diff --git a/freqtrade/configuration/configuration.py b/freqtrade/configuration/configuration.py
index 17ad37d6a..d96a291e2 100644
--- a/freqtrade/configuration/configuration.py
+++ b/freqtrade/configuration/configuration.py
@@ -10,7 +10,7 @@ from typing import Any, Callable, Dict, Optional
 
 from freqtrade import OperationalException, constants
 from freqtrade.configuration.check_exchange import check_exchange
-from freqtrade.configuration.create_datadir import create_datadir
+from freqtrade.configuration.folder_operations import create_datadir
 from freqtrade.configuration.json_schema import validate_config_schema
 from freqtrade.loggers import setup_logging
 from freqtrade.misc import deep_merge_dicts
diff --git a/freqtrade/configuration/create_datadir.py b/freqtrade/configuration/folder_operations.py
similarity index 56%
rename from freqtrade/configuration/create_datadir.py
rename to freqtrade/configuration/folder_operations.py
index acc3a29ca..f402f91e0 100644
--- a/freqtrade/configuration/create_datadir.py
+++ b/freqtrade/configuration/folder_operations.py
@@ -18,3 +18,17 @@ def create_datadir(config: Dict[str, Any], datadir: Optional[str] = None) -> str
         folder.mkdir(parents=True)
         logger.info(f'Created data directory: {datadir}')
     return str(folder)
+
+
+def create_userdata_dir(directory: str):
+    sub_dirs = ["backtest_results", "data", "hyperopts", "plots", "strategies", ]
+    folder = Path(directory)
+    if not folder.is_dir():
+        folder.mkdir(parents=True)
+        logger.info(f'Created user-data directory: {folder}')
+
+    # Create required subdirectories
+    for f in sub_dirs:
+        subfolder = folder / f
+        if not subfolder.is_dir():
+            subfolder.mkdir(parents=False)
diff --git a/freqtrade/tests/test_configuration.py b/freqtrade/tests/test_configuration.py
index 56ff79625..21df8d4e5 100644
--- a/freqtrade/tests/test_configuration.py
+++ b/freqtrade/tests/test_configuration.py
@@ -13,7 +13,7 @@ from jsonschema import Draft4Validator, ValidationError, validate
 from freqtrade import OperationalException, constants
 from freqtrade.configuration import Arguments, Configuration
 from freqtrade.configuration.check_exchange import check_exchange
-from freqtrade.configuration.create_datadir import create_datadir
+from freqtrade.configuration.folder_operations import create_datadir, create_userdata_dir
 from freqtrade.configuration.json_schema import validate_config_schema
 from freqtrade.constants import DEFAULT_DB_DRYRUN_URL, DEFAULT_DB_PROD_URL
 from freqtrade.loggers import _set_loggers
@@ -609,6 +609,24 @@ def test_create_datadir(mocker, default_conf, caplog) -> None:
     assert log_has('Created data directory: /foo/bar', caplog.record_tuples)
 
 
+def test_create_userdata_dir(mocker, default_conf, caplog) -> None:
+    mocker.patch.object(Path, "is_dir", MagicMock(return_value=False))
+    md = mocker.patch.object(Path, 'mkdir', MagicMock())
+
+    create_userdata_dir('/tmp/bar')
+    assert md.call_count == 6
+    assert md.call_args[1]['parents'] is False
+    assert log_has('Created user-data directory: /tmp/bar', caplog.record_tuples)
+
+
+def test_create_userdata_dir_exists(mocker, default_conf, caplog) -> None:
+    mocker.patch.object(Path, "is_dir", MagicMock(return_value=True))
+    md = mocker.patch.object(Path, 'mkdir', MagicMock())
+
+    create_userdata_dir('/tmp/bar')
+    assert md.call_count == 0
+
+
 def test_validate_tsl(default_conf):
     default_conf['trailing_stop'] = True
     default_conf['trailing_stop_positive'] = 0