The Benefits of Building an Accessory Dwelling Unit (ADU)

Accessory dwelling units (ADUs) are a hot topic in California right now, and for good reason. These small, standalone units offer homeowners a range of benefits that make them an attractive addition to any property. Adding an ADU to your property can significantly increase its value. In addition, ADUs can be an excellent source of rental income for homeowners, especially in cities like Los Angeles.

However, it’s not just about the financial benefits. ADUs can also help alleviate the housing crisis in California, providing affordable housing options for families and individuals. Additionally, ADUs are environmentally friendly as they require less energy to heat and cool, and can be built using sustainable materials and technologies.

So, in this post, we’ll take a closer look at the advantages of building an ADU.


Increased Property Value

By constructing an ADU on your property, you have the potential to enhance its overall worth. The addition of square footage that costs the same amount per square foot as the main house could contribute to this. Additionally, an ADU provides the opportunity to exceed the maximum allowed Residential Floor Area, setbacks, parking requirements, and other regulations that may be applicable to your primary residence.


Additional Income

If you choose to rent out your ADU, you’ll have a steady stream of passive income. This can be particularly beneficial for homeowners who are looking to supplement their retirement income or help to pay off their mortgage. With the high demand for housing in Los Angeles, finding a tenant for your ADU shouldn’t be too difficult.


Multigenerational Living

ADUs are a great option for families who want to provide their elderly parents or adult children with a separate living space. This allows for more privacy and independence for everyone involved. In addition, having family members nearby can provide a sense of security and peace of mind.


Environmental Benefits

ADUs are typically smaller than the main house, which means they require less energy to heat and cool. This can result in lower utility bills and a smaller carbon footprint. In addition, ADUs can be built using sustainable materials and technologies, further reducing their environmental impact.



ADUs can be used for a variety of purposes, such as a home office, art studio, or guest house. This versatility makes them a valuable addition to any property, as they can be adapted to suit the changing needs of the homeowner.


Some interesting facts about ADUs include:
  • ADUs can take a variety of forms, such as detached or attached units, basement apartments, or above-garage units.
  • ADUs can range in size from 300 to 1,200 square feet, depending on local zoning regulations and building codes.
  • California passed a law in 2019 that eases restrictions on building ADUs, making it easier and more affordable for homeowners to add them to their properties.
  • Los Angeles has a high demand for housing, and building an ADU can help alleviate the city’s housing shortage.
  • Some homeowners choose to live in their ADUs themselves and rent out the main house, allowing them to downsize while still generating rental income.
  • ADUs can be built using sustainable materials and technologies, such as solar panels, cool roofs, and energy-efficient appliances.
  • The cost of building an ADU in Los Angeles can range from $60,000 for a simple garage conversion unit to over $500,000 for a high-end, custom-built unit, with the average cost falling between $100,000 and $200,000.
  • ADUs can increase the walkability of neighborhoods, as they often lead to more foot traffic and a greater sense of community.


In conclusion, an ADU is a valuable addition to any property, offering benefits such as increased property value, additional income streams, multigenerational living options, environmental benefits, and versatility. If you’re interested in constructing an ADU, please contact us today to learn more about our design and construction services.

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