The right model depends on your space, goals, and budget.
The Sapling is our most popular backyard ADU choice. At 20 feet long, it has a compact footprint that fits most residential lots while still delivering a full studio layout with a kitchenette, bathroom, sleeping area, and private outdoor space.
Ideal for: - Tight urban or suburban lots - Single-person guest accommodations - High-performing Airbnb studio rentals - Multigenerational living
Our 40ft models — including the White Birch Boma and Sagebrush Boma — offer a full 1-bedroom, 1-bathroom layout with significantly more living space. If your property can accommodate the longer footprint, a 40ft ADU delivers a more complete living experience and may command higher rental rates.
Ideal for: - Larger lots with room to grow - Long-term rental tenants - Premium Airbnb listings - Family guest accommodations
For properties where a larger secondary unit makes sense, the Boho Boma combines two 40ft containers into a full 2-bedroom, 2-bathroom home — a genuine house-sized ADU.
Zoning and Permits for Container Home ADUs
Zoning and permitting is the most important step to research before moving forward with any ADU project. Requirements vary significantly by state, county, and municipality.
Here’s what you’ll generally need to address:
Setback requirements. Most jurisdictions require a minimum distance between structures and property lines. A compact 20ft container home often makes it easier to meet setback requirements on smaller lots.
Height limits. Single-story container homes (standard models) typically fall well within residential height limits.
Utility connections. You’ll need to plan for electrical, water, and septic or sewer hookup. If your main home already has these connections near the backyard, costs are generally lower.
Short-term rental regulations. If you plan to list your ADU on Airbnb or similar platforms, check your local short-term rental ordinances before building.
Permits. Building permits are required in most jurisdictions. Boma provides floor plans, elevations, and plumbing and electrical drawings to support your permit application. Stamped plans from a local licensed engineer may also be required.
Tip: Contact your local planning or zoning department early in the process. Many areas have dedicated ADU resources that can walk you through the approval process.
What’s Your Responsibility as the Buyer?
The Boma container home is fully built and delivered to your property. The buyer is responsible for:
Site preparation and grading
Foundation installation (stem wall, piers, or slab)
Crane or equipment access for placement
Utility connections (electrical, water, septic/sewer)
All permits and inspections
Our team provides detailed documentation throughout the project to support your local contractors and permitting process.
How to Add a Container ADU to Your Property: Step by Step
Confirm your zoning. Check with your local municipality that an ADU is permitted on your property and understand any setback or size restrictions.
Choose your model. Browse our container homes for sale or contact our team for a recommendation based on your lot and goals.
Start with a consultation. Our discovery call covers your site, budget, timeline, and design preferences. No obligation — and an NDA is available.
Proceed to 3D Design ($400, credited to your order). Our design package includes full interior and exterior renderings and one revision round to finalize the layout before production.
Sign the contract and submit your deposit. Production begins after final design approval and your 40% deposit.
Prepare your site. While your unit is being built (~100 days), you’ll complete site prep, foundation, and utility rough-in.
Delivery and placement. We coordinate freight, insurance, and flatbed delivery to your property. A final walkthrough is completed upon arrival.
Container ADU FAQs
Can you put a shipping container home in your backyard?
In many jurisdictions, yes. ADU rules have been relaxing across the country, making it increasingly possible to place a secondary unit on residential land. Always confirm local zoning before purchasing.
How big of a lot do you need for a container ADU?
A 20ft container home has a footprint of approximately 20 x 8 feet. Most standard residential lots can accommodate this with proper setback clearance. A 40ft unit requires a 40 x 8-foot footprint.
How much does a container home ADU cost?
Boma’s prefab container ADUs start at $55,000 for a 20ft unit and $75,000 for a 40ft unit. Site prep, foundation, and utility connections are additional buyer costs and typically range from $10,000–$30,000+ depending on your property.
Do container homes make good Airbnb ADUs?
Yes — container homes stand out on short-term rental platforms because of their unique design. Our own container home rentals in New Hampshire and New Mexico consistently receive strong reviews and bookings. Learn more in our Airbnb ROI breakdown.
Does Boma deliver ADUs nationwide?
Yes. We deliver container homes across the United States, including New Hampshire, New Mexico, Colorado, Texas, Tennessee, and beyond.
Ready to Add a Container ADU to Your Property?
Our team is ready to walk you through your options, review your site, and help you move from idea to delivery efficiently.
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