Rentals

Seattle Homes and Accessory MIL Apartments

Accessory units seem to be the theme of the week. I have buyers looking for them, looking at them, and figuring out how to create them. Also, more of my recent listings have had them.

As I show homes, more and more homes seem to have these extra separate living spaces.  Usually it is a finished basement that features a separate kitchen, bathroom, and entrance. Homes with basements seem to lend themselves very well to creating accessory units, although sometimes I see them as an addition onto a main level, or sometimes in a separate building in the lot, often a converted garage structure. (not all cities approve of converting garages to living space, check with your local building dept.)

Many of these units are built for extended family living, older parents come back home, or sometimes children, sometimes with families, moving back home. The separate living quarters allow extended families to live close, but keep some parts of their lives separate. For some people, when children grow up and move way, it is a way for the parents to remain in the home and resist the downsize move. Some rent to college students to keep youthful energy around the house.

Another reason so many have been built is to generate income in a house that is too big, or to pay a mortgage that has become otherwise unaffordable.  Later in life, having an extra unit in the house can allow homeowners to live independently for longer by utilizing the apartment for caregivers to live in.

Many apartments in homes are built illegally, in other words permits have not been taken out build them. I think its always a good idea to take out a permit to make sure the work is done safely and correctly, especially the electrical and plumbing.  As a Realtor,  I can say that homes with unpermitted work can be more difficult to resell at times. Most towns and cities allow accessory units either in or attached to an existing structure. Recently, the City of Seattle has been working on a project to allow more back yard accessory  units in the name of increasing density and affordability. Here is more info.

Here is a link to a nice USA TODAY Story on backyard cottages.

Downsize to Investment Property

Here’s one case where downsizing can mean buying a bigger property!

As I mentioned in 10 Ways to Downsize, owning and living in a small investment property is a strategy for combining a smaller living space, and an investment that kicks off a good rate of return, plus annual depreciation to keep your accountant happy! It also involves a much more stable and tangible asset thats under your control, unlike those foreign energy stocks you may be considering.

I just noticed a bunch of new small apartment building listings in fantastic locations come on the market today at some very good prices. Yes, Duplexes, triplexes and more-plexes are on sale too these days. Even more so, because they are much harder to finance than single family homes in the present market. This alone should lead to some instant equity when things get straightened out.

For more info on these properties contact me here or at 206-713-2921. I can send you info about the properties, and show you how to work with the financial data.