ADU's Benefits for Individuals and Families:

The growing demand for multi-generational housing strongly overlaps with the current interest in ADUs.  After all, properties that contain two residences, large and small, offer many options to modify living arrangements as homeowners' needs evolve.  Here's how different individuals can benefit from an ADU:

Adult children can move "back home" with their parents and have their own space, while enjoying autonomy and without encroaching on their parents' privacy.

For older individuals, an ADU provides a way to extend independence, while remaining conveniently close to family members.  For example, grandparents can live in an ADU and provide occasional babysitting for their young grandchildren residing in the main house, while also feeling reassured that an adult is close by.  Senior-centric ADUs include design elements that make it possible to age in place longer.  Some seniors are downsizing from their current homes to a smaller, universal-design home in the back of the same property, then rent out the main house to supplement their retirement income.  This option also allows them to stay in the neighborhood they already call home.

For lower-income individuals, ADUs offer the opportunity to live in stable, single-family neighborhoods and to (possibly) lower their housing costs with labor and/or services to the homeowner.  For example, an occupant may provide housekeeping, grocery shopping, or pet-sitting services.

ADUs can also create companionship, often missing from the lives of older or handicapped individuals.

First-time buyers may find it easier to qualify for loans on hmes with ADUs, since the property has byukt-in rental income potential.

For all involved, it can be a cost-effective living option.  In those areas that permit them, ADUs bypass the minimum house size and/or square-footage requirements for new construction-although some areas do impose a maximum size for the ADU.

(Excerpt from The SRES Professional)