Helpful Insights for Home Remodeling

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What is an ADU in Real Estate

What is an ADU in Real Estate

Learn what an ADU is in real estate, from garage conversions to DADUs. Compare ADU vs guest house, costs, benefits, and why ADUs add home value.

September 9, 2025

An ADU, or Accessory Dwelling Unit, is a small, independent living space on the same property as a main home. It has its own kitchen, bathroom, and entrance - like a secondary home. People build ADUs for various reasons: to keep family close, generate rental income, or simply to have more room. From young adults to retirees, many see them as a smart housing solution.

Types of ADUs include:

Garage conversion ADU - turns an unused garage into a living space.
Basement ADU - turns a home's finished basement into a private apartment.
Detached ADU (DADU) - a stand-alone structure.
Attached ADU - built as part of the primary home, sharing at least one common wall.
ADU above the garage - a clever way to add space without reducing the yard.

For many families, an ADU makes daily life easier, adds future options, and brings new value to the home.

ADU vs DADU

An ADU can connect to the home, be made from existing space, or stand on its own. A DADU is always separate, like a backyard cottage. Both add value, but the best option depends on your space, budget, and goals.

Here are a few things to compare when looking at ADU vs DADU:

Privacy - Detached units feel more private, great for guests or rentals.
Cost - Conversions like basement or garage ADUs usually cost less than a new detached build.
Space - DADUs need more lot space, while attached ADUs use existing areas.
Design - Detached ADUs allow more custom design, while attached ones follow the main home’s layout.
Purpose - For multigenerational living, either option works. For short-term or long-term rentals, a DADU often provides more independence.

An ADU investment property can be either type, depending on what brings the best return. Many homeowners choose detached units when they want maximum rental income potential.

ADU vs Guest House

When people are exploring options, a frequent point of confusion is the "ADU vs guest house" distinction. At first glance, they may seem the same. Both provide extra space for family or visitors. But in real estate, the definitions matter.

A guest house often lacks a full kitchen or may not meet the full building code requirements of a permanent residence. An ADU, by contrast, is a complete housing unit. It comes with its own entrance, bathroom, kitchen, and living space. This makes it suitable for long-term rental or independent living.

When you look at the ADU meaning in real estate, you’ll see why cities and states are updating zoning laws to allow more of them. ADUs provide a flexible solution for affordable housing, multigenerational living, and aging in place. A guest house can be nice, but it’s less flexible and not always officially recognized. That’s why many homeowners view an ADU as a smarter long-term choice.
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ADUs have also sparked comparisons like ADU vs addition. A traditional addition adds square footage to the main house, while an ADU creates a fully separate living unit. Both add value, but ADUs give you more options - like renting it out, offering privacy, or even selling the property later with greater appeal.

At Arch Design & Build, we’ve seen how ADUs transform properties. From backyard cottages to garage conversion ADUs, each project reflects the homeowner’s vision. An ADU can be your investment, your family’s retreat, or your step toward affordable housing solutions.

Ready to build your ADU? Let's build something great.

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ADU Permit Guide Copy

ADU Permit Guide Copy

Getting a permit for an Accessory Dwelling Unit (ADU) can seem complicated—but with the right guidance, it’s manageable and well worth the effort. This guide walks you through each step, so you can get your project approved and underway with confidence.

1. Check Zoning and Permits Before starting, confirm with your local building department whether your garage is eligible for conversion. Some cities require off-street parking or have restrictions for ADUs (Accessory Dwelling Units). Submit permit applications early to avoid delays.

2. Evaluate the Existing Structure Inspect the foundation, roof, framing, and slab for integrity. Many garages need insulation, waterproofing, or raised floors to meet building codes and comfort standards.

3. Design the Layout Think about how the space will function. Include living, sleeping, bathroom, and kitchenette zones as needed. Work with an architect or designer to optimize flow and meet code requirements (like egress windows and ceiling height).

4. Plan for Utilities You may need to extend plumbing, electrical, and HVAC from the main house. Tankless water heaters and ductless mini-splits are great options for compact garage conversions.

5. Insulate and Soundproof Proper insulation is essential for year-round comfort. Consider soundproofing if the unit will be used for sleeping or as a rental.

6. Add Doors and Windows Most garage conversions involve replacing the garage door with a wall and adding windows or patio doors for natural light.

7. Select Durable Finishes Choose flooring and materials that withstand traffic and moisture. Vinyl plank flooring, tile, and mold-resistant drywall are popular options.

