Say it with me: ADUs drive housing prices UP not down

[Anonymous]

We live in a starter home with a decent sized yard. We could easily fit an ADU and we could pay for it by borrowing against the appreciation in the value of our home. And that would increase the value of our home overnight by probably 30 percent.

How exactly does that help affordable housing? How does that help someone trying to save up to buy their first home, a starter home like ours? All it does it drive the price of our starter home beyond the budget of anyone who would be in the market for a starter home.

I can't tell if the D.C. government is cynical or just stupid in how they portray policies that are designed to enrich developers and people who already own homes as somehow helping everyone else.

[Anonymous]

Because now I can rent that ADU instead of having to live way far out. Unless you think ADU rent will be the same as a similar unit not in someone's back yard.

[Anonymous]

Anonymous wrote:Because now I can rent that ADU instead of having to live way far out. Unless you think ADU rent will be the same as a similar unit not in someone's back yard.

So you want to trade a minor reduction rental costs for a huge increase in the cost of buying a home? No thanks. All that is doing is increasing inequality. The way most people build wealth is by owning a home and this will make home ownership even harder.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Because now I can rent that ADU instead of having to live way far out. Unless you think ADU rent will be the same as a similar unit not in someone's back yard.

So you want to trade a minor reduction rental costs for a huge increase in the cost of buying a home? No thanks. All that is doing is increasing inequality. The way most people build wealth is by owning a home and this will make home ownership even harder.

Ummm the rent from the ADU increases the ability of the homeowner to cover the mortgage and by doing so makes the house more affordable - do you really not understand that?

But most importantly it increases the housing supply which is good for people who need housing. Which happens to be everyone.

[Anonymous]

Agree with poster saying it increases housing supply and density. Yes that propery is more expensive, but it also brings in income so what’s the problem?

[Anonymous]

Wait...you mean you're trying to drive housing prices down?

And if owning a house is the way "most people build wealth," then why would it be a good idea to drive housing prices down? Those people with houses wouldn't be very successful at building wealth with underwater mortgages.

[Anonymous]

Anonymous wrote:Wait...you mean you're trying to drive housing prices down?

And if owning a house is the way "most people build wealth," then why would it be a good idea to drive housing prices down? Those people with houses wouldn't be very successful at building wealth with underwater mortgages.

This is the problem with most approaches to affordable housing. Nobody really wants to drive housing prices down.

[Anonymous]

What is an ADU? Where do you live that this is legal?

[Anonymous]

Because even with that increase in value, the house is more affordable because it's bringing in income. And the ADU itself is affordable.

[Anonymous]

Anonymous wrote:Because even with that increase in value, the house is more affordable because it's bringing in income. And the ADU itself is affordable.

Nothing should be made better because some people might not be able to afford it. We need to suppress value in all forms. Whether it’s housing prices, or kids taking ap classes. We need to engineer specific outcomes rather than let the market work the way it should or let organic scholastic excellence prevail.

[Anonymous]

Anonymous wrote:Because even with that increase in value, the house is more affordable because it's bringing in income. And the ADU itself is affordable.

Exactly. I think the OP doesn’t really understand the point of providing more affordable housing.

[Anonymous]

I would think the impact of ADUs on housing costs would be pretty marginal because they're such a small scale patchwork solution, but they could be useful by increasing housing availability in central areas. Plus the practical implications! I wish I had the space and money for one for family. (Thinking of the person who told me I could save money on childcare if I just moved my mom into my carriage house. Uh huh....)

[Anonymous]

Anonymous wrote:

Anonymous wrote:Because even with that increase in value, the house is more affordable because it's bringing in income. And the ADU itself is affordable.

Nothing should be made better because some people might not be able to afford it. We need to suppress value in all forms. Whether it’s housing prices, or kids taking ap classes. We need to engineer specific outcomes rather than let the market work the way it should or let organic scholastic excellence prevail.

No one is forcing you to have an ADU. It's an option so that if it allows someone else to live in the neighborhood, they can.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Because now I can rent that ADU instead of having to live way far out. Unless you think ADU rent will be the same as a similar unit not in someone's back yard.

So you want to trade a minor reduction rental costs for a huge increase in the cost of buying a home? No thanks. All that is doing is increasing inequality. The way most people build wealth is by owning a home and this will make home ownership even harder.

Ummm the rent from the ADU increases the ability of the homeowner to cover the mortgage and by doing so makes the house more affordable - do you really not understand that?

But most importantly it increases the housing supply which is good for people who need housing. Which happens to be everyone.

Yes, it does both of these things. What a weird complaint OP!

[Anonymous]

Anonymous wrote:We live in a starter home with a decent sized yard. We could easily fit an ADU and we could pay for it by borrowing against the appreciation in the value of our home. And that would increase the value of our home overnight by probably 30 percent.

How exactly does that help affordable housing? How does that help someone trying to save up to buy their first home, a starter home like ours? All it does it drive the price of our starter home beyond the budget of anyone who would be in the market for a starter home.

I can't tell if the D.C. government is cynical or just stupid in how they portray policies that are designed to enrich developers and people who already own homes as somehow helping everyone else.

1) the income it provides to you helps make your house more affordable
2) the rental unit provides a lower cost option to another person or family