When it comes to the investment and the construction of an accessory dwelling unit Los Angeles has really been leading the way over recent years. These additional buildings which sit on the property are becoming more and more popular and that is because of the clear array of benefits which they offer to the investor. An ADU can be used as an additional living space for the family, ideal for teenagers and elderly family members. Additionally these properties can be rented out in order to drive cash flow to the owners, and they also add value to the property and make them more attractive.
Given the sheer array of benefits then, why is it that Los Angeles is the city which is leading the way with this kind of investment? Let’s take a look.
Artistic Center
Something which Los Angeles has been doing for a number of years now is really doubling down in architectural creativity. When it comes to the building of an ADU, this is something which provides a fantastic opportunity for young and creative minds. Given the rise in popularity here in LA, we have seen many young architects flock to the city to show off their design skills and create sleek, minimalist and truly beautiful ADUs for their clients. There has always been a level of competition in this area here in LA, and the ADU provides yet another kind of design which architects are battling to be the best with.
Huge Investment
There are many people at the moment looking to leave California because of the fact that taxes are so high. There are however many tax benefits in the construction of an ADU and that has also made them an investment which people are looking forward to. There has always been big money for properties in the city and for those affluent property owners they are realizing just how beneficial the accessory dwelling unit can be. There is only so much which you can do with an existing property, and that it what has inspired so many people to invest in something new and exciting for their properties.
Rental Income
Rental income is one of the biggest benefits of building an ADU but there are many cities across the country which simply don’t have the demand to make the investment worthwhile. Here in LA however this is not the case at all and rental demand, especially for creative properties is seriously high. There are so many people coming here for vacations and for long term rental stays, that anyone building an ADU can be sure that they will have a steady flow of renters coming in and paying good money for a delightful looking property.
As you can see, these are the three main reasons why LA has become the home of the ADU and why more and more people are looking at investing in such a building on their own property.
