Accessory Dwelling Units

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What are ADUs?

Accessory Dwelling Units (ADUs) are innovative, versatile housing solutions that offer homeowners a unique way to maximize their property's potential. Often known as granny flats, in-law units, or backyard cottages, ADUs are independent living spaces located on the same grounds as a primary residence. They can be designed as detached structures, attached extensions, or conversions of existing spaces like garages. Perfect for generating rental income, housing extended family, or creating a home office, ADUs are a smart investment that can enhance property value, provide financial flexibility, and contribute positively to the local housing landscape. Explore the possibilities with ADUs and transform your property into a space of greater utility and value.

Here's Our List of Potential Benefits of having an ADU:

1. Additional Income Stream

  • Renting out an ADU can provide a significant source of PASSIVE income

2. Increased Property Value

  • Properties with ADUs often having higher market values.

3. Affordable Housing Solution

  • ADUs can offer more affordable rental options in high-cost areas.

4. Multigenerational Living

  • ADUs are ideal for housing aging parents or adult children, keeping families close while maintaining privacy.

5. Flexible Living Space

  • Theycan serve as guest houses, home offices, studios, or spaces for hobbies and crafts.

6. Potential for Retirement Income

  • Homeowners can downsize into their ADU while renting out their main house in retirement.

7. Leverage for Loans or Mortgages

  • Increase property value and/or projected rental income from an ADU can enhance borrowing power for homeowners.

8. Potential Airbnb / Short-Term Rental (STR)

  • ADUs can be used as short-term rentals in areas with tourism, providing extra income.

  • Please check with city laws about requirements.

ADUs are a practical and beneficial addition for many homeowners, offering a unique combination of financial, social, and environmental advantages.

9. Tax Benefits

  • Some jurisdictions offer tax incentives for ADU construction.

10. Enhanced Property Appeal

  • A well-designed ADU can improve the overall aesthetics and functionality of a property.

11. Sustainability

  • Opportunities to incorporate eco-friendly designs and technologies.

12. Customization to Suit Needs

  • Can be tailored to specific needs, unlike standard housing options.

13. Reduced Housing Costs for Occupants

  • Can provide more affordable living options for residents or family members.

14. Promotes Local Economies

  • Construction and ongoing maintenance of ADUs support local businesses and contractors.

15. Future Flexibility

  • Can adapt to changing family needs over time, from a young family's childcare needs to an older couple's downsizing plans.

16. Privacy for Occupants

  • Offers more privacy and independence than shared living arrangements in the main house.

Hot Topic - ADUs

I think this is going to be quite a game changer in the high-density and high-cost area. And, I'm super excited about helping families make great investments in their properties and themselves. Book a strategy call with me and let's see what smart moves we can do together!

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Equal Housing Opportunity © 2023 Apache Mortgage Inc, 695 Town Center Dr., Suite 1200, Costa Mesa, CA 92626, 949-799-4329. NMLS ID # 2454357 DRE # 02209550. For licensing information go to Trade/service marks are the property of Apache Mortgage Inc and/or its subsidiaries or affiliates. Information is intended solely for mortgage bankers, mortgage brokers, and financial institutions. For more information, review Apache Mortgage Inc's state licenses and important notices. Co-op loans not available. Some products may not be available in all states. Information, rates and pricing are subject to change without prior notice at the sole discretion of Apache Mortgage Inc, Mortgage Broker. All loan programs are subject to borrowers meeting appropriate underwriting conditions. This is not a commitment to lend. Other restrictions apply. [06-2023]