TRENDING: THE GRANNY FLAT
More and more homeowners are considering adding a ‘Granny Flat’ to their property.
What is it?
Accessory Dwelling Units (ADU) a.k.a “granny flats” are smaller units added to a property but can be pricey to build.
According to Realtor.com, home improvement professionals say they’re fielding more inquiries from homeowners about adding ADUs. A fifth of remodeling contractors say they undertook projects over the last year to create an ADU by converting an existing space, and a similar number say they created an ADU by building a new addition to a property, according to a new survey released by the National Association of Home Builders.
ADUs have been cited by industry experts as one possible solution to low inventory, and that has prompted some cities to explore ordinances or programs to add more ADUs to existing properties. As well as to educate low-income homeowners about how to build ADUs that they can then rent out to earn extra money.
Although, only 6 percent of remodeling contractors report completing an ADU project for less than $25,000. Three-fourths say ADU projects cost at least $50,000, and 28 percent report projects costing at least $150,000.
ADUs usually require a building permit, but local and state ordinances vary significantly across the country. Some areas will not allow them at all but there are no federal standards or programs that track ADUs.
Any opinion on how this will drive the market in the case it gets even bigger? Let us know what you think about it in the comment section below!
About the writer: Shaura Cuyan writes about all the hottest Real Estate trends and predictions for Summit VA Solutions! She has previously written for a number of freelancing gigs and writes her own blog on lifestyle and current issues. She is a Graduate of Bachelor of Arts in Communication, taking up her Masters in Development Communication.