Austin’s HOME Initiative Impacts ADU Regulations

 

Our Architects Share What You Need to Know About Austin’s HOME Initiative and How It Affects Accessory Dwelling Units

In February, Austin City Council approved new building codes allowing three housing units to be built on one lot. This is changing the game for multifamily residential units and guest houses in the city. Our Austin architects couldn’t be more excited! For a city that’s on the grow, these regulations will allow for much-needed additional housing and finally give many homeowners the chance to expand their square footage with guest houses. So, what do the new Austin building codes mean for you? Well, if you want to build a guest cottage or an accessory dwelling unit for your home or develop a property with three units, they mean a lot! Let’s take a look at the highlights and some design ideas for your own ADU.

What is an ADU? 

First, what is an ADU? An ADU (short for Accessory Dwelling Unit) is a separate outbuilding on the same property as a single-family home that is smaller in size and regulated by the City of Austin’s Land Development Code. To qualify, it has to include a habitable living space, a full bathroom, and a kitchenette with a sink or dishwasher outside the bathroom. In the past, the City of Austin had strict regulations on ADUs and guest houses on the property, preventing many homeowners from building one on their property. 

What is the Austin HOME Initiative? 

Austin’s Home Options for Middle-income Empowerment or HOME Initiative is a set of amendments to Austin’s Land Development Code (LDC) that regulates buildings in certain areas. Thanks to HOME, many restrictions have been lifted, allowing for more affordable housing and ADUs than ever before. 

Why the Austin HOME Initiative is Good for Homeowners & the Community

Austin is an in-demand city that attracts people from all over the world — as many as 90 new residents move to Austin every day! With limited housing and land, this has driven up the average price of an Austin home to over $500,000. Half a million dollars is out of many buyer’s budgets. But, with the help of the HOME Initiative, more residences can be built at more affordable rates. Now, many single-family homeowners have the option to build a rentable unit on their property, which could be leased to a family member, student, or neighbor. Developers also have the opportunity to build three units to sell or rent on a lot, increasing the amount of available housing in the city.


Overview of the New 2024 Austin ADU Regulations 

Here are some of the biggest changes to the 2024 Austin ADU regulations for SF-1, SF-2, and SF-3 zones. 

  • Required lot size dropped from 5,750 to 2,500 square feet 

  • Up to 3 units allowed on single-family properties 

  • Incentives for preserving existing structures

  • Remove restrictions on the number of unrelated adults living in a housing unit

  • Increases the gross floor area ratio, allowing for more building coverage covered space on a single lot from 40% to 55% for two units to 60% for three units


Benefits of Building an ADU on Your Property 

Thanks to the new regulations, many Austin homeowners have the option to build an accessory dwelling unit for the first time. 


Here are some ADU benefits to consider: 

  • Additional long-term rental income 

  • Short-term rental hosting 

  • Additional living space 

  • Increased property value 

  • Private space for guests 

  • Room for multigenerational family living 

  • Separate work-from-home space 

  • Additional covered outdoor entertaining space


ADU Design Ideas

Our Austin architects love designing functional, cozy spaces – no matter the size! With Austin’s new HOME Initiative regulations in place, we’re busy dreaming up ADU design ideas for our clients. Here are some ADU design ideas to consider. 

Coordinate Styles With the Main Residence 

Even though you’re designing a new space, it’s important to consider the design style of your primary residence. Your ADU should feel cohesive and relate back to the overall style of your single-family home and other units on the property. 

Create Shared Spaces Outdoors

Adding additional outbuildings to your property can feel disjointed if you don’t consider the connections between them. For better indoor-outdoor flow, create a shared outdoor area that connects the ADU to the main home via a communal patio or pathways.  

Build Up to Save Backyard Space

The HOME Initiative allows you to build ADUs on smaller lot sizes, which is great. However, it does mean limited space. If regulations allow, build a two-story ADU to maximize square footage without taking up all of your yard space. Building up can also help ensure you maintain the 45% impervious coverage requirement. 

Add Built-in Storage

ADUs are small by design, but that doesn’t mean you have to sacrifice storage. Invest in custom millwork pieces, such as built-in shelving, Murphy beds, window seats, and custom cabinetry upgrades. Going custom will help you save space and really maximize your ADU. 

Embrace the Cozy Feel 

Rather than trying to make your ADU feel bigger than it really is, our Austin architects encourage you to embrace the cozy feel of a smaller design. Adding cozy elements like a window seat, paneling, and rich colors can create a charming retreat — right in your own backyard! Adding a large sliding glass door or folding door to connect to the outside will also increase the indoor-outdoor flow and natural light.

Remember, Parking is Optional 

The City of Austin has eliminated the old requirement of dedicated parking for a single-family residence. So, no parking areas are required for an ADU or the development of two or three rentable units. Remember, this also means you cannot take the 200-square-foot exemption for a garage in the gross floor area total. However, working with a 45% impervious coverage really helps to develop the three units. Given the increased density of housing units, we believe the city is doing this to encourage more public transportation, biking, and walking — hopefully reducing road traffic. 

Increase Your Outdoor Entertaining Space 

If you love entertaining outdoors, you can design your ADU to double as a poolside cabana. For some of our Austin architecture clients, we designed ADUs with large living spaces that open up to their pool with sliding or folding glass doors. We equip them with a kitchenette for serving snacks and a downstairs bathroom for easy access. This space could have more of a game room feel with a pool table, game table, big TV, large seating areas, and more. Then, the upstairs space can then be reserved for a guest bedroom. 

Building an ADU in Austin 

Whether you want to generate monthly rental income or simply expand your home’s square footage — now is the time! Thanks to the HOME Initiative, building an ADU in Austin is now an option for more people than ever before. Our team of Austin architects is excited to work on future ADU projects and watch our city grow for the better. 

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Note: This blog is intended to provide a brief insight into the new Austin ADU regulations. It is not comprehensive of all city building codes, ordinances, and regulations. Please consult with a licensed architect, builder, or city official before designing or permitting projects. More information can be found at www.austintexas.gov