ADUs Vs. Tiny Homes – What’s the Scoop?
Tiny homes became the rave many years ago when HGTV hit us with the amazing tiny house shows that had us spellbound as we envisioned our lives in a tiny space. We began imagining what life could be like without “stuff.” We began taking account of what was important in our lives and taking a moment to reexamine our purpose. Let’s face it. We all want a life that is simple, peaceful and purposeful. With that said, many people became enamored with tiny homes. And, I was one of them. But ADUs vs. Tiny Homes – What’s the Scoop?
Although many people have jumped on board the “tiny living lifestyle” bandwagon, the legal folks of the world and the policy makers have not yet completely caught up. This has caused a lot of confusion and frustration for those individuals wanting to live out their “tiny” dream. Because tiny homes are small, the world was not ready with a plan to regulate them. There were more questions than answers, and truthfully there still is.
Let’s look at this a bit more deeply.
Tiny homes are generally rather small. Anywhere from 200-400 square feet on average. They can either be on a foundation (Tiny House on a Foundation – THOF) or it can be on wheels (Tiny House on Wheels – THOW). Cities seem to feel more comfortable with THOF because it is stationary and built according to building codes. The same is true for a house. When speaking of a THOW, your best bet is to ensure it has been certified by a third-party agency like ICC, NTA or RADCO, which is a commercial member of Tiny House Alliance USA. Some counties and cities allow the National Organization of Alternative Housing (NOAH) to certify tiny homes.
Also, most cities want tiny homes to be hooked up to city utilities. Furthermore, they want to the THOW to have the appearance of something stationary, so the wheels must be covered.
Although it’s less expensive to build a THOW than an ADU, you may have more issues with zoning and building requirements until all the players get on board. However, if you are looking to build your tiny house and then move it to another location that is more accepting of the tiny house community, then a THOW is definitely your better choice.
Where do ADUs come into the picture?
ADUs have actually been around a long time. We now just have a more politically acceptable word to categorize them. You’ve probably heard them referred to as she sheds, granny flats, backyard cottages, studios, etc., but in all reality, they are one in the same.
Even a tiny house can be considered an ADU if it’s on a foundation.
An ADU can be attached to a primary residence or detached, and it can be hooked in to the utilities of the primary residence.
It’s perfect for an aging family member wanting to stay near loved ones. It can be used as a rental. And, it’s a great opportunity for an older child to have a place of their own while still having some adult supervision.
An ADU is permitted through the local city and must meet building codes. They must also have a separate entrance, a kitchen or kitchenette, bathroom, bedroom and living space. In California, which is the leading state for ADUs and tiny homes, JADUs (Junior ADUs) no bigger than 500 square feet in size are allowed within existing houses or attached to an ADU. And, you can have two JADUs to your one ADU. This is a game changer for homeowners with large properties and those wanting to venture into the rental market.
An added benefit to an ADU is that funding that is generally more easily attainable to complete the build. And, there is even talk of federal grants that will help with the process. You can check with your local city and state level for more information.
So, where do we go from here?
What is the best choice?
In time, the legalities of tiny homes will get ironed out. And, more people will be building them.
A CNBC real estate article published in August 2021 shows that the demand for tiny homes, in general, has risen significantly since COVID-19.
And a recent market research report from Technavio shows that the tiny house market has the potential to grow by $3.33 billion from 2021 to 2025. The primary reason for this is the affordability.
Tiny homes aren’t going anywhere, nor are ADUs.
If you’re looking for something more affordable, a tiny house is going to be your better option. But before you start, look into the building codes and regulations in your city.
If you’re looking for something that is more easily accepted by the legal world, and is something that can be more easily funded, then the ADU is the way to go. An ADU can also increase the value of your home, which something else to consider.
As you can see, there is no easy answer to which is a better choice, but over time, the legal world will catch up with the desires of the people. In the meantime, do your due diligence in making a decision that is best for you and enjoy the journey.
Let me know your thoughts and what you’re looking to build.
Happy building!