New law effective January 1, 2019 – As of January 1, 2019, homeowners who created accessory dwelling units (ADUs) without the required building permits may have the opportunity to bring their ADUs into compliance. For ADUs that were constructed without building permits, local building officials now have the option to inspect an ADU and apply the building standards that were in effect at the time the unit was constructed.
Bringing a dream to life Half Moon Bay homeowners Bill and Ruthie are like many other couples looking to set their adult children up for success when they are gone. But their days are packed with even more emotion than most parents: their 33-year-old son, Alex, has severe developmental disabilities. They knew they needed to create some distance between themselves and Alex so he could learn to live somewhat independently before they became too elderly to care for him at home. They agonized over what to do, even how to start thinking about Alex’s future without them by his side. Bill and Ruthie thought the best option would be for them to move out of the home they have long shared with Alex so he could remain in familiar surroundings with care givers. They looked at many options – buying or renting a second home nearby, moving to an area with lower housing costs, even docking a sailboat at the local marina – but none were feasible. They felt they had reached a dead end until Ruthie discussed their dilemma with a neighbor. The city, the neighbor told her, had made it easier to build second units. The next day Bill and Ruthie were talking with city planners. Today, Bill and Ruthie spend a few nights each week in a second unit they added to their existing home while Alex has round-the-clock care in the main.
Words of Advice about the ADU Development Process, from Those Who Have Gone Before You
Recently, I conducted a brief survey of those who have attended one of my ADU classes. Of those who had completed or nearly completed construction, I asked a question:
If you completed an ADU or are in the final stages of building one, what advice would you offer to prospective ADU owner-developers?
Sometimes, you can do research on your own using Google. But, other times, it’s more useful to get advice from homeowner/developers who have already gone through the process. Below are the 25+ responses to that question.
It is probably going to cost more than you think.
You are allowed to do most of the work yourself if you plan to occupy. (City will provide you with handy sheet detailing what you can and cannot do.)
For myself in the future, I may consider just finishing space (ie basement/attic) as opposed to the whole process of the ADU.
I’d also like to see some prefab designs or construction packages. As much as anyone likes to have a personalized design, it is overwhelming to make all the choices and if you want as a rental anyway, it may make sense to go with a cheaper option.
Admittedly, there’s some common cautionary advice themes here !
But, here’s one more anecdotal takeaway I have noticed from those who have completed an ADU. No one ever regrets having built an ADU. Indeed, for many homeowners, building an ADU is the most life-changing thing they’ve ever done to create flexibility and financial freedom in their lives. That additional little tidbit of advice may be useful for those who are considering whether to undertake an ADU project on their property.
Revised 2018 | Blog -Jan 2020
What is Aging in Place?
Aging in place is a term that has been coined for individuals who reside in a dwelling of their choice, for as long as they can, while they grow old. This entails maintaining the right resources and services, depending on each senior’s needs.
Many people who decide to age in place must make home modifications in preparations for their needs as they grow older.
Aging in place modifications include:
A new resource that has helped make aging in place a more practical solution is an Accessory Dwelling Unit. An ADU is a tiny home that shares the same property as a single-family home. They just became a lot easier to build in California when legislation was passed allowing two units to be built on single-family properties.
These smaller spaces are perfect for facilitating aging in place. They can be customized for foreseeable needs like accessibility and convenience.
We know that choosing the best option for senior living can be difficult. That is why comparing options can help people make the best-informed decisions.
One of the many options for senior living is a nursing home. Typically nursing homes are beneficial for individuals who have more complex health issues and need around-the-clock assistance from more skilled professionals like nurses or physicians.
However, not all circumstances are the same, so these guidelines may not apply to all. Everyone has unique needs that determine their best senior living option.
That being said, here are two factors that can strongly influence this important decision:
According to a survey done by MetLife Mature Market Institute (2016), the average cost per day in a semi-private room in a nursing home in California is $249.
This totals to a total cost of around $90,885 per year.
If one wanted a private room, those prices would shoot up to $330 per day, or $120,450 per year.
