Accessory Dwelling Units (ADUs) are one of the hottest trends in real estate today. ADUs offer homeowners a chance to generate additional income and provide an affordable living space for family members, college students, or aging parents. But there are more benefits than just these. There are several advantages to adding an ADU to your home.
In the early part of the 20th century, ADUs were quite popular, but they quickly fell out of favor after World War II. Many of these houses, some of which were quite tiny and basic, were moved to new suburban neighborhoods after World War II. That was far more practical for people back then than it is today.
The last five years have seen an increased demand for affordable housing, which led to an uptick in ADU construction and all-in-one companies. Homeowners are beginning to reconsider how they may live without the burden of future mortgage payments or increased utility expenses.
5 Key Benefits Of Accessory Dwelling Units (ADU)
Why should you consider building an ADU on your property? What are the benefits of an ADU?
In the most general sense, accessory dwelling units can be any independent living space on someone’s private property. This could include a refurbished apartment above one’s garage or even outback in an area designated just for these types of houses.
There are several benefits to this type of home and they’re perfect for people who want more space than what their lot allows. What makes them so valuable is that you can add on any extra amenities without giving up your primary residence.
Here are the 5 Key Benefits why you should consider creating an ADU on your property:
1. Increase The Value And Potential Resale Value Of Your Property.
One of the most common reasons homeowners build an ADU is to increase their property’s value. The amount that you must invest in construction for this type of dwelling unit can be small when compared with all its added benefits on top.
If you’re trying to sell your house and aren’t getting many bids, it’s probably worth creating an ADU on your property. Adding a new separate living structure to your plot can attract a different buyer. They may be prepared to give a higher price if they know they will have income from the ADU to offset their mortgage payment.
2. Earn Passive Income From Rental Unit
An ADU is a great way to generate supplemental income from your property. You can either set it up as a long-term rental and make money over time, or rent out short-term for help covering expenses like mortgage payments!
If you live in a vacation spot, your ADU may help you generate short-term rental income. Using services such as Airbnb, you can rent out the use of your unit for weekends at premium rates that are often enough to pay off large proportions of the mortgage each month. Before you start, check into any limitations in your area because many cities ban this sort of accommodation.
3. Visitors From Outside The Area
A detached accessory dwelling unit is a perfect solution for those who love hosting friends and family, but their home doesn’t have enough room. You will still be able to afford your own space while they stay at an ADU with comfortable beds that offer privacy.
For elderly parents or grandparents, an ADU is a much more attractive option than putting them in the nursing home. It allows you to maintain your schedule while spending time with your loved ones.
4. Low-Cost Housing
A detached ADU allows you to provide your adult children with a separate space where they can begin gaining independence and saving money. It’s also an excellent stepping stone during transition times in their lives.
5. The Most Convenient Home Office Or Workspace
The ADU is an ideal place to work from, but it can also function as a home office. Working in your detached space with the bonus of never having traffic jams or spending hours commuting each day means better productivity and focus. Investing in an ADU is a smarter investment than paying monthly rent for office space. You can make money when you sell it and recoup the cost of construction during that period as well.
There are many ways to separate your primary residence from an ADU. A new site plan, landscaping, and design can help present a more professional appearance for the business.
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