ADU Rental Income Can Be Used to Qualify Borrowers to Purchase on HomeReady Loans
A HomeReady Mortgage is a Fannie Mae, first-time home buyer loan program, with minimum down payment requirements, and some very particular underwriting characteristics. When a borrower is purchasing a single-unit primary residence with a 3% minimum down payment and there is an ADU present, 75% of the potential rents from the ADU can be used to qualify.
Asmund & Jenny’s ADU
Asmund and Jenny had been considering building an ADU for quite a while and finally decided to take the plunge at the end of 2016. They were drawn by the potential for passive income, the need for more space for their growing family and guests, and they wanted to lock in the SDC fee waiver benefit before its scheduled expiration. They were particularly drawn to the short–term rental model to maintain the most flexibility.
ADU Legislative Initiatives Abound
SDC Waiver, Residential Infill Project, Oregon and California state legislative updates….
There are significant ADU legislative initiatives underway in California, Porltand, and Oregon at large. Each of these legislative efforts have national signficance.
St. Paul’s first ADU goes up
Over the course of a recent Saturday afternoon open house, more than 40 neighbors, friends and family stopped in to see a new apartment on Sherburne Avenue in the Hamline-Midway neighborhood and congratulate the owners, Eric and Chrissi Larsen, on its completion. This wasn’t just any apartment — it was the first accessory-dwelling unit to be built under St. Paul’s 2016 accessory-dwelling-unit ordinance.
ADU class for Portland homeowners, Saturday, June 2nd
Kol Peterson, one of the editors here, is hosting a class called “Building An Accessory Dwelling Unit on your property,” on Saturday, June 2nd. Please visit Kol’s site for more details.
Basement/Garage Conversion Open House on Thursday, April 19th
For those of you in Portland, I’m having an open house event this Thursday, April 19th at my recently completed basement/garage conversion ADU from 4-7pm. I hope to see you there.
Accessory Dwelling Units: A Tale of Two Cities
Guest post by Mark Thieroff from St. Paul, MN
About five years ago, interest in accessory dwelling units had reached a critical mass in Minneapolis and St. Paul. ADUs were seen by proponents as a way to increase housing diversity and flexibility and add density in residential neighborhoods. But Minneapolis and St. Paul ended up taking very different approaches and, consequently, have seen markedly different results.
Now Collecting ADU Stories from Across America
Calling ADU Owners, Dwellers, Designers, and Builders from across America to share ADU stories for an exciting new project with AARP. The many benefits of ADUs – especially for multigenerational families – have caught the attention of AARP. They’ve commissioned a publication about ADUs, which will feature half a dozen case studies of ADUs with various configurations and uses. If you’re an ADU owner, dweller, designer, builder, or city planner and you believe you can help with this project, we’d love to hear from you! Just send me an email at accessorydwellings@gmail.com by February 28th, letting us know which of the four items above you’d like to assist with and send along a photo!
Backdoor Revolution- Part V- Why Vancouver, BC has Done a Lot of ADU-Related Things Right
Backdoor Revolution- The Definitive Guide to ADU Development is officially live!
…Vancouver, British Columbia is the North American leader in ADU development.
Among the most notable things that Vancouver has done is allowed both a secondary suite and a laneway home on the same property. Other US cities (Portland, Oregon, and Seattle, Washington) are considering this idea now, but to my knowledge, no US cities allow it yet.
Backdoor Revolution- Part IV- Top Ten Reasons Why Basement Conversion ADUs and Detached ADUs Are Like Chalk and Cheese
Basement ADUs and detached ADUs are totally different creatures.
As I began to write my book and researched ADUs of all types, I strongly considered writing a totally separate book about basement ADUs. I ultimately decided to concurrently capture basement ADUs along with other structural forms in the same ADU book.