Compare that to aging in place in a granny flat: On average, the cost to build a stand-alone unit is $220-$350 a square foot.
While these are ballpark numbers that can vary by build, location and architect fees, it ranges from a total cost of about $130,000 – $250,000 to build a granny flat.
Even though this option has a higher sticker price than a nursing home, we will explain how the added value of the additional property usually outweighs the overhead costs. Building a granny flat also increases the value of your home.
One of the major benefits of a nursing home is that comes with around-the-clock care. Nursing homes offer personalized assistance like help getting out of bed, bathing, eating, or other special attention.
They also offer assistance for more complex health conditions like a skilled nurse or a physical or speech therapist.
This personalized attention is great for individuals who have disabilities or special daily needs. Also, if family members do not have the time or resources to take care of their elderly family members to this extent, nursing homes can be a very good option.
In contrast, if a family has enough time to help care for their elderly family members, aging in place in a granny flat can also be very beneficial.
Many times, immediate family members occupy the main house: The lack of a geographical barrier allows individuals in need of assistance immediate help if something were to happen.
Assisted living differs from a nursing home primarily because of the different services provided. Many times, residents of nursing homes have more complex health problems, whereas assisted living communities generally require more custodial care.
According to the 2015 Genworth Financial cost of care survey, the average cost of an assisted living facility in California is $3,750 per month.
That is a total of $45,000 per year.
Again, this will vary based on where you live but these are average numbers.
Let’s take a look at the costs of aging in place in a granny flat again. We already know that it can cost around $220 – $350 per square foot.
That may seem like a lot, but don’t forget that it also adds major value to the property! For example, a home purchased in 1990 for $100,000 has a base value of $156,000 (from California’s Prop 13’s 2% increase).
Let’s say you then build a granny valued at $75,000.
You would add $156,000 + $75,000 = $231,000.
So $231,000 is the new assessed value of the home.
Assisted living communities usually look more like an upscale apartment complex. Most seniors would get their own unit.
There is also custodial care for individuals with mobility needs or may be living with dementia. Qualified professionals are there to help with daily activities to make them safe and functional.
But with a loved one living in an assisted living community, physical distances can decrease family visits.
As for aging in place in a granny flat, being close to a loved one can be beneficial for safety reasons but also for emotional reasons. Keeping an elderly family member emotionally engaged can increase their quality of life, happiness, and help maintain cognitive function.
Aging in place in a granny flat and independent living are very similar concepts. They both promote independence and maximizing time in personal homes.
A couple of the key differences are the distance to relatives and home modifications. We will go over the costs and care of both and the benefits of the different lifestyles.
Independent living is what it sounds like: living in one’s own home during their senior years. To ensure safety and mobility of the inhabitants of the home, modifications must be made.
These modifications will have to depend on the shape of the house before the renovations. Stand-up bathtubs, stair elevators, and additional railings are all precautions that have to be considered if the decision is made to live in one’s own home.
Since house modifications vary so drastically, it’s hard to estimate the total cost–but keep in mind that mortgage or rental costs will be added on top of house modifications.
For aging in place in a granny flat, we’ve gone over the costs to build and the value it adds but there is also financial value in downsizing. The old house that the elderly family member moves out of can be rented out or sold for income.
An elderly person who is well enough to maintain living in their old home will not have many changes in lifestyle. If they are not healthy enough to be on their own, professional help is available for hire with in-home care.
This can be very helpful because it does allow your family member to stay in their own home, but can be very costly in the long run.
Aging in place in a granny flat has benefits because family members are close in physical and emotional proximity. In addition, downsizing can ease the burden of aging.
A smaller house means less upkeep and fewer possessions to keep track of. Elderly members still have their own space with easier maintenance, while maintaining personal responsibility.
Choosing where to house an elderly family member is no easy decision. There are positives and negatives to all housing options.
When making the decision, the whole family should weigh the importance of each aspect of senior living. That importance along with the needs of the senior should help determine which housing option is right for your family.
Lastly, remember these three things:
With the right amount of time and effort dedicated towards the decision, your family will be able to find the right option for senior living.