Keeping Family Close: Increasing Number of ADUs Largely Housing Parents of the Owner

Does it have a backyard cottage? This is a question that more and more real estate agents are seeing come up across the country, as buyers are seeking their next dream home. It’s in part because of safety concerns about nursing homes, adult children who are moving home because of finances, and maybe even homeowners who want a second income source. For all of these reasons, Covid-19 has led to a trend across much of the country where people want that second mini house. In fact, according to data from the National Association of Realtors, this category of housing rose to 15 percent of total purchases across the country.  


In Michigan, the surge in Accessory Dwelling Units (ADUs) looks like backyard cottages, attic apartments, or garage additions that create a separate unit with all of the amenities. Moreover, in a recent survey from the real estate experts at HomeLight, more than a third of agents across the country saw an increased demand for ADUs in their markets.  


Why do I need an extra unit?

While giving aging parents a place to call home is the most common use for these additions (as 61% of agents reported across the country), ADUs aren’t just for grandparents. Did someone say a home office or home gym? Maybe that ADU is for adult children who need temporary housing for financial reasons (35%). Another popular option is for short-term renters with 32% of agents citing this trend. Moreover, a guest house (43%) and yes, that home office (41%), or home gym (16%), might make it worth the upgrade. 


Thinking beyond the backyard cottage

Even homes without expansive properties are getting ADUs. Over a third of agents said the most common type of ADU in their markets is a detached structure — like that backyard cottage. However, 24% said an attached structure or interior conversion (20%), or garage conversion (16%) were being used. In the Midwest, interior conversions and attached ADUs are the most popular, with 27% and 25% of agents citing them as the hottest in their markets. 

Does an ADU really add value?

The most obvious answer is yes, an ADU will add value as the demand for them continues. In fact, this is even more true in the Midwest as the value of ADUs here has increased by 54% since 2020 as compared to 38% nationally. If you are selling a home with an ADU in the Midwest, you could get more for your home than a comparable one without this feature. 


If you are a buyer who is looking for a home with an ADU, you are not alone, and the good news is that there are now more properties with this amenity, especially in the Midwest. If you are thinking about adding an ADU — whether it’s a cottage, garage addition, or an add-on within your home — there are some compelling reasons why this could be an investment worth going for. The flexibility of an ADU is that you can use it for whatever purpose serves you and your family best, and that reason might change over time. The bottom line is, when it’s time to sell, an ADU can put your home at an advantage.

2 Story For Sale in Park Township, Holland

Lake Macatawa Access

•  1826 sqft , 2 bath , 3 bdrm 2 story FOR SALE  USD469,000 .
MLS® 21109238

Beautifully updated home with deeded Lake Macatawa access in the highly desirable Chippewa neighborhood. Enjoy the charm this 3 Bedroom/2 bath home features with large deck and Patio to soak in the summer fun. The kitchen has granite counter tops with snack bar and eating area featuring views of Lake Macatawa.You will love the neighborhood & home, this is the perfect place to make memories as a vacation cottage or year around home. Location close to Holland State Park, General Store, restaurants, Mt. Pisgah, bike paths, parks for hiking, marinas and boat launch. Exceptional rental income& VRBO History and is being sold turnkey.

Property information

Ranch For Sale in Park Township, Holland

Photo Link
Waterfront near Lake Michigan

•  2345 sqft , 2 bath , 1 half bath , 4 bdrm ranch FOR SALE  USD499,900 .
MLS® 21108505

Waterfront near Lake Michigan-this is a 16-acre spring-fed lake -fabulous for paddle boarding, swimming and fishing!! Enjoy the absolutely gorgeous southern exposure views of the lake from every window. This lovey Silver Ridge home is located in award winning West Ottawa/ Waukazoo school district and is in Park Township-with access to Lake Michigan parks and loads of hiking and biking trails. The home features newer hardwood floors and stunning four-season sunroom with radiant floor heat – all freshly painted, the kitchen boasts Kitchenaid stainless appliances, granite tops & a snack bar. The main-floor master suite features beautiful views of the lake. The lower level is spacious and has 2 additional large bedrooms, family room with a slider to the patio. The landscaping and yard are stunning! This home has amazing curb appeal and includes a paddleboat!

