Accessory Dwelling Units: Housing and Rental Options
Most likely you have heard the terms “granny flat” and “in-law apartment”. These are examples of Accessory Dwelling Units (ADUs). These small units, either attached to your home or as a freestanding unit on your property, are great options for families who wish to have a member, such as an elderly parent, live close by or for family members who are not yet in the position to own their own home. They are also a great opportunity for you to create wealth.
ADUs have a kitchen, bedroom, bathroom and living area which makes them ideal as rentals. However, because they share utilities with the main home. Some simply use them as office space, a personal gym or a guest house. The cost of an ADU can range anywhere from a few thousand dollars to much more. However, they can add to your home’s overall value, sometimes as much as 35%.
Different municipalities have their own specific regulations regarding ADUs. Austin does allow ADUs with certain requirements based on lot size, square footage, construction limitations and whether or not it will be used as a short, medium or long term rental. This rental market is strong in Austin for traveling nurses, people remodeling their homes, virtual workers and visitors coming to enjoy this robust, fun town and our surrounding communities.
If you are interested in learning more, let me know and I will help you get started. As always, think of me as your resource for all things real estate related. I am here to help you navigate and make informed decisions about your investments. I’m always up for coffee or lunch, just call!
To download or read more information about ADU’s click here.