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Do you need more space? In 2020, almost everyone wished for a larger home, when our homes became our world. The passage of SB 9 in 2021 was designed to create more housing in California, but it also made the idea of adding a backyard cottage, also known as an accessory dwelling unit, or ADU, an option for many more homeowners. While adding an ADU to your property still requires approval and permits, the state has now made sure that it is much easier to do so, by requiring cities, towns, counties and even homeowner’s associations to accept the state’s guidelines.

The change in legislation opens the door for those who need to add some doors. Perhaps you have an elderly family member who you’d like to care for at home, but not in your home? Maybe you’d like to give your adult child an affordable option to live independently? Of course, adding an ADU as a rental option to generate long term income may also be appealing. The great thing about ADUs is that they can have flexible uses, ranging from a home office, gym, craft area, guest cottage…and so much more!

If you’re thinking about creating a rental on your property, you’ll want to give serious consideration to the placement, access and privacy. It’s also wise to consult with a tax advisor to see how this plan might impact your taxes, both in positive and negative ways.

Did you know that the Town of Danville has beautiful, downloadable ADU plans available in their “Garden Cottage Program.” The program is intended to offer residents a streamlined and more affordable option, when considering building an ADU. It’s a great place to start looking at your options and get some ideas. If the town’s plans work for your needs, it could equal a huge savings in time & money.

It’s important to note that an ADU does not have to be a detached structure. If you don’t need a lot of extra square footage, but simply wish to repurpose space that you already have, you may have options to convert part of your existing home to a separate (attached) dwelling unit.

Just like any major home improvement, if you’re not sure that you’ll be staying in your home for the long term and if you’re concerned about your return on investment, it’s wise to consult with your trusted REALTOR®, to make sure that the project you have in mind makes sense.

Every home is unique. If the thought of evaluating your options has you feeling overwhelmed, please feel free to reach out to me at 925-964-5010 or via email at Lisa.Hopkins@Compass.com for a custom analysis of your options. Even if you’re not planning to move, I’m happy to help by providing you with relevant data, enabling you to make a well informed decision. It’s never too early to start planning for success.