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How Does ADU Increase Property Value?

As families grow and society changes, multi-generation house plans are becoming more and more popular. Grandparents are moving in to be closer to children and help look after grandchildren, young adults are living at home longer and aging parents need extra love and care. According to recent research, approximately 51 million Americans live in a home with at least two adult generations, or a grandparent and at least one other generation.

Accessory Dwelling Units (ADU), or what you may call in-law units or granny flats, are in high-demand in San Jose for many reasons, including communal-style living that allows autonomy. Homeowners interested in adding an ADU designed and built by Trist Architectural Design are often looking to:

· Keep elderly parents close

· Provide a place for adult children to live

· Create secondary rental income

· Space for a home office or studio

· Private accommodations


But there are other benefits to adding an ADU, such as increasing the resale value of your home. However, they don’t always add value. It’s largely dependent on the area in which they are built and the cost versus demand ratio. Let’s take a look at how they can increase property value in San Jose.


How ADU Can Add Value to Your Property

According to property valuers and real estate agents who have researched the pros and cons of ADUs, to truly add value to your property, as well as be a functional investment, it must meet the following specific criteria:

· Building only in an area where there is a demand for ADUs, unless you can personally benefit from the practical addition of one in the longer term to offset the expense.

· Include upgraded and luxurious features. Make it something irresistible to prospective buyers if you were to sell.

· Using quality materials, but not paying top dollar. If the cost per m² is more than a conventional dwelling, then re-think the plan or consider alternative options. We offer several ADU designs fit for all needs.

· Take time to make a variety of plans with varying costs that include your long-term goals. Spending a quarter of the property’s base value won’t guarantee a profitable return in every case.

In San Jose, ADUs will add value to your property, but there are important questions to ask yourself before taking on such a detailed project.

· First, consider why you want to add an ADU to your property. Is it for a multi-generational family? Or is it for extra income?

· How many ADUs are in the area in which you live?

· Is there a demand for them if you were to sell or have your property re-valued?

· Can you monetize the dwelling once it’s finished?


Adding an ADU to Your Property

Whether you’re looking to renovate an older house or build equity in a new construction home, an accessory dwelling unit is highly likely to add value, versatility, and verve to your little patch of ground in California.

If you’re looking for a home improvement project that could build equity, significantly boost your property’s value, and generate income, book an appointment online and let’s talk!









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© 2019 by Trist Architectural Design.

1-669-209-9999   |   tristdesignbuild@gmail.com I California, United States

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