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November 21, 2022

Will adding an accessory dwelling unit pay off?

  • Here's what to consider before you commit.

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    If you’re building an ADU for the extra income, recognize that any rent you charge could be at least partially offset by higher property taxes, larger homeowners insurance premiums and payments on construction loans.

    Accessory dwelling units are known by many names: in-law suites, guest houses, backyard cottages, or basement or garage conversions, among others. What all ADUs have in common is that they're a separate living space typically added to a single-family residential lot, and they're having a moment.

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