The Pros and Cons of Building an Accessory Dwelling Unit on Your Property

The Pros and Cons of Building an Accessory Dwelling Unit on Your PropertyAs sustained growth continues in urban and suburban areas, homeowners are increasingly turning to Accessory Dwelling Units (ADUs) as a strategic solution for a variety of needs. In essence, an ADU is an additional, smaller residential structure built within, attached to, or on the same grounds as a primary residence. These ADUs offer a host of benefits but, like all decisions, building one also comes with a few downsides.

Here are three pros and cons of building an accessory dwelling unit on your property:


1. Increased Property Value and Income Potential

Arguably, one of the most compelling reasons to build an ADU is for financial gain. ADUs can significantly increase the value of your property. Not only can they increase resale value, but they can also provide a steady stream of rental income if you decide to lease it out.

2. Flexibility

ADUs can serve various purposes depending upon your requirements. They can be used as a home office, guest house, or even as a living area for aging parents. This adaptability makes ADUs a valuable asset as your needs or life situations change.

3. Sustainability

Building an ADU is a fantastic exercise in sustainable living. It promotes higher density living, reducing the demand for urban sprawl. Moreover, since most ADUs are quite small, they use considerably less energy and materials to construct and maintain.


1. Construction Costs

While the financial benefits of ADUs are compelling, the initial investment can be substantial. Construction involves costs for materials, labor, and permits. Hiring a reputable builder, like Prospect 30 Eight Construction, known for quality work and transparent pricing, can mitigate this.

2. Zoning Restrictions and Permitting

In some areas, zoning laws restrict the construction of ADUs. Even where they’re allowed, going through the process to obtain permits can be time-consuming and onerous. Experienced builders can often help navigate these obstacles.

3. Potential Strain on Infrastructure

Adding an ADU increases the number of people living on your property and thus can put additional demand on your property’s infrastructure, such as sewer, water, and electricity systems. Your builder will need to ensure these systems can handle the added load.

Building an ADU presents an exciting opportunity for homeowners to enhance their living spaces and financial prospects. Being aware of the potential challenges is essential to making an informed decision.

As experts in building top-quality custom homeshome additions, and Accessory Dwelling Units (ADUs) throughout the Denver Metro Area and the Front Range, Prospect 30 Eight Construction makes the entire process, from start to finish, a top-rate, satisfying experience. Don’t hesitate to reach out to us for a free consultation to explore how an ADU can make your dream home a reality.