Does converting Garage to ADU reduce rent for main house

[Gaurav Mehta]

Hi,

Planning to convert garage for single family into an ADU. Was speaking to a Rental Property Manager and he said that the potential rent of the main house will be $500 lower if I do that.

Has anyone experienced decline in rent on main house after converting garage to ADU?

[Matthew Forrest]

I would say it depends on the house/neighborhood. In a Class A neighborhood where people are looking for properties where they have maximum privacy, maybe that would reduce rents. It's also possible that rents would be lower if parking was tough in the area. However, in areas where people may be more used to a multi-family type living situation and are fine with street parking, I don't think you'll see much if any reduction in rent.

Personally I set up a separate entrance to the property down a side of the main house and made it clear that the properties had dedicated outdoor yard space. I did not have lower rent after my conversion of a "hobby room." I never gave the main house access to the garage.