What is an ADU?
An Accessory Dwelling Unit (ADU) in Arizona is a secondary housing unit on a single-family residential lot. ADUs can vary in form, including detached units (separate from the main house), attached units (connected to the main house), garage conversions (transforming an existing garage into living space), or units above a garage. Features often include a kitchen, bathroom, and separate entrance.
Features you can add
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Studio
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Multi Level
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Office Space
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RV Garage
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Home Gym
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Air B&B Rental
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Casita
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Work Station
What is an ADU?
An Accessory Dwelling Unit (ADU) in Arizona is a secondary housing unit on a single-family residential lot. ADUs can vary in form, including detached units (separate from the main house), attached units (connected to the main house), garage conversions (transforming an existing garage into living space), or units above a garage. Features often include a kitchen, bathroom, and separate entrance.
Features you can add
-
Studio
-
One Bedroom Design
-
Multi Level
-
Office Space
-
RV Garage
-
Home Gym
-
Air B&B Rental
-
Casita
-
Work Station
Rental Income Potential
A new rule from the FHA (Federal Housing Administration) lets people use the money they make from renting out a small extra house on their property (called an ADU) when they apply for a mortgage. This is to help more people own homes and solve some housing problems. Now, when figuring out if someone can pay back a mortgage, lenders can include some of the rent money from these small houses. This rule is already in place. For more details, see here.
Percent of rental income applicable for a loan
Percent of total cost to build an ADU to be financed
Average cost
The article from HomeGuide details the costs of building an Accessory Dwelling Unit (ADU). The average total cost ranges from $60,000 to $180,000 for a 600-square-foot ADU. The cost per square foot varies between $100 to $300, depending on the type (prefab, attached, detached, above garage, basement conversion, or garage conversion) and other factors like size, location, and amenities. Prefab ADUs are generally cheaper and faster to construct. For a more detailed breakdown of costs and factors influencing the price, please refer to the full article here.
Increase Property Value
Generally speaking, an ADU can increase the value of a home upwards of 30%
ADU Value Contribution
Increase Property Value
Generally speaking, an ADU can increase the value of a home upwards of 30% of the homes value.
ADU Value Contribution
Average cost
The article from HomeGuide details the costs of building an Accessory Dwelling Unit (ADU). The average total cost ranges from $60,000 to $180,000 for a 600-square-foot ADU. The cost per square foot varies between $100 to $300, depending on the type (prefab, attached, detached, above garage, basement conversion, or garage conversion) and other factors like size, location, and amenities. Prefab ADUs are generally cheaper and faster to construct. For a more detailed breakdown of costs and factors influencing the price, please refer to the full article here.
ADU Value Contribution
Increase Property Value
Generally speaking, an ADU can increase the value of a home upwards of 30%
ADU Value Contribution
ADU Value Contribution
Why build an ADU?
Benefits of ADUs
ADUs are versatile, independent living spaces on your property that offer unique opportunities for rental income, extended family living, or a private retreat. These custom-designed units, ranging from converted spaces to new structures, not only enhance your lifestyle but also significantly increase your property’s value, making them a smart and forward-thinking investment.
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FAQs
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