Backdoor Revolution- Part III- Why Fostering ADUs is Different than Fostering other Housing Types
One of the reasons that ADUs are especially challenging to foster is that they are generally developed by average homeowners. No other housing type is commonly developed by non-professional developers.
If you don’t develop housing as a full-time profession, housing development is complicated and challenging. Actually, even if it IS a full-time profession, housing development is complicated and challenging.
Backdoor Revolution- Part II- Informal ADUs
One significant part of my book research was about informal ADUs. While permitted ADUs are still fairly rare, informal ADU (a.k.a. unpermitted ADUs) are not.
In writing Backdoor Revolution, I discovered that informal ADUs have a lot to teach us. The book is now available for pre-order on Amazon.
Backdoor Revolution – Part I – Origin
In 2013, I was observing ADU trends in the US by tracking Google News Alerts and reading academic articles….
I’ve spent the last 2.5 years on this book, and I am proud to finally release it to the world on January 23rd, 2018.
Building an ADU in L.A.- Part II (excerpt)
Between 2003-2016, an average of one hundred permitted ADUs had been developed each year in L.A.. While 100 ADUs a year is something, it’s certainly not a lot of housing for a city with a population of nearly four million people, and 1.4 million housing units. But, 2017 has entirely changed the landscape for ADUs in California at large. And, L.A. has done something that no one expected.
DRUM ROLL……
The First National ADU Summit on November 3-5 in Portland
The Build Small Live Large Summit is the first ever national gathering of leaders in ADU policymaking, design and development. ADU industry practicioners across the country will convene to share and showcase emerging best practices regarding the development of this rare housing type. If you are an ADU enterprenuer, designer, builder, policy-maker, or advocate, we hope that you will be able to attend.
2017 ADU Tour Wrap-Up
The ADU Tour in Portland on September 9th and 10th was great. 600 people each day attended to see the 12 ADUs featured in NE Portland and the 12 ADUs in SE Portland.
Garden Suites in Edmonton: a private investment in the public good
New research from Canada finds that ADUs and garden suites can function as voluntary version of affordable housing — with some important caveats.
ADU Tour on September 8th-10th
The ADU Tour is just a couple weeks away on September 8-10th. If you are planning to build an ADU, drop whatever else you have planned and clear your schedule for this weekend. This is the largest (and best) ADU Tour in the nation.
Nov. 3-5: Build Small LIVE LARGE summit in Portland, OR
The 2017 Build Small Live Large Summit focuses on accessory dwelling unit (ADU) development, and how these small homes built in backyards, attics and basements can offer solutions to steeply … Continue reading
ADU Tour- Early bird sales end August 19th
Eary bird sales for the ADU Tour end on August 19th. You can buy tickets now.
It’s shaping up to be an awesome event! There’s going to be 12 ADUs featured on Saturday in SE and 12 ADUs on Sunday in SE. For those who are only interested in seeing certain ADU structural types, here is the breakdown by day.
Building An ADU- a new website for those seeking to build ADUs
BuildinganADU.com is a website geared to homeowners who want to build an ADU on their property, featuring posts and tips that delve into great detail about explaining how much ADUs cost to build using actual costs from recent projects,
ADU Designer Profile: Propel Studio
As someone who is very interested in urban issues and affordable housing conversations, Lucas Gray of Propel Studio has been familiar with ADUs for a while now and has been engaged with the design and construction of ADUs for around 4 years. Propel’s first ADU project was one of Lucas’ neighbors in NE Portland. Since then they have had a steady stream of new clients.
Announcing the 2017 ADU Tour
We are excited to announce the next ADU Tour. This tour has an awesome line up, chock-full with awesome and diverse ADU types and styles.
It’s going to be a full weekend event with 10+ ADUs in NE Portland featured on Saturday, and a different set of 10+ ADUs in SE Portland on Sunday. None of these ADUs have been featured on previous ADU tours before.
