You’re probably wondering – what’s an ADU? An ADU is an accessory dwelling unit, a legally permitted, rentable, self-contained unit that may or may not be attached to the main home on the property. It provides, at a minimum, all the basic requirements for living – a living area, bedroom area, kitchen and bathroom often incorporating universal design.
Even though government zoning authorities use the official term ADU, individuals commonly give these residences other names like private apartments, guest cottages, in-law suites or income units. As a rule, they generally fall into 3 broad categories:
Interior ADUs – Created by converting existing space inside a primary dwelling usually in a finished basement or attic space.
Detached ADUs – A separate structure built on the same lot as the primary dwelling like a cottage or converted garage.
Attached ADUs – Independent living space built, either out or up, as an extension of the primary home.
Seattle is just one of the many ADU-friendly areas* in the U.S. and was a factor in one of my recent listings on historic Capitol Hill. For younger buyers, the fact that this home, a recent listing of mine, located at 732 17th Avenue E., already had a permitted, finished and well-appointed income unit with a rental history of $2,000/month brought in over 300 people to view the property over 4 days. An offer was accepted after just 7 days on the market. It came from a young couple who considered how this extra income could significantly assist with the payments on their jumbo mortgage loan.
I knew that this Accessory Dwelling Unit could readily provide an avenue for additional income by leasing the apartment to a tenant or play an essential role in solving older individuals’ housing challenges, potentially providing options for aging in place and/or multi-generational living while retaining privacy and independence.
For these reasons – and others – it’s important for a Seniors Real Estate Specialist® to be aware of recent developments concerning ADUs. I make it my mission to understand the needs of older homeowners so that we can create the best plan together.
We never know who will be moved to place an offer on a home, but the added benefits of an official ADU make properties much more attractive and more valuable for new homeowners.
*Other ADU-friendly areas include Portland, Oregon – Asheville, North Carolina – Austin, Texas – Santa Cruz, California – Vancouver, British Columbia and the entire state of New Hampshire.