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Writer's pictureOcean CPA

The Purpose of Building an ADU

Updated: Oct 18




Building an Accessory Dwelling Unit (ADU) serves several purposes, making it a versatile and valuable addition to a property. Here are some of the key reasons people choose to build ADUs:





  1. Additional Income: Renting out an ADU can provide homeowners with a steady source of income, helping to offset mortgage costs or generate extra funds.


  2. Housing Family Members: ADUs offer a convenient solution for multi-generational living, allowing elderly parents, adult children, or extended family to live close by while maintaining their independence.

  3. Increasing Property Value: An ADU can significantly enhance the value of a property by adding livable space and offering the potential for rental income, making the property more attractive to future buyers.

  4. Downsizing: Homeowners might choose to live in the ADU themselves and rent out the main house, which can be particularly appealing for those looking to downsize while staying on their property.

  5. Affordable Housing: ADUs contribute to the supply of affordable housing in urban areas by providing smaller, more economical living spaces.

  6. Flexibility of Use: ADUs can serve various functions over time, such as a home office, guest house, or studio, depending on the homeowner's needs.

  7. Sustainable Living: Building an ADU can be a step towards more sustainable living, especially if designed with energy efficiency in mind, as it promotes higher density housing and efficient land use.

  8. Legalizing Existing Structures: Some homeowners build ADUs to bring unpermitted structures into compliance with local regulations, ensuring they meet safety and zoning requirements.


Overall, ADUs offer flexibility, financial benefits, and increased living space, making them a popular choice for homeowners looking to maximize their property's potential.



 



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