BIGGEST ADU TREND IN 2022 - DADU'S SOLD AS CONDOS

Most existing lots with a DADU are too small to be sub-divided under Seattle's land-use code.  However, while the city of Seattle may restrict ownership of that lot to one entity if that entity is a condo association, the DADU and the primary residence can be owned separately and sold separately.  It is in the words of one developer a "game changer" in residential development allowing up to three separate units on a single family zoned lot.   

Attorney Terrance Wilson and UW Real Estate instructor Jeff McCann discuss the topic of Accessory Dwelling Units (ADUs & DADUs) in the latest episode of Real Leaders in Real Estate.  With his wealth of knowledge of the City's code, Terrance describes how the condo process can be overlaied, and an owner (or investor) can tap into this opportunity to sell off parts of their property to increase equity or profits. 

 How to sell a DADU as a condo.

https://youtu.be/5TXLk13thW4 .


DADU Workshop - March 10th

Thinking about the long-term use of a home and designing for flexibility is an important part of preparing for an uncertain future. DADUs allow people more flexibility to accommodate a growing family, changing work requirements, and to provide supplemental rental income. DADUs also provide valuable small housing stock in desirable neighborhoods.

Do you want to learn more about DADUs and meet others (virtually) thinking about building a DADU? Join Bruce Parker from Microhouse and Stefan Hansmire from Hansmire Builders to learn about what is possible in this unique webinar sponsored by the Phinney Neighborhood Center. In this workshop we will answer questions for people planning to build a backyard cottage, including explanations of what is possible given the new zoning rules. We will also discuss budget ranges for recently completed DADUs and financing options along with case studies.

RSVP to hold your place.

Date: Wednesday, March 10th

Time: 7:00 pm

Cost: Suggested Donation

Location: Online

BALLARD DADU ON HOUZZ

THIS BALLARD DADU WAS #2 ON THE LIST OF MOST POPULAR HOUZZ TOURS OF 2020

DADU’s are trending in 2020

DADU’s are trending in 2020

We will write more about trends for 2020 and our projections for 2021. It will not be a surprise to know that DADUs are more popular than ever. More people are building DADUs to house a family member, to add space to their family compounds, and as rentals.

To read the story

More photos

DADU workshop today - November 19th

Wondering can I build a DADU on my property? Join Bruce Parker founder of microhouse and Stefan Hansmire of Hansmire Builders to learn what is possible and how to establish a realistic budget for your DADU. We will cover the basics of the Seattle land use code as it pertains to DADUs and have time at the end to answer questions about how they might apply to your specific project.

Time: Thursday 11/19 at 7:00 pm
Location: Online
Suggested donation $20 PNA members, $30 general public.
All proceeds support the Phinney Neighborhood Association

Register

SEATTLE DADU WORKSHOP THURSDAY, NOVEMBER 19TH, 7:00 PM

eastlake 3sm.jpg

backyard cottages for fun and profit

DADU’s can be used for many things, including housing a family member, a short term rental, a home office, or all of these things at different times. Join Bruce Parker from Microhouse and Stefan Hansmire from Hansmire Builders to learn about what is possible and how to budget for a DADU.

Time: Thursday 11/19 at 7:00 pm
Location: Online
Suggested donation $20 PNA members, $30 general public.
All proceeds support the Phinney Neighborhood Association

Register

Understanding Seattle's Proposed Land-Use Code Changes

City council has proposed significant changes to the Seattle Land-Use Code with the aim of increasing the construction of backyard cottages (DADUs) and attached accessory dwelling units (ADUs). These changes, in the making for years now, have been delayed by a lawsuit and appeal brought about under SEPA regulations. Seattle City Council held a public hearing to discuss the proposed code changes Tuesday, June 11th at 5:30pm in council chambers. Discussion and possible vote on amendments and the proposed legislation will be held on June 28th at 2:00pm.

What do these changes really mean for Seattle and for ADUs?

The proposed code changes include many items that are minor and could have been completed years ago. These include modest increases in size and height of allowed cottages, details about dormers, and the location of entries. The more significant changes proposed are as follows:

  • Allowing two ADUs on one lot

  • Removing the off-street parking requirement

  • Removing the owner-occupancy requirement

  • Increasing the household size limit for a lot with two ADUs

  • Establishing a new limit on the maximum size of single-family dwellings equal to one half of the lot size (FAR = 0.5)

This DADU was built for a grandparent in the Bryant neighborhood

This DADU was built for a grandparent in the Bryant neighborhood

Owner Occupancy

Of these we believe the owner-occupancy requirement is most important. Currently the owner is required to live on the property for a minimum of six months of the year.

The impact to removing the occupancy requirement is unknown. The environmental impact statement (EIS) prepared as part of the lawsuit doesn't appear to adequately predict the impact from removing this requirement. Detractors believe that it will lead to the destruction of large numbers of existing homes and their replacement with duplexes and triplexes. They also note an increasing trend to sell ADUs and their primary residence separately using a condominium or land-lease agreement.

Our Recommendations:

  • The original proposal to sunset owner occupancy after a period of time (3 years) is good and should minimize the destruction of naturally occurring affordable housing by speculative developers.

  • Owner occupancy should be required for all properties used as short-term rentals.  

  • SDCI should closely monitor ADU construction and report annually to City Council.

The builder plans to maintain ownership of this DADU and sell the primary residence using a condominium agreement

The builder plans to maintain ownership of this DADU and sell the primary residence using a condominium agreement

Floor Area Ratio Limits

The EIS finds that the most significant way to reduce tear-downs (i.e the removal of naturally occurring affordable housing) will occur by introducing a floor area ratio (FAR) limit. Currently the size of new houses is limited by setbacks and height limits. The trend in new construction is for very large houses (with correspondingly large price tags), which are typically beyond the means of median income earners. The FAR limit would reduce the size of what can be built but exclude ADUs and DADUs from the restriction. The goal being to prevent tear-downs and to encourage rather the construction of ADUs and DADUs.

Our Recommendations:

  • Approve a FAR limit of 0.5 for new construction.

  • Exemption of ADUs and DADUs from the FAR limit.

The City Council held a public hearing to discuss these proposed changes on Tuesday, June 11th at 5:30pm in council chambers. Discussion and potential vote on the amendments and proposed legislation will be held on June 28th at 2:00pm.

We encourage you to voice your opinion with your council members and look forward to moving ahead with sensible legislation.