What is a DADU: Advantage of Detached Accessory Dwelling Units

What Is a DADU (Detached ADU)?

A DADU, or Detached Accessory Dwelling Unit, is a secondary housing unit that is separate from the primary residence on a property. Often referred to as a backyard cottage or detached unit, these structures are built on the same lot as a single-family home. Unlike an attached accessory dwelling unit (AADU), which is incorporated within or directly connected to the primary residence, a DADU is a separate structure, offering more privacy and flexibility for property owners.

Common Uses for a DADU

1. Rental Income: Many homeowners create accessory dwelling units to generate additional rental income. To rent out a DADU, it must be a legally permitted unit, ensuring compliance with local regulations.
2. House Family Members: DADUs are often used to house elderly parents, adult children, or other family members.
3. Increase Property Value: Building a DADU can significantly boost the overall property value.

What Is the Difference Between Attached ADU and Detached ADU?

Feature	Attached ADU	Detached ADU (DADU)
Structure	Built as part of the existing structure (e.g., basement or garage conversion).	A separate structure on the property.
Privacy	Shared walls with the primary residence.	Fully independent with no shared walls.
Square Footage	Limited by the size of the existing house.	Offers more creative freedom but subject to zoning regulations.
Cost	Generally less expensive to build.	Higher costs due to separate utilities and construction.
Permitting Process	May require fewer steps.	Requires a predictable permitting process and additional planning.

Whether you choose an attached ADU or a detached ADU depends on your goals, budget, and the available space on your property. A property owner may prefer a detached ADU for the independence and creative opportunities it offers.

Benefits of Building a DADU for Rental Income

1. Generate Rental Income: A DADU can serve as a long-term rental or even a short-term rental, offering a steady source of income for property owners.
Many investors are using DSCR loans to finance DADU construction and maximize cash flow.

2. Increased Property Value: Adding a detached accessory dwelling unit can significantly increase property value, making it an attractive investment for real estate owners.

3. Flexible Use: Great for housing family members, creating a home office, or even an independent apartment for guests.
A tiny house can serve as a DADU, providing additional living space while complying with local regulations.

4. Creative Freedom: DADUs offer more design flexibility compared to attached ADUs, allowing you to work with local designers to create a unique space.

5. Adaptability for Future Use: Over time, the DADU can be repurposed for different needs, such as downsizing into the unit while renting out the primary residence.

Design and Construction Considerations

When designing and building a detached accessory dwelling unit, there are several practical aspects to consider. Here are some key factors to keep in mind:

1. Site Plan: A well-thought-out site plan is crucial for ensuring that your DADU is properly located on your property. This plan should account for the primary residence, any existing structures, and the surrounding landscape to optimize space and functionality.
2. Predictable Permitting Process: Navigating the permitting process can be complex, but working with a reputable builder or designer can streamline this step. They can help ensure that all necessary permits are obtained and that your project complies with local regulations.
3. Environmentally Critical Areas: If your property includes environmentally sensitive areas such as wetlands or wildlife habitats, your DADU must be designed to minimize impact. This consideration is essential for protecting local ecosystems and adhering to environmental regulations.
4. Accessory Dwelling Unit Regulations: Understanding local ADU regulations, including zoning laws and owner occupancy requirements, is vital before starting your project. These regulations can affect the design, size, and placement of your DADU.
5. Step-by-Step Guide: Following a step-by-step guide can be incredibly helpful as you navigate the process of creating a DADU. This guide should cover everything from design and permitting to construction and inspection, ensuring you stay on track.
6. Pre-Approved Plans: To simplify the permitting process, consider using pre-approved plans offered by cities like Seattle. These plans can save time and money while ensuring compliance with local regulations.
7. Independent Living Space: Your DADU must include a main living space with a kitchen, bathroom, and sleeping area. This space should be designed to be safe, functional, and comfortable for occupants.
8. Tiny Houses: Tiny houses can serve as DADUs, but they must meet specific requirements for size and placement. Additionally, they must comply with local building codes and regulations to be legally permitted units.
9. Family Members: DADUs provide an excellent solution for housing family members, such as aging parents or adult children. They can be customized to meet the specific needs of your loved ones, offering a separate living space while keeping them close.
10. Additional Space: Beyond family use, DADUs can offer additional living space for renters or guests. They can be tailored to meet the needs of various occupants, such as students or travelers, providing a versatile housing option.

Detached ADU Regulations and Accessory Dwelling Unit Permits in Seattle

Seattle has been at the forefront of ADU construction. Under the leadership of Mayor Jenny Durkan, the city has worked to remove regulatory barriers and encourage the development of accessory dwelling units (ADUs), including detached accessory dwelling units (DADUs).