PCC ADU Design Class May 6-7, 2017
This spring Lina Menard, Coordinator of the ADU Case Studies Project and owner of Niche Consulting, will be teaching Accessory Dwelling Unit (ADU) Design Course. In this intensive two-day workshop we cover many of the considerations for designing a small space, visit with special guests who have created ADUs, and go through a set of design exercises to help you develop a design of your own.
The Ascent of ADUs in Portland
Portland is leading the pack with ADU development nationally. Data provided by the City of Portland shows the rate of ADU permits issued from 2010-2016. In 2016, 615 permits were issued, 20 times the average number of permits issues each year before Portland’s SDC waiver in 2010.
PCC ADU Design Wraps Up
This past weekend Lina Menard, one of our editors and the coordinator of the ADU Case Studies Project, taught an ADU Design Class through Portland Community College. The fourteen students brought a variety of project ideas, including everything from garage and basement conversions to backyard cottages, additions, and renovation of a workshop.
Deborah Kelly’s ADU: Mossy Cobbles
This week’s ADU Case Study was written and contributed by Deborah Kelly, the owner of an ADU called Mossy Cobbles. Deborah worked with her son, Justin S. Kelly, who is an architect and engineer, to design the cottage for Deborah’s mother to occupy when she lived in Portland for half the year. It was constructed by the next door neighbor, Tony Kikes with hardscaping by another friend and neighbor, Steve Carruthers. The cottage is now available as a short-term rental.
Lisa Lonstron’s Other House: A Rooming House
While interviewing more than 60 ADU Homeowners for the ADU Case Studies project, I came across several different ways that people use their ADUs. I heard time and time again that ADUs provide housing flexibility and give their owners additional rental options as their life circumstances change. ADU owners can Rent One, Both, or Neither. But I’d always assumed that when an owner decided to rent out either their house or ADU they’d be renting it to a single household. Then I got to talking to Lisa Lonstron who lives in her basement ADU. Her other house – the one she lived in before she turned her basement into her apartment – is a rooming house.
Natalie & Justin Strom’s ADU: Two Bathrooms & An Attic
Major design considerations for Natalie and Justin Strom included creating a feeling that their ADU is more like a single family home than an ADU and fitting the ADU into the aesthetic of the traditional neighborhood while bringing in modern elements in the interior. It was also important to Justin and Natalie that the design be flexible enough to allow for multiple use and that they utilize sustainable and energy efficient building materials and techniques.
Catherine Butler’s ADU: Two Bathrooms, Please
Quick Facts Setting: urban Neighborhood: Rose City Park, Portland, OR Type: stand-alone detached unit (new construction) Use: owner’s residence Square Footage: 800 Year Built: 2015 Owners: Catherine Butler Designer: Dave Spitzer of ADU PDX … Continue reading
ADUs’ Tiny Relatives
Editor’s note: In a stunning turn of events, Portland has actually just moved ahead with some of the ideas described in the post and video below, temporarily ending enforcement of the habitation of mobile dwellings on residential properties.
Al & Shannon Elizondo’s ADU: A Houston Carriage House
The key factor that convinced Al and Shannon to build their own garage apartment was increasing their housing flexibility. They built the ADU first with the plan to eventually build a house on the front portion of the lot which would allow them the option of using the ADU as a potential income property. The ADU was constructed in 2013 and the primary dwelling in 2015.
ADU Designer Profile: PATH Architecture, Inc.
Ben Kaiser’s favorite small space design trick is to use built-in cabinetry and multi-functional furniture. In the Laurelhurst ADU he designed, the bed folds into a couch, the dining table disappears into a wall, the chairs all stack, and storage goes into unused space.
ADU Design-Builder Profile: Thordarson Construction
Kristian Thordarson, owner of Thordarson Construction, specializes in high-end full-home remodels, but in 2015 he dipped his toes into the ADU world and now he’s excited to jump in. The opportunity presented itself when Keith Pitt and his wife Stephanie Mix approached Kristian about converting their historic garage in the Irvington neighborhood into an ADU for Keith’s mother.
