Adding an Accessory Dwelling Unit

Not to worry, your beloved mother-in-law doesn’t have to be anywhere in your vicinity for you to benefit financially by adding what are known as “mother-in-law units” to your mixed-use second home. These are officially known as an accessory dwelling unit (ADU) and they are detached living spaces built on property with an existing primary home.

An ADU can be can be completely new construction or it can be a converted building such as a barn or a garage that is already located on the property. The benefits of having an ADU along with your second home is the unit provides additional rental income. It also increases your property value and by extension, your equity stake in the real estate.

When you’re looking into either converting an existing building or starting from scratch, we advise that you be sure to understand the zoning regulations and building codes applied to your second home property. You will likely find minimum requirements to ensure the new structure is up to code, and the square footage, footprint and height of your ADU will probably need to fall below a maximum amount.

The ADU is a great alternative to subdividing your second home real estate for development. That process can be lengthy and full of red tape and might not be an available option with some property. An ADU also offers many benefits and can usually be done more easily than dividing your second home real estate.