4 Different Categories of How People Pay for ADUs

In 2021, Respondents of a UC Berkeley survey of more than 800 homeowners were questioned about how they financed the cost of building ADU. Their responses were divided into four different categories: Liquid assets: Most homeowners use cash or other liquid assets for their ADU construction. Homeowners who lack sufficient liquid assets to cover the cost of building an ADU need other sources of funds....

Pay for an ADU Options with Freddie Mac

Having an accessory dwelling unit (ADU) on an existing property has become a popular way for homeowners to offer independent living space to family members or to gain residual income by renting out the unit. This popularity has increased demand for home financing that offers special consideration for an ADU. Freddie Mac’s ADU policies provide multiple options for adding an ADU to a home or financing a...

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