Owning a home in Hawaii is a wonderful experience. It allows you to build memories and make alterations however you choose to on your land. Many people will buy a single family home and make a number of small to extensive renovations like remodeling the kitchen, taking out interior walls between public living spaces, and adding new rooms to the existing structure. Of course, not every renovation has to make use of the current home at all. You could construct outbuildings, design the perfect play ground, or landscape the garden into something fantastic. One of the most useful and potentially lucrative changes you can make to your property is the addition of an ADU or Accessory Dwelling Unit.
What is an ADU?
Knowing what the acronym stands for (Accessory Dwelling Unit) doesn’t actually explain what an ADU really is. These are extra buildings or extensions to a single-family home that can support an entirely separate resident and are particularly popular in crowded Hawaii neighborhoods. They are commonly referred to as ‘granny flats’ or ‘in-law apartments’, but you certainly aren’t required to keep your aging parents and parents-in-law in one if you build it. In fact, many ADU owners and builders are putting them on the renter’s market, becoming landlords without having to buy new investment property.
Unlike normal home extensions, each ADU includes its own kitchen and at least one private bathroom. They are often built as outbuildings in a separate section of a large home lot but can also be built as a comprehensive addition to the current structure. They can even be a conversion of an older section of the house or accessory structure in the yard.
Providing a Source of Income
There are many potential uses for an ADU. If you didn’t build it for a specific relative in mind, you can put the property to use making money to pay for its construction costs, provide extra income for your family, retirement, or perhaps to pay off your mortgage on the overall property. Most people who build an ADU do so with the intent to rent, which can make a big difference during the current housing crunch.
Because there are so many more people living in Hawaii than there are available single-family homes, it’s quite common for extended families to live together. Building ADUs can give everyone a little extra breathing space by providing separate accommodations. Simply by adding an extra kitchen and bathroom to the property, you can reduce the amount of waiting and jostling in a busy home. ADUs also create flexibility, as the added privacy allows you to rent out space to a non-relative if it’s not currently needed.
Encouraging Aging in Place
Most people, as they age, need less space to take care of and often end up downsizing in order to save the money and energy it takes to maintain a full-sized house. However, an ADU can help seniors who love their homes ‘age in place’ by moving into the smaller residential space and renting out the main house to an eager new family.
Opportunity to Help the Families in Need
There is a serious problem in Hawaii with perfectly capable and hardworking families facing homelessness because there simply aren’t enough affordable houses available. Building and renting out an ADU creates an opportunity for private homeowners to contribute to a solution. Families with nowhere to stay will be more than happy to have a freshly built private apartment and access to single-family neighborhoods. By renting your ADU out at an affordable rate, you can help keep a family out of homelessness while making a good long-term investment.
There are half a dozen reasons to build and ways to use an ADU, it’s simply a matter of preparing for the construction costs and choosing a design. Build it the way you like it, with an efficient floor plan and an exterior that compliments your landscaping. Once it’s done, you can share it with relatives or rent it to a grateful family looking for a new home. For more information about building a new ADU on your Hawaii property, please contact us today!