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Budgeting Your Custom Outdoor Living Space: What Homeowners Need to Know

January 23rd, 2025 | 4 min. read

By Phil Parsons

custom outdoor living space

Planning the Custom Outdoor Space of Your Dreams Without Overspending

Dreaming of turning your backyard into the ultimate hangout spot? Whether it’s a cozy patio for quiet evenings or an outdoor kitchen perfect for entertaining, creating a space you’ll love doesn’t have to empty your wallet.

The trick? Smart planning and realistic budgeting. With the right approach, you can have a functional, beautiful, custom outdoor living space without the stress of overspending.  At KP Homescapes, we have assisted hundreds of happy customers through the process of budgeting for their dream backyards.  In this guide, we’ll walk you through the steps to make your dream project a reality—while keeping costs under control.

✔️ Step 1: Define Your Vision and Focus on What Matters

Before you start digging or calling contractors, take a step back. 

What do you really want from your custom outdoor living space?

Think About How You’ll Use It:

  • Hosting BBQs? You’ll need seating and maybe a dining area.
  • Want a quiet spot to unwind? A fire pit or comfy lounge chairs might be the priority.
  • Have kids or pets? A durable, open play area could top your list.

Pro Tip: Make two lists: “must-haves” and “nice-to-haves.” For example, a homeowner in Clinton, MD focused on building a simple patio first, knowing they could add a pergola later.

Budget Hack: Start small and prioritize features you’ll use most. You can always add upgrades later when your budget allows.

✔️ Step 2: Pick the Right Structure for Your Space

The structure you choose—whether it’s a patio, deck, or pergola—will set the foundation for your project.

Options at a Glance:

  • Decks: Great for uneven yards or homes with an elevated rear door.
  • Patios: About half the cost of decks and an awesome alternate destination from deck.
  • Pergolas/Gazebos/Pavilions: Add shade and style but can be pricey depending on materials.

Example Costs:

  • A basic concrete patio: $10–$20 per square foot.
  • A custom paver patio:  $35 to $44 per square foot.
  • A composite deck: $65–$80 per square foot, depending on materials.  Steps are additional and generally cost around $300 to $400 per step due to the extra labor and railing.

Pro Tip for Maryland Yards: If you’ve got a sloped backyard like many homes in Bowie and Waldorf, a deck might be your best bet. For flat yards in many areas, patios are a simpler (and cheaper) choice.

✔️ Step 3: Materials Matter — Choose Wisely

What you build with can make or break your budget. Here’s how to get the most bang for your buck.

Material Breakdown:

  • Ground contact framing lumber vs. Not for Ground Contact framing Lumber.  Be sure to insist on only lumber that is rated for Ground Contact.  Most box stores, low-cost supply houses and cheaper contractors use framing lumber that is NOT rated for Ground Contact and on average will have half the life of the higher rated lumber…BEWARE.
  • Wood decking: Classic and affordable but needs regular upkeep.
  • Composite: Costs more upfront but lasts longer with less maintenance.
  • Concrete/Stone: Durable and comes in many stylish colors and patterns.

 

Budget-Friendly Idea:  If you desire a large deck, consider a combination deck down to  paver patio where you can enjoy a secondary destination at half the cost of the extra area of deck!

✔️ Step 4: Landscaping Without Breaking the Bank

Adding some greenery and texture can completely transform your custom outdoor living space, and it doesn’t have to cost a fortune.

Affordable Landscaping Ideas:

  • Use mulch and native plants for low-maintenance garden beds.
  • Gravel pathways or stepping stones are less expensive and look polished.
  • Start small! Tiny shrubs and young plants are more affordable and grow into the space over time.

DIY Tip: You don’t need to hire a pro for everything. Try planting flowers or installing edging stones yourself. It’s a fun weekend project and a big money-saver.

✔️ Step 5: Furniture That Fits Your Budget

Outdoor furniture brings your space to life, but it’s easy to overspend.

Smart Furniture Buys:

  • Shop end-of-season sales for discounts.
  • Look for weather-resistant materials like resin wicker or high quality composite
  • Browse local marketplaces for secondhand finds—you’d be surprised at what you can score!

Pro Tip: Don’t forget covers to protect your furniture from Maryland’s unpredictable weather. It’s a small investment that’ll save you from replacing things later.

✔️ Step 6: Lighting on a Budget

Lighting makes your space usable after dark and sets the mood, but you don’t need to go all out.

Easy Lighting Ideas:

  • Deck cap and stair lighting
  • Patio in-ground lighting at the perimeter of the patio
  • Hardscape under lip lighting to add mood and pathway lighting
  • LED spotlights: Long-lasting and energy-efficient.

Local Example: A homeowner in Bethesda added cable lighting under the lip of his ground-level deck and hardscape sitting wall that provided an awesome mood and illuminated the walkway

✔️ Step 7: Luxe Features Without the High Cost

Fire pits, outdoor kitchens, and water features are amazing, but they don’t have to blow the budget of your custom outdoor living space.

Affordable Alternatives:

  • 4ft hardscape wood-burning fire pits are great alternative to gas
  • An 8ft outdoor kitchen with a 32” gas grill and refrigerator can be added onto later
  • Small water features such as spillways and pondless waterfalls add the sound of calming water and require little to no maintenance at a reasonable price

Budget Hack: Focus on one “wow” feature. For example, a family in La Plata added a fire pit and paired it with Adirondack chairs for a cozy setup that has provided countless enjoyable evenings with friends and family.  

Watch for Hidden Costs

Outdoor projects often come with surprise expenses. Here’s what to keep an eye on:

  • Permits: Check with your local zoning office. In Maryland, these can range from $50 to $1800.  Charles County has the most expensive permits in the state.
  • Site Prep: Grading, drainage, and demolition / disposal of old structures can add up fast.
  • Maintenance: Budget for future repairs and maintenance if selecting materials such as wood decking that require regular maintenance.

Should You DIY or Hire a Pro?

Deciding between DIY and professional help depends on your skills and comfort level.

DIY Pros:

  • Save money on labor.
  • Great for smaller projects like planting or assembling furniture.

When to Call a Pro:

  • Electrical work (like lighting) or anything involving plumbing.
  • Large-scale projects where expertise matters, like decks or outdoor kitchens.
  • Not totally certain what is required to meet complex local and state building codes

 

Local Insight: At KP Homescapes, we often work with homeowners who tackle small tasks themselves while leaving the heavy lifting to us. It’s a great way to stay within budget without compromising quality.

Build the Backyard of Your Dreams (Without the Stress)

Creating your ideal custom outdoor living space is totally doable with the right plan and budget. Start small, focus on what matters most, and don’t sweat the upgrades—they can happen later.

At KP Homescapes, we love helping Maryland homeowners design outdoor spaces that fit their lives and budgets. Whether you’re dreaming of a simple patio or a backyard escape, we’re here to guide you every step of the way.

So, grab your notebook, sketch out your vision, and get ready to make it happen!  If you need more assistance from one of our design consultants, please do not hesitate to click here or call us at 240-219-8124.

Phil Parsons

Phil Parsons is an owner at KP HOMESCAPES with 20-years’ experience in custom remodeling and the development of outdoor living spaces that bring friends and family together. He is a degreed engineer, and his work has been featured on HGTV.