The new proposal announced by Mayor Bruce Harrell builds on these efforts, further streamlining the permitting process and increasing the production of ADUs in Seattle. The legislation will allow two ADUs per lot and dual detached ADU configurations across all residential zones, providing homeowners with more flexibility to add these secondary dwelling units.

By simplifying the regulations and offering incentives, the city aims to make the construction of ADUs including DADUs, more feasible for homeowners. This aligns with Seattle’s broader goals of increasing housing diversity, affordability, and opportunities for homeownership across the city.

The focus on ADU construction, including DADUs, is a key component of Mayor Harrell’s One Seattle Housing Agenda, which seeks to address the city’s urgent housing needs through a multifaceted approach.

Here’s what you need to know about Seattle’s DADU regulations:

Regulation	Details
Zoning Regulations	Allowed in most single-family zones.
Minimum Lot Size	Property must meet minimum lot size requirements (usually 3,200 square feet).
Maximum Square Footage	DADUs are generally smaller, with a maximum size of 1,000 square feet.
Parking Requirements	No additional parking requirements, making it easier to build.
Height Restrictions	DADUs must comply with height limits, which vary based on location.
Permitting Process	A predictable permitting process is in place, but a site plan and detailed project proposal are required.
Owner Occupancy	Previously required, but now removed to encourage more development.

Seattle also offers resources like ADUniverse features, where property owners can explore design options and better understand the development process.

Financing and Permitting

Financing and permitting are critical components of the DADU construction process. Here are some key factors to consider:

1. Financing Options: There are several financing options available for building a DADU, including construction loans, home equity loans, and personal loans. Research and compare these options to find the best fit for your project and financial situation.
2. Permitting Process: The permitting process for DADUs can be complex and time-consuming. Working with a reputable builder or designer who is familiar with local regulations and permitting requirements can help streamline this process and ensure compliance.
3. Accessory Dwelling Unit Permits: Specific permits are required for constructing a DADU, including construction and zoning permits. These permits must be obtained before construction can begin, so it’s essential to understand the requirements and timelines involved.
4. Backyard Cottage Permits: Also known as DADUs, backyard cottages require specific permits similar to those for ADUs. Ensuring you have the correct permits in place is crucial for a smooth construction process.
5. Create Accessory Dwelling Units: Creating a DADU involves careful planning and design. Collaborate with a reputable builder or designer who understands local regulations and can guide you through the permitting process.
6. Primary Residence: DADUs must be located on the same property as the primary residence. This means the design and construction of the DADU should complement the main living space and adhere to zoning laws.
7. Detached Unit: As a detached unit, a DADU must meet local building codes and regulations. This includes ensuring the structure is safe, functional, and compliant with all relevant standards.
8. Complete Living Facilities: A DADU must include complete living facilities, such as a kitchen, bathroom, and sleeping area. These facilities should be designed to meet local building codes and provide a comfortable living environment.
9. Rental Income: One of the significant benefits of a DADU is the potential for rental income. This can help offset construction costs and provide a steady revenue stream. Be sure to research local rental laws and regulations to maximize this opportunity.
10. Property Value: Adding a DADU can increase your property value, making it a worthwhile investment. Understanding how a DADU can impact your property’s value is essential for making informed decisions about your project.

By considering these factors, you can ensure a smooth and successful DADU construction process, from financing and permitting to design and building.

Step-by-Step Guide to Building a DADU

1. Evaluate Your Property: Check if your land meets the zoning regulations minimum lot size for a DADU.
2. Develop a Site Plan: Work with local designers or architects to create a site plan that outlines the DADU’s location, size, and utilities.
3. Understand Costs: Consider the cost of construction, utilities, and closing costs if using financing options like a DSCR loan
4. Apply for Permits: Submit your site plan and project details through the city’s permitting process
5. Begin Construction: Partner with experienced builders to ensure the DADU complies with all zoning regulations
6. Finalize and Rent: Once completed, market the DADU as a rental or use it to house family members

Why DADUs Are Increasingly Popular

Detached accessory dwelling units have gained traction across the U.S., particularly in urban areas like Seattle, due to their ability to address housing shortages while offering financial benefits to homeowners. The flexibility, privacy, and income-generating potential of DADUs make them an attractive option for many homeowners and real estate investors alike.

Ready to Get Started on Your DADU?

Building a DADU can be a game-changer for your property. Whether you’re looking to increase your property value, generate steady rental income, or expand your investment portfolio, a detached accessory dwelling unit offers unparalleled flexibility.

If you’re a real estate investor or homeowner ready to move forward, DSCR loans can help finance your DADU project. These loans focus on the property’s cash flow, making them ideal for income-generating properties like a DADU.

Contact DSCR Loan Experts today to discuss your options and take the first step toward creating your creating your detached accessory dwelling unit!