Depends on your area. What is your tax appraisal value on it. Could be a starting point if much larger than the 3.5K

It's only worth what someone is willing to pay for the heated workshop. Seems about right to me depending upon how she valued a shed. Actually when I previously did CMAs for clients I often gave no value for a shed or a very minimal value--maybe $500. A workshop--it depends on the floor, electricity, the exterior construction, etc.

The building is heated, has electricity, vinyl siding to match the house. It has a separate room that was built as a room for my son to have friends over when he was a teenager. Carpet floor in that room, cement in the other. It is dry walled, painted and insulated. It is about 100ft from the house. It even has landscaping around it, japanese maple and other stuff. Garden beds on each side of it.

Still depends on if people would actually pay extra for it.

This is going to be sort of like a pool. If people want a workshop or pool, it's a benefit. If they don't, it's a liability.

Sounds about right. Maybe slightly more here.

Yup. Add-ons generally don't add as much value as everybody hopes they will, and definitely not as much as they cost.
I'd say that around here, a $50K pool will add maybe $10K to the value of the home, no matter how many fancy glass tiles or waterfalls you put in. Sorry.

Clearly you aren't happy with your realtors evaluation. So why done you ask her for her justification.

To me $3,500 for a shed sounds high. I think sheds tend to be valued at about $500 here.

Sounds pretty high to me too. And the landscaping is of no monetary value.

I don't think you guys are reading the question correctly, I have a 24 x 32 heated building that is being valued at $3,500.

Oh yes, the question is being read correctly. Outbuildings don't appraise for much of anything at all,even heated and cooled one. I have a friend with a 1600 sq ft heated and cooled shop, built with 2x6 construction and better insulated than mst houses. It still appraised for only 10 despite costing her 8x to construct it.

A shed is a minimal outbuilding that keeps the rain off your lawnmower, garden tools, & maybe hay if you keep rabbits.
It typically doesn't have insulation or inside walls or ceilings, it hardly ever has electricity, & the floor is often dirt or sometimes it'll have a particle board floor.
A shed is small, anywhere from 6 x 8 to maybe 12 x 15.

If it is at least 10 x 20, it could function as a one-car garage.

An insulated, finished-out workshop with heat (& air in Texas), on a concrete slab, with electricity & landscaping...isn't a shed.

At more than 700 square feet, if it has plumbing for a bath & kitchenette, it could function as an office, apartment, or mother-in-law cottage.

I'd consult the Realtor again, & maybe an appraiser as well.

I hope it all works out well for you!

This post was edited by sylviatexas on Tue, Sep 16, 14 at 21:23

I'll agree with what others have said, a nice outbuilding is nice, but it's not the same as (for example) an in-law apartment or an extra bedroom. It's separate from the house and has very limited use. That said, I also agree with the people who said for the right person, a nice outbuilding is very attractive.

My $100,000 pool and patio is appraised at $25,000.
Like I said, your work shop would be about $5000 here.