8. Final Inspection and Occupancy After construction, the city will inspect the work. Once approved, you'll receive a certificate of occupancy.

Bonus Tips

Incorporate storage in creative ways
Keep exterior consistent with the main house
Consider solar or battery systems for efficiency

1. Check Zoning and Permits Before starting, confirm with your local building department whether your garage is eligible for conversion. Some cities require off-street parking or have restrictions for ADUs (Accessory Dwelling Units). Submit permit applications early to avoid delays.

2. Evaluate the Existing Structure Inspect the foundation, roof, framing, and slab for integrity. Many garages need insulation, waterproofing, or raised floors to meet building codes and comfort standards.

3. Design the Layout Think about how the space will function. Include living, sleeping, bathroom, and kitchenette zones as needed. Work with an architect or designer to optimize flow and meet code requirements (like egress windows and ceiling height).

4. Plan for Utilities You may need to extend plumbing, electrical, and HVAC from the main house. Tankless water heaters and ductless mini-splits are great options for compact garage conversions.

5. Insulate and Soundproof Proper insulation is essential for year-round comfort. Consider soundproofing if the unit will be used for sleeping or as a rental.

6. Add Doors and Windows Most garage conversions involve replacing the garage door with a wall and adding windows or patio doors for natural light.

7. Select Durable Finishes Choose flooring and materials that withstand traffic and moisture. Vinyl plank flooring, tile, and mold-resistant drywall are popular options.

8. Final Inspection and Occupancy After construction, the city will inspect the work. Once approved, you'll receive a certificate of occupancy.

Bonus Tips

Incorporate storage in creative ways
Keep exterior consistent with the main house
Consider solar or battery systems for efficiency

1. Check Zoning and Permits Before starting, confirm with your local building department whether your garage is eligible for conversion. Some cities require off-street parking or have restrictions for ADUs (Accessory Dwelling Units). Submit permit applications early to avoid delays.

2. Evaluate the Existing Structure Inspect the foundation, roof, framing, and slab for integrity. Many garages need insulation, waterproofing, or raised floors to meet building codes and comfort standards.

3. Design the Layout Think about how the space will function. Include living, sleeping, bathroom, and kitchenette zones as needed. Work with an architect or designer to optimize flow and meet code requirements (like egress windows and ceiling height).

4. Plan for Utilities You may need to extend plumbing, electrical, and HVAC from the main house. Tankless water heaters and ductless mini-splits are great options for compact garage conversions.

Garage Conversion Checklist: Everything You Need to Know

Garage Conversion Checklist: Everything You Need to Know

Turning your garage into a livable space is a smart way to add square footage and value to your home—without changing its footprint. Whether you're building a rental unit, guest suite, or office, this checklist will help guide your conversion project from start to finish.

1. Check Zoning and Permits Before starting, confirm with your local building department whether your garage is eligible for conversion. Some cities require off-street parking or have restrictions for ADUs (Accessory Dwelling Units). Submit permit applications early to avoid delays.

2. Evaluate the Existing Structure Inspect the foundation, roof, framing, and slab for integrity. Many garages need insulation, waterproofing, or raised floors to meet building codes and comfort standards.

3. Design the Layout Think about how the space will function. Include living, sleeping, bathroom, and kitchenette zones as needed. Work with an architect or designer to optimize flow and meet code requirements (like egress windows and ceiling height).

4. Plan for Utilities You may need to extend plumbing, electrical, and HVAC from the main house. Tankless water heaters and ductless mini-splits are great options for compact garage conversions.

5. Insulate and Soundproof Proper insulation is essential for year-round comfort. Consider soundproofing if the unit will be used for sleeping or as a rental.

6. Add Doors and Windows Most garage conversions involve replacing the garage door with a wall and adding windows or patio doors for natural light.

7. Select Durable Finishes Choose flooring and materials that withstand traffic and moisture. Vinyl plank flooring, tile, and mold-resistant drywall are popular options.

8. Final Inspection and Occupancy After construction, the city will inspect the work. Once approved, you'll receive a certificate of occupancy.

Bonus Tips

Incorporate storage in creative ways
Keep exterior consistent with the main house
Consider solar or battery systems for efficiency

Kitchen Remodel Schedule: What to Expect Week by Week

Kitchen Remodel Schedule: What to Expect Week by Week

Planning a kitchen remodel can feel overwhelming, but with a clear timeline, it becomes manageable and even exciting. Here's a week-by-week breakdown of a typical kitchen remodel schedule to help you set realistic expectations and stay in control of your project.

