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. ADUs are also more affordable options for family members who are not yet in the position to own their own home.
There are now more than 1.4 million ADUs in the United States, with most in the South and West regions of the country. Common occupants include college students and grown children, extended family, seniors and on-site caregivers.
Financial Benefits of Accessory Dwelling Units
Rental Income
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. This can be an option to help pay the mortgage on the main home or a way to get some extra cash.
Reduced Expenses
An ADU is considered part of the main home; it cannot be bought or sold like a condo. There is no cost for the land, major infrastructure or structured parking.
Increased Property Value
Although the cost of an ADU can range anywhere from a few thousand dollars to much more, they can add to your home’s overall value, sometimes as much as 35%.
Other Benefits of ADUs
Employees
Many workers are still working a hybrid schedule. An ADU can be a private, quiet place to work from home.
Athletes and Hobbyists
A small, comfortable space allows one to work out or pursue a hobby away from the activity of the main house.
Is An ADU Right for You?
Different municipalities have their own specific regulations regarding ADUs. If you are interested in learning more, please let me know and I will help you get started in that process.
I am here to answer any other questions you may have about real estate at Smith Mountain Lake and help you through every step of your transactions. Please feel free to reach out to me any time!
~ Deb
Glossy-2.23
