In this blog post, we outline some of the most popular ways to make money from auxiliary dwelling units (ADUs). ADUs can be built from scratch or be created through garage conversions Los Angeles based.
1. Holiday rentals
If you live in a state that receives a lot of tourism, or near an attraction, you could capitalize on holidaymakers who visit your area by creating an ADU for tourists. ADUs can be very basic to attract tourists on a budget or can be finished to a luxurious standard to appeal to holidaymakers with a higher budget.
If you like the idea of finding a lodger and receiving steady rental income, but don’t want to share your home with a stranger, converting a garage or outdoor space into an ADU is an effective way to make money. If you wish to rent an ADU to a lodger, you must ensure your ADU is complete with basic amenities such as a bathroom, fridge, and kitchen cabinets in Los Angeles. Competition for lodgers in Los Angeles is high, so you must ensure your rental accommodation is appealing.
3. Home business
Converting your ADU into a home office, or a space for your home business will allow you to start or expand an existing business venture and potentially make more money from your business. For example, you could design an ADU to have space to store additional stock, allowing you to move products in higher quantities, helping you to make more money.
Alternatively, you could always rent the space within your ADU to local businesses in your area who are looking for increased storage or a workspace, so you benefit from the rental income.
Top tips for making money from an ADU:
Look for seasonal opportunities If there is a festival or annual occasion that brings tourism to your town, ensure you focus your holiday accommodation adverts around this period.
Talk to local businesses
Talk to small businesses in your local area and ask them about their workplace and storage needs, this will help you decide whether turning your ADU into a business space will be profitable.
Ask experts for advice Speak with businesses who complete garage conversions Los Angeles based and ask them how they would best utilize the space you have available.