Accessory Dwelling Unit Los Angeles – Why An ADU Makes For a Smart Investment
When it comes to the humble accessory dwelling unit Los Angeles has been leading the way in this for some time. Many designers here have been looking for novel ways in which they can use the space on property to create a dwelling unit which is spacious, comfortable and which offers a great return on investment. On average these spaces will cost anywhere between $150,000 and $250,000, and despite that large outlay, there is a great amount which you can recoup back, and you can do so in multiple ways. Building this kind of property is about more than just making money and here is why this kind of construction will be a great idea.
Rental Income
The main way in which you can make money on this kind of property is that you can use the space to rent out. This could be a long term rental or you may even wish to have it as an AirBnb style rental. This may require a little work on your behalf but if you so wish you can shave off a little bit of the money which you make from rentals and pay for a company to take care of it. This will provide you with a steady stream of cashflow and give you some money back on your investment whilst still owning the asset.
Living Space
If you have elderly family members who wish to be closer to the family but also need to maintain their independence then you can use this property to do just that. This is a great way to spend more time with elderly family members and make sure that they are well taken care of. Alternatively you may have teenage sons or daughters who are ready to step out a little on their own, but not quite into their own accommodation. This can provide them with a great way for them to prove their responsibility and still stay close to the family, another great use of this space.
Resale Value
If you winced when reading the intro and how much it could cost for this kind of living area then don’t worry because as mentioned, the return on such an outlay is very good indeed. This comes in two forms, initially you are going to be able to offer a potential buyer a very attractive option with this rental property, this could increase competition amongst buyers. Secondly the money which you can add to the value of your home will also greatly help you to recoup some of that money which you have spent on the property in the first place.
As you can see, the addition of an ADU to your property is something which will offer you an enormous amount of benefits. This may be quite the outlay but if you are able to do it and you are prepared to take the plunge, you can actually make a lot of money back.
