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A carriage house combines garage or storage space with living space, usually in two stories, while a garage generally does not offer any living space. Carriage houses are built with plumbing, insulation, and heating and cooling systems, which are usually features not found in traditional garages. Building codes and insurance requirements greatly differ between the two types of structures, and may make it difficult to convert a garage to a carriage house.

The smallest size a standard 2-car garage can be is 20 feet by 20 feet, so at these dimensions, you could reasonably expect to fit two cars inside. However, it’s going to be a tight fit, especially if you have larger SUVs or pickup trucks. For smaller cars, 20 x 20 should be plenty for parking and some space to maneuver around the cars. A larger garage size would be better to ensure you have room to open the doors and transport groceries or other items around the cars.

Most heat in a garage is lost through air leaks in windows, doors, and walls. This is especially true if the walls are uninsulated, which is common in garages. Consider insulating your garage before installing a garage heater to ensure the heat it generates isn’t wasted, making it less efficient.

If you plan on heating your garage, you must install a vapor barrier when drywalling the garage. A vapor barrier protects your garage from frost and mold that can occur through condensation. If your garage is unheated, you don't need to install a vapor barrier. The only exception is if you regularly crank the heat in your car before getting in it. In this case, you may still want to install a vapor barrier, as your car can heat your garage.