I’m semi-retiring! (On a personal note…)
I’m semi-retiring as a co-editor and numbers guy at accessorydwellings.org . But the site is alive and well.
Sharon Nielson, Keith Pitt, & Stephanie Mix’s ADU: A Miniature Mansion
Because Keith & Stephanie’s home is located in an historic district and their garage was considered a contributing structure, they had a few additional design considerations. They were required to go through a Type II Design Review and retain two walls of the existing garage.The guiding principle for this project is to build a miniature Irvington home with all the features.
Sylvia Allen & Martha Shelley’s ADU: A Home for A Friend
What convinced Sylvia and her wife Martha to create an ADU on their own double lot was the desire to help Marion, an elderly friend who lived in Florida who needed daily assistance. So the three of them agreed that the most practical plan was for Sylvia and Martha to build an attached apartment so that Marion could live with them.
ADU Designer Profile: ADU PDX
After completing his first ADU, Dave was convinced that it was a viable option to create additional housing in Portland neighborhoods, so he built the next one a few years later. Dave has now built more than fifty ADUs in Portland, but he finds that each of them is specific to the lot and the site, so each one needs to properly fit into its context.
ADU Design-Builder Profile: Rainbow Valley Design & Construction Inc
Rainbow Valley Design & Construction Inc has built five ADUs in Oregon in the past seven years. Here we talk with designer Stephen Williams about the challenges of building ADUs and why we should build them anyhow.
Rainbow Valley ADU Profiles
To learn more about this company, check out Design-Builder Profile: Rainbow Valley Design & Construction Inc and read Stephen Williams’ ADU: An ADU on the Alley. ADU #1 – … Continue reading
Follow Up to the September 2016 ADU Tour
The ADU Tour on September 18th was a great event! Over 700 people registered and attendees had a fabulous experience. We aim to make the tour as educational as possible for attendees. Following the tour, we received many comments in the feedback, like this one.
Sheila Butler’s ADU: From Shack to Guesthouse
Sheila Butler and her husband Brad first learned about ADUs when they purchased a piece of property that had a half-built shell in the backyard. The previous owners had begun construction of a guesthouse and never finished the project.
ADU Designer Profile: Holah Design + Architecture
For Greg and Libby Holah, the same challenge of maximizing a small space is also the highlight of designing an ADU: “The best part is taking the footprint we’re given and maximizing it so it doesn’t feel like a small space. We like challenging the perspective of what can be achieved in 800 square feet.” –Greg Holah
The ADU Tour is Less Than One Week Away
The weather looks like it will be awesome for next week’s city wide ADU Tour. The ADU Tour hosts are excited to open their doors for the tour. In addition to … Continue reading
Steve Snyder & Jackie Ellenz’s ADU: An Energy-Efficient Guest House
For Jackie and Steve, there were lots of good reasons to build an ADU. They like the idea of supporting density and infill and they’re also committed to energy-efficiency. Greg is especially interested in how building technology can help us ameliorate climate change.
ADU Builder Profile: RS Wallace Construction Co.
Although he’d built many practical ADUs over the nearly forty years he’s been doing remodels, his first permitted ADU was inspired by a friend. Joan asked him to help her convert an under-used bedroom and bathroom into a studio apartment. He got such great feedback he decided to create an ADU of his own.
Tom Hudson’s ADU: The Newest House on the Block
Tom Hudson worked with Willie Dean of Ground Up Design Works to design an ADU in his backyard. His has served as his own general contractor for the project, doing most of the work himself and hiring out projects to local subcontractors.
Endpoint Design ADU Profiles
To learn more about this company, check out ADU Designer Profile: Endpoint Design. ADU #1 Square Footage: 283 Year Built: 2015 Architect: Designer: Endpoint Design Builder: Mosaik Design & Remodeling … Continue reading
