How to Build a Home Sauna That's Luxurious Yet Affordable

Sauna culture is an essential part of daily life in many areas—particularly in Finland, which has 3 million saunas in a country of just 5 million people. And it's not just them: Across the globe, more and more homeowners are seeking out everyday wellness practices—and a sauna perfectly fits the bill.

Fortunately, thanks to DIY and prefab kits, creating a home sauna can be done affordably and without compromising style or comfort. Here, we put together a step-by-step guide for bringing this timeless ritual into your own home.

Why Invest in a Sauna?

Saunas aren’t just an enjoyable wellness feature—they can also add tangible value to your home.

“The ROI on saunas is shockingly high,” says Jeff Lichtenstein, CEO and broker at Echo Fine Properties. “The main points I’ve found that buyers react to are relief of stress and help with sleeping. Women feel like they’re at a spa, while men feel like they’re winding down at the gym. [It's] hard to find another home feature with that kind of broad appeal."

In many ways, a sauna provides what may feel like an unattainable luxury. And if you already have a pool, the pairing is even better.

Step 1: Know the Basics

First and foremost, it helps to understand what a sauna actually is.

At its core, this space is a small, enclosed room that's designed to generate dry or wet heat. The elevated temperatures encourage sweating, which can help with detoxing, circulation, and overall relaxation. Depending on the type of sauna, the warmth may come from heated stones, wood-burning stoves, or infrared panels.

Getting started on a home sauna build really comes down to a few key decisions. “It might feel like there are a lot of things to consider when planning [one], but once you make [these choices], the process becomes much easier,” says Kellen Mouw, director of sales and service at Almost Heaven Saunas. “Start by envisioning where you’d most enjoy spending your time—[whether that's] indoors or outdoors.”

• Budget: Establish how much you’re comfortable investing. Prices can range from a few thousand dollars for smaller DIY kits to higher-end options that feel like a private retreat. "Prefab kits are most often designed for outdoor use since they’re easier to deliver and assemble in open space," says Mouw. "DIY kits are typically more budget-friendly and allow for more customization."
• Space: Decide what location works best for your lifestyle. Indoors (like a basement, spare bathroom, or gym space) has privacy and convenience, but it may require electrical work or renovations. Outdoors allows for more flexibility in size and style, but you’ll need a proper foundation and easy access to power.
• Heat Preference: Choose the type of heat experience you want. Traditional uses an electric or wood stove with stones, and has authentic, high heat. Infrared is a gentle, direct heat; hybrid combines both options.

Step 2: Consider Size, Location, and Heater Type

Size determines not only how many people can comfortably enjoy the space, but also how powerful your heater needs to be. Indoor saunas are generally easier to heat since the environment is more controlled, while outdoor saunas, especially in colder climates, require stronger heaters.

• Small saunas (1 to 2 people): Typically range from $4,500 to $5,500, offering an intimate retreat that fits into compact spaces.
• Large saunas (6 to 8 people): Usually cost $6,000 to $10,000, and are better for those who want to share the experience.

Your choice of heater also plays a very important role:

• Electric heaters: $700 to $4,000 plus installation. These are convenient, easy to operate, and low-maintenance, making them the most popular option for homeowners. 
• Wood-fired heaters: $900 to $2,000 plus the cost of a chimney. They create an authentic, traditional sauna experience with crackling wood and natural steam, though they require more upkeep.

When it comes to ongoing expenses, operating costs are surprisingly modest. An electric heater averages about $30 to $40 per month with regular use (3 to 5 times per week). A wood-burning stove, by contrast, has no monthly operating costs beyond firewood.

Step 3: Focus on Design Details

“Around the world, people enjoy saunas in different ways—whether it’s a Finnish sauna, a steam room, or a Turkish hammam—but the core experience is always the same: heat, sweat, and relaxation," says Mouw. “No matter the style, the purpose is to cleanse the body, ease the muscles, and promote overall well-being.” 

However, a well-designed sauna balances this functionality with comfort and elegance, making the experience both restorative and enjoyable. Mouw recommends paying special attention to a few key details that will make a big difference:

• Bench Height and Layout: Arrange benches at multiple levels so users can choose their comfort zone. Upper benches should sit about 40 to 45 inches from the floor, while lower benches can be 16 to 24 inches. A depth of 18 to 24 inches works well for relaxed sitting or reclining.
• Materials: Opt for softwoods like cedar, spruce, or hemfir. These stay cool to the touch, resist warping, and are naturally splinter-free, which is ideal for a sauna’s heat and moisture. Wash with water only—no chemicals. 
• Ventilation: Proper airflow prevents stuffiness and extends heater life. Place an intake vent near the heater and an exhaust vent opposite.
• Ceiling Height: Aim for 7 to 7.5 feet to encourage good heat circulation, without making the room feel cramped.
• Lighting: Install soft, heat-rated fixtures to create a calming atmosphere.
• Doors: Choose insulated, outward-opening, tempered glass doors for safety and style.
  

Step 4: Assemble and Install

One of the biggest surprises for many first-time buyers is how approachable sauna assembly can be. DIY kits are designed with homeowners in mind, allowing you to go from delivery to relaxation in just one day.

Before you begin, it’s important to prepare your space. For outdoor setups, choose a level area with good drainage and build a stable base; a 3 to 4 inch concrete pad, a compacted gravel bed, or a sturdy deck are all solid options.

Indoor installations require a bit more forethought: Pick a private spot with water-resistant flooring like tile or concrete, since hardwood and carpet should be avoided. Keeping your sauna near a shower adds convenience, and you’ll need proper electrical access. Always hire a licensed electrician for wiring to ensure safety and code compliance.

Once the prep work is done, the actual assembly is straightforward. Smaller models can be completed in just 2 to 4 hours with two people, while larger models may take 6 to 8 hours or stretch into a full weekend project. Most sauna kits come with clear step-by-step manuals, video tutorials, and customer support, making the process manageable even for beginners.

Step 5: Add Affordable Upgrades

Luxury is often found in the details—fortunately, many sauna upgrades are very budget-friendly. Lighting is one of the simplest ways to enhance ambiance. Opt for LED fixtures or even chromotherapy (color therapy) for a wellness boost.

Windows and doors are also important considerations. Choosing half- or full-glass tempered doors, or even panoramic rear views, creates a more open and elevated feel. For added comfort, consider cedar backrests, head or leg supports, and duckboard flooring.

Wellness extras bring another layer of indulgence. Aromatherapy with essential oils such as eucalyptus, lavender, or cedar transforms the experience, while sauna pillows create plush comfort.

You can also upgrade your heater to include Wi-Fi compatibility, allowing you to preheat your sauna with just a tap on your phone.