Will adding Mother-in-law suite retain value

[Brad Tracy]

I am in a position where adding a mother-in-law suite to my primary residence in the Pickerington area seems very likely. I have attempted to find comps in the area and have not found any, I am wondering if that's because it's a bad idea. If there is anyone with experience in the area with any input for me on how an ADU will affect the property's value and ability to sell that be appreciated! Thanks!

[Dan H.]

Quote from @Brad Tracy:

I am in a position where adding a mother-in-law suite to my primary residence in the Pickerington area seems very likely. I have attempted to find comps in the area and have not found any, I am wondering if that's because it's a bad idea. If there is anyone with experience in the area with any input for me on how an ADU will affect the property's value and ability to sell that be appreciated! Thanks!

My market is southern Ca which is very different than Columbus but I suspect is similar behavior on adding an ADU.

An ADU addition in a SFH zoned area in my market adds significantly less value than the hands of cost of adding the ADU. There are various reasons. Some include 1) there are many more owner occupied home buyers than investor RE purchasers 2) adding small units in small counts is the most expensive development 3) it detracts something from the primary even if it is just yard.

Assuming your market is similar, I would add an ADU not primarily as an investment. If you have elderly parents and want them close to you but having their own space. Similar for adult children still finding their way. These are great reasons to add an ADU even if it is not a great investment.

Good luck