A new zoning code in Portland, Ore. could provide an opportunity for extra income for homeowners. As of Aug. 1, Portland homeowners can now legally have not one but two small dwellings in addition to their primary home on one residential city lot.
There are many nicknames for an ADU such as a granny flat, garden suite, carriage house, in-law flat, sidekick, and many others. So, what exactly is an ADU? An ADU stands for Accessory Dwelling Unit, which is a self-contained residence located on the same property lot as the primary residence. ADUs are smaller than the main house and have their own separate cooking, sleeping, and bathroom facilities. Some examples of ADUs are:
- A converted part of the existing house
- An addition to an existing house
- A converted existing garage or
- Constructing a new building on the same lot
There are a variety of design and use standards in the zoning code which apply to the creation of an ADU. These include:
- Restrictions on short term rentals and home occupations
- Limits on the size of the ADU
- Design requirements for new detached ADUs over 15 feet tall
An ADU can also be created by converting an unfinished basement or structurally sound garage into new living quarters. Owners could also create a second story while building a new garage.
“As of July 2021, there have been approximately 3,350 total permits issued for ADUs in Portland.”
This new code opens up a lot of doors for homeowners. Seniors nearing retirement can see an ADU as a way to downsize and cut costs and rent out their main property to fund their retirement. Smaller dwellings also let owners receive rent to help offset mortgage payments or fund their child’s college education.
Due to the pandemic, many families want to stay close together to combat loneliness, increase family bonds, and for health reasons. Many homeowners build ADU’s for the sole purpose of having an elderly loved one live there and maintain close contact.
As of July 2021, there have been approximately 3,350 total permits issued for ADUs in Portland. According to data on Accessorydwellings.org, a detached shelter can cost upwards of $300,000, while garage and basement conversions average about $125,000. It is also important to note that additions to an existing property will result in a property tax increase.
So what do you think? Would you have an Accessory Dwelling Unit on your property? Let us know in the comments!
Published on 2021-09-13 22:51:04