Accessory Dwelling Units (ADUs) are smaller, independent units located on the same lot as a stand-alone single-family home. They can be a detached unit or a vacant part of a home that has been converted into a livable space. A few examples of areas that are commonly converted into ADUs are basements, attached garages, detached garages or upper floor dwellings.
There are several reasons someone might want to create an Accessory Dwelling Unit on their property. It could be for personal reasons such as a sick family member that needs live-in assistance or a child moving back home who wants their own space but isn’t ready to move out yet. They also provide opportunities for additional streams of income. Although an ADU can’t be sold as a separate home, it can be used as a rental unit or listed as short-term housing on sites such as AirBnB, if the residing city allows for it.
Restrictions on building or converting an Accessory Dwelling Unit is dependent on the city in which you reside. Oftentimes, there is a limit of 1 ADU per property, but in recent years, certain cities have updated their regulations to allow 2 per property. Other restrictions can include size, location of entrances or the use case of the unit, such as limiting the unit to be for a sick or elderly family member only. If you’re unsure of the restrictions for your city, contact an Art of Homeownership Professional near you.
Accessory Dwelling Units can be a great option if you have the space and need a livable unit on your property. It’s important to first ensure your city allows for the type of unit you’re looking to build before you put the time and energy into planning the project. If you would like to find out if an ADU is right for you, locate and contact an Art of Homeownership Mortgage or Real Estate professional to take a look at your situation and guide you through the process, regardless of what you decide.