Property information

16073 Lake Point Drive in Spring Lake Township, Spring Lake is Sold!

Photo Link

The bi-level at 16073 Lake Point Drive has been sold.

Property information

2 Story For Sale in Park Township, Holland

Photo Link
Lake Macatawa Private Frontage

•  7817 sqft , 4 bath , 1 half bath , 4 bdrm 2 story FOR SALE  USD2,500,000 .
MLS® 21106844

Lake Macatawa is the setting for this incredible waterfront home with 110′ of private frontage, open spaces and gorgeous lake views. The home has been recently remodeled from top to bottom, with luxury finishes and amenities. Modern and sleek, you’ll find yourself right at home and enjoying the good life while taking in the sites only Pine Creek Bay and Lake Macatawa can provide. The home features a modern kitchen with newer appliance, including a six burner Wolf range, double ovens, and quartz counters. Every floor has a laundry, including the spacious second floor bedroom, with its own entrance and fireplace. The walkout lower level provides a fourth bedroom, sauna, fireplace, and more gorgeous lake views. The primary suite has been completely reworked with stunning modern tile work.
You will never run out of room for your cars and toys in the 4 stall heated garage with epoxy floor. Newly rebuilt dock and protective seawall round out this Lake Macatawa property, ideal for a year round home or as a private vacation home.

Property information

Single Story For Sale in Ganges Township, Glenn

Photo Link
On The Bank Of Glenn Creek

•  2639 sqft , 3 bath , 3 bdrm single story FOR SALE  USD1,295,000 .
MLS® 21105600

Built in 1952 with a vision as The House of the Future, and perfectly positioned on the high bank of Glenn Creek, which bends and flows thru the property. Conveniently located in the charming Village of Glenn, and less than 10 minutes between Saugatuck and South Haven, the almost 6 acre park-like setting is also home to deer, fox, turkey, spawning salmon and trout, blue heron and more. Lake Michigan access and 1600 feet of beach is at the end of the street. More than a half century after the home was built, it was re-envisioned and completely rebuilt from the studs up, including all new mechanicals, electrical, plumbing, commercial windows, insulation, drywall, cement board siding, heavy gauge standing seam roof, all new interior surfaces, plus the addition of a new 3 stall garage and outdoor fireplace pavilion. 3 bedrooms and 3 baths. The new 3 stall garage roof is constructed of steel girders to support a future expansion if desired. Much furniture and artwork available separately.

Property information

Ranch For Sale in West Ottawa, Holland

Photo Link
One Of The Most Desirable Areas In Holland

•  2236 sqft , 1 bath , 1 half bath , 2 bdrm ranch FOR SALE  USD459,900 .
MLS® 21105232

This truly is a rare find just off South Shore Drive, in one of the most desirable areas in Holland. This gorgeous 2 bedroom ranch home features over 2200 square feet of living space. The open concept kitchen features quartz counters and Bosch appliances; the dining area and family room have a beautiful brick fireplace, hardwood floors and amazing built-ins. There is a 3 season room off the dining area and that will quickly become one of your favorite spots. The master bedroom has loads of closet space and the full bath has been updated the with an awesome walk-in tile shower. Lots of possibilities with the full basement! There is already a large finished flexible room and loads of storage space.
Outside features a Beautiful new back patio, a hard to find- 26 X 42 heated pole barn with a paved drive and spectacular landscaping. This home has received a Pearl Certificate for being energy efficiency!

Property information

570 Shorewood Drive in Saugatuck, Saugatuck is Sold!

Photo Link

The 2 story at 570 Shorewood Drive has been sold.

Property information

Bi-Level For Sale in Spring Lake Township, Spring Lake

Photo Link
Spring Lake Waterfront

•  3790 sqft , 2 bath , 4 bdrm bi-level FOR SALE  USD1,250,000 .
MLS® 21100386

Spring Lake Waterfront home with the most amazing views and 295′ of private lake frontage. Placed on a point, the property invites the scenery in through the large windows and sliding doors that lead to