1. Check Zoning and Permits Before starting, confirm with your local building department whether your garage is eligible for conversion. Some cities require off-street parking or have restrictions for ADUs (Accessory Dwelling Units). Submit permit applications early to avoid delays.

2. Evaluate the Existing Structure Inspect the foundation, roof, framing, and slab for integrity. Many garages need insulation, waterproofing, or raised floors to meet building codes and comfort standards.

3. Design the Layout Think about how the space will function. Include living, sleeping, bathroom, and kitchenette zones as needed. Work with an architect or designer to optimize flow and meet code requirements (like egress windows and ceiling height).

4. Plan for Utilities You may need to extend plumbing, electrical, and HVAC from the main house. Tankless water heaters and ductless mini-splits are great options for compact garage conversions.

5. Insulate and Soundproof Proper insulation is essential for year-round comfort. Consider soundproofing if the unit will be used for sleeping or as a rental.

6. Add Doors and Windows Most garage conversions involve replacing the garage door with a wall and adding windows or patio doors for natural light.

7. Select Durable Finishes Choose flooring and materials that withstand traffic and moisture. Vinyl plank flooring, tile, and mold-resistant drywall are popular options.

8. Final Inspection and Occupancy After construction, the city will inspect the work. Once approved, you'll receive a certificate of occupancy.

Bonus Tips

Incorporate storage in creative ways
Keep exterior consistent with the main house
Consider solar or battery systems for efficiency

1. Check Zoning and Permits Before starting, confirm with your local building department whether your garage is eligible for conversion. Some cities require off-street parking or have restrictions for ADUs (Accessory Dwelling Units). Submit permit applications early to avoid delays.

2. Evaluate the Existing Structure Inspect the foundation, roof, framing, and slab for integrity. Many garages need insulation, waterproofing, or raised floors to meet building codes and comfort standards.

3. Design the Layout Think about how the space will function. Include living, sleeping, bathroom, and kitchenette zones as needed. Work with an architect or designer to optimize flow and meet code requirements (like egress windows and ceiling height).

4. Plan for Utilities You may need to extend plumbing, electrical, and HVAC from the main house. Tankless water heaters and ductless mini-splits are great options for compact garage conversions.

5. Insulate and Soundproof Proper insulation is essential for year-round comfort. Consider soundproofing if the unit will be used for sleeping or as a rental.

6. Add Doors and Windows Most garage conversions involve replacing the garage door with a wall and adding windows or patio doors for natural light.

7. Select Durable Finishes Choose flooring and materials that withstand traffic and moisture. Vinyl plank flooring, tile, and mold-resistant drywall are popular options.

8. Final Inspection and Occupancy After construction, the city will inspect the work. Once approved, you'll receive a certificate of occupancy.

Bonus Tips

Incorporate storage in creative ways
Keep exterior consistent with the main house
Consider solar or battery systems for efficiency

‍

1. Check Zoning and Permits Before starting, confirm with your local building department whether your garage is eligible for conversion. Some cities require off-street parking or have restrictions for ADUs (Accessory Dwelling Units). Submit permit applications early to avoid delays.

2. Evaluate the Existing Structure Inspect the foundation, roof, framing, and slab for integrity. Many garages need insulation, waterproofing, or raised floors to meet building codes and comfort standards.

3. Design the Layout Think about how the space will function. Include living, sleeping, bathroom, and kitchenette zones as needed. Work with an architect or designer to optimize flow and meet code requirements (like egress windows and ceiling height).

4. Plan for Utilities You may need to extend plumbing, electrical, and HVAC from the main house. Tankless water heaters and ductless mini-splits are great options for compact garage conversions.

5. Insulate and Soundproof Proper insulation is essential for year-round comfort. Consider soundproofing if the unit will be used for sleeping or as a rental.

6. Add Doors and Windows Most garage conversions involve replacing the garage door with a wall and adding windows or patio doors for natural light.

7. Select Durable Finishes Choose flooring and materials that withstand traffic and moisture. Vinyl plank flooring, tile, and mold-resistant drywall are popular options.

8. Final Inspection and Occupancy After construction, the city will inspect the work. Once approved, you'll receive a certificate of occupancy.

Bonus Tips

Incorporate storage in creative ways
Keep exterior consistent with the main house
Consider solar or battery systems for efficiency

1. Check Zoning and Permits Before starting, confirm with your local building department whether your garage is eligible for conversion. Some cities require off-street parking or have restrictions for ADUs (Accessory Dwelling Units). Submit permit applications early to avoid delays.

2. Evaluate the Existing Structure Inspect the foundation, roof, framing, and slab for integrity. Many garages need insulation, waterproofing, or raised floors to meet building codes and comfort standards.

3. Design the Layout Think about how the space will function. Include living, sleeping, bathroom, and kitchenette zones as needed. Work with an architect or designer to optimize flow and meet code requirements (like egress windows and ceiling height).

4. Plan for Utilities You may need to extend plumbing, electrical, and HVAC from the main house. Tankless water heaters and ductless mini-splits are great options for compact garage conversions.

5. Insulate and Soundproof Proper insulation is essential for year-round comfort. Consider soundproofing if the unit will be used for sleeping or as a rental.

6. Add Doors and Windows Most garage conversions involve replacing the garage door with a wall and adding windows or patio doors for natural light.

7. Select Durable Finishes Choose flooring and materials that withstand traffic and moisture. Vinyl plank flooring, tile, and mold-resistant drywall are popular options.

8. Final Inspection and Occupancy After construction, the city will inspect the work. Once approved, you'll receive a certificate of occupancy.

Bonus Tips

Incorporate storage in creative ways
Keep exterior consistent with the main house
Consider solar or battery systems for efficiency

1. Check Zoning and Permits Before starting, confirm with your local building department whether your garage is eligible for conversion. Some cities require off-street parking or have restrictions for ADUs (Accessory Dwelling Units). Submit permit applications early to avoid delays.

2. Evaluate the Existing Structure Inspect the foundation, roof, framing, and slab for integrity. Many garages need insulation, waterproofing, or raised floors to meet building codes and comfort standards.

3. Design the Layout Think about how the space will function. Include living, sleeping, bathroom, and kitchenette zones as needed. Work with an architect or designer to optimize flow and meet code requirements (like egress windows and ceiling height).

4. Plan for Utilities You may need to extend plumbing, electrical, and HVAC from the main house. Tankless water heaters and ductless mini-splits are great options for compact garage conversions.

5. Insulate and Soundproof Proper insulation is essential for year-round comfort. Consider soundproofing if the unit will be used for sleeping or as a rental.

6. Add Doors and Windows Most garage conversions involve replacing the garage door with a wall and adding windows or patio doors for natural light.

7. Select Durable Finishes Choose flooring and materials that withstand traffic and moisture. Vinyl plank flooring, tile, and mold-resistant drywall are popular options.

8. Final Inspection and Occupancy After construction, the city will inspect the work. Once approved, you'll receive a certificate of occupancy.

Bonus Tips

Incorporate storage in creative ways
Keep exterior consistent with the main house
Consider solar or battery systems for efficiency

‍

1. Check Zoning and Permits Before starting, confirm with your local building department whether your garage is eligible for conversion. Some cities require off-street parking or have restrictions for ADUs (Accessory Dwelling Units). Submit permit applications early to avoid delays.

2. Evaluate the Existing Structure Inspect the foundation, roof, framing, and slab for integrity. Many garages need insulation, waterproofing, or raised floors to meet building codes and comfort standards.

3. Design the Layout Think about how the space will function. Include living, sleeping, bathroom, and kitchenette zones as needed. Work with an architect or designer to optimize flow and meet code requirements (like egress windows and ceiling height).

4. Plan for Utilities You may need to extend plumbing, electrical, and HVAC from the main house. Tankless water heaters and ductless mini-splits are great options for compact garage conversions.

5. Insulate and Soundproof Proper insulation is essential for year-round comfort. Consider soundproofing if the unit will be used for sleeping or as a rental.

6. Add Doors and Windows Most garage conversions involve replacing the garage door with a wall and adding windows or patio doors for natural light.

7. Select Durable Finishes Choose flooring and materials that withstand traffic and moisture. Vinyl plank flooring, tile, and mold-resistant drywall are popular options.

8. Final Inspection and Occupancy After construction, the city will inspect the work. Once approved, you'll receive a certificate of occupancy.

Bonus Tips

Incorporate storage in creative ways
Keep exterior consistent with the main house
Consider solar or battery systems for efficiency

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