Portland housing market trends indicate the need for increased urban density. Our Urban Growth Boundary restrains sprawl, so growth in Portland housing demand drives up property values and increases investment returns for those building within city limits. One trending opportunity for making the most of your property is to create an additional living space. Called Secondary Suites, Annexes, Mother-in-Law suites, or most commonly in Portland, Accessory Dwelling Units, these spaces add independent living options which can be rented out as an income source.
Accessory Dwelling Units, or ADUs for short, come in many flavors. When purchasing a house with an ADU in mind, consider converting attics, basements, or garages into livable space. The structural and permitting cost of renovating parts of your existing house can be significantly less than building a new stand-alone structure.
On the other hand, building a new, separate ADU does come with benefits that might be worth the added upfront cost, including increased privacy, aesthetics, and market availability of suitable properties. Many standard lots contain plenty of space for a 500-800 square foot unit in addition to the main home, with space leftover for a nice yard besides.
Creating an ADU from a detached garage can be a nice compromise with some of the cost savings of building within an existing structure, and a detached living unit as the end product.
Now is the perfect time to think about creating an income property with an ADU. The City of Portland is on board; unlike many cities, ADUs are perfectly legal in Portland when built to code, and many permitting fees are currently being waived to promote increased housing density.
The Portland Home Team is knowledgeable and up-to-date on Portland’s ADU requirements. We’re ready to help you find property which can be both a home and a source of income. Contact us to start your search.