How to Earn Extra Money with Your Business

You might be thinking, why would people want to read about earning more money with your business? Well, the answer is simple. More money equals more happiness! If you are looking for a way to make extra cash without working too hard or spending too much time away from your family, this article is perfect for you. We will talk about adding an Accessory Dwelling Unit (ADU) onto your property and the benefits that come with it. You can learn how to add 25% more units to your existing building with an ADU here.

What is an Accessory Dwelling Unit (ADU)?

An ADU can be a secondary unit on the same property where another house or building already exists. The main intention of this type of dwelling is to accommodate family members that are either elderly or young by providing them with extra living space. It also works for homeowners who want to rent out their second home to boost their income each month. Having an ADU built onto your land will allow you more flexibility when needing extra cash flow now and then. That being said, there are many ways in which these units have been helpful over time so keep reading if you would like some interesting pros and cons.

Pros and Cons of ADUs

There are many reasons why homeowners decide to build an Accessory Dwelling Unit onto their property, but what is the reason behind those benefits? Let’s take a look at some of them now! 

Pros:

Increases your Income: This kind of living space can be rented out as long-term accommodations or short-term rentals, which means that it will allow you to increase your income every month for however long you desire. Since this type of dwelling fits more people than other types, it makes sense why people would want these extra units on their land.

Helps Seniors Stay in Their Own Homes Longer: As we age, our bodies tend to become less active due to physical disabilities and other limitations, so having a secondary living space where you can spend time with family members will help ensure that your loved ones aren’t left alone as often.

More Living Space for the Whole Family: This type of dwelling allows more people to stay on their property, which means they won’t be stuck in one household any longer. Having an ADU built onto your land is like adding another house, and therefore it creates enough room for everyone!

Cons:

Less Privacy than You Might Think: If you are looking into building an Accessory Dwelling Unit because you want privacy, this could pose a problem since families sharing one big backyard might not enjoy each others’ company every hour of the day. It’s important to note that if too many people live in one household, there are chances of arguments and other conflicts.

Additional Costs: One of the main disadvantages to having an ADU built onto your property is that it can be very expensive for homeowners who already have a mortgage on their home. If you don’t want to worry about additional costs, this might not be your option. 

Take Advantage of Tax Breaks for Building Your Own ADU

If you decide that building an Accessory Dwelling Unit (ADU) would benefit your family’s lifestyle, many tax breaks are available, which means more money saved! The following list includes how these units give back to landowners with lower taxes or even sometimes no fees at all, depending on where they live.

Some cities or counties exempt homeowners from property taxes if they build their ADU on the land. This could be a great way to save money, especially if you are looking for ways to reduce your expenses during these tough economic times.

If you live in states like Oregon, Washington State, or California, then this type of living space is eligible for homeowner’s exemptions! So make sure that you look into all the possibilities for tax breaks and other incentives before hiring someone to construct your unit.  

Take Advantage of Tax Breaks for Building Your Own ADU

If you decide that building an Accessory Dwelling Unit (ADU) would benefit your family’s lifestyle, many tax breaks are available, which means more money saved! The following list includes how these units give back to landowners with lower taxes or even sometimes no fees at all, depending on where they live.

Some cities or counties exempt homeowners from property taxes if they build their ADU on the land. This could be a great way to save money, especially if you are looking for ways to reduce your expenses during these tough economic times.

You can also build a small accessory dwelling unit (ADU) on your property and rent it out to generate supplemental income for you. This provides an opportunity to increase cash flow, diversify your investment portfolio, or ensure that the value of your home is protected by generating rental income when people are not buying homes as often due to economic downturns.