Your home is your ultimate investment, and building an ADU is a great way to get even more value out of it.
Accessory Dwelling Units are typically stand-alone buildings that you add to your home. They typically have a bathroom, kitchen, and other living space. There are many different things you can use an ADU for, including a rental, a granny suite, or just more living space for you and your family.
Here are five reasons you should build an ADU in your backyard.
1. Space for Your Growing Family
When you have teenagers in a small home, it may seem like every day is full of conflict. They argue about space in their room, bathroom use, and even who can host their friends in the living room. An ADU can help your teens get some more space and reduce conflict.
2. Rent Out the Space
While having family in your space is nice, it can be much more practical to rent it out instead. You’ll get the benefits of additional income. With a large enough ADU, you may be able to cover a significant portion of your mortgage with the rental space. If you choose to go this route, be sure to make the ADU entirely independent from the home regarding plumbing, heating, cooling, and other essential functions. This independent function helps make the process of renting more convenient.
3. Increase Home Value
Adding any square footage to your home can increase its value, but ADUs are good options because they can add so much. A second bathroom and kitchen are tremendously valuable for many buyers, and the extra bedroom helps too. You could add more bedrooms or just use the remaining ADU space to add features that buyers who are looking at your neighbourhood find particularly appealing. A real estate agent can help you with this.
If you’re trying to choose between adding an outdoor kitchen and using your backyard space more for entertaining than living an ADU is a more valuable solution. You might consider creating an ADU as an entertainment area, but one that can be used for other purposes by the next owner of your home. Indoor space increases the value of your home more than outdoor space.
4. Host Family and Friends
A small ADU, maybe a JADU, is a great way to host family and friends, especially those that come from out of town. If you want to be the side of the family that hosts holiday parties, or if you have a large social circle and find that someone is always sleeping over, then having an ADU as dedicated guest quarters may be a perfect option for you.
5. Have Family Live with You
Inter-generational living is becoming more important for all kinds of families. Maybe your children are having their first babies, and it would be convenient and cost-effective for you to have them live in your own home. Or, maybe your parents or in-laws have retired and would like to move into you. An ADU can fulfill these needs and even change as your family changes.