5 Benefits of Adding an ADU to Your Property in your backyard

People are always looking for ways to increase the value and functionality of their properties. Adding an ADU (accessory dwelling unit) is one way to accomplish that goal. An ADU can be a single-family detached home, a stand-alone building, or even a converted garage or barn. 

And if you’re wondering how much value does an ADU add to your home? The answer is it can increase your home’s value by as much as 30%, depending on your property size and location. Some houses even saw a 50% jump in their resale value after adding an ADU. 

That said, here are five more benefits of adding an ADU:

An ADU provides an opportunity for increased income

An ADU can be used to increase the amount of income that you’re receiving from your property. This is especially important if you have a mortgage on the property because it helps with paying off that home loan.

In addition to providing additional income for homeowners, an ADU also provides an excellent source of retirement income for older homeowners who are looking to stay in their homes without having to sell them or go through the process of moving somewhere else after they stop working full-time.

An additional benefit that some people overlook when considering adding an ADU to their property is using it as a way for parents who want their children to go to college but may not be able to afford it themselves to access this type of education through student loans and financial aid programs.

An ADU allows for a smaller carbon footprint

You are now living in a smaller house. The smaller footprint of your home means that you will be less reliant on your utility bills, reducing the overall carbon emissions from heating and cooling the home. 

By reducing floor area, you will also reduce the number of materials needed to construct your ADU, which decreases more carbon emissions associated with construction.

Because an ADU is generally located close to its main house, occupants can easily walk or bike between them. This reduces transportation needs by making walking or biking viable options when arriving at either location.

An ADU increases the value of your property

A second unit can be a great way to increase the value of your property. In fact, a recent study found that adding an ADU can increase the value of your home by $25,000-$50,000!

An ADU can also be used as a rental unit or second home. If you live in an area with a high demand for rentals, this could help you make extra income on your property and pay off your mortgage faster.

If you don’t want to rent out your ADU but still want to make some extra money from it, consider using it as an office or studio for yourself instead!

An ADU accommodates the multigenerational family

The most obvious benefit of adding an ADU is that it provides a place for family members to live. So if your adult children are looking to move back in with you, or if you’re thinking about downsizing and having your parents move in with you, an ADU can provide the space for everyone.

This option also has the added benefit of reducing your household’s carbon footprint since less energy will be needed to heat and cool the home if there are fewer people living in it. This helps reduce energy costs and environmental impact, too!

An ADU can be a community-building block.

There are many benefits to adding an ADU to your property in your backyard. One additional benefit is that it can be a community building block, providing affordable housing for low-income families, housing family members returning from overseas, and housing disabled individuals.


If you’re considering adding an ADU to your property, we’re here to help. We have the expertise and experience needed to guide you through the process. Whether it’s finding the right location on your property or designing a functional build that fits within your budget, we can help with all aspects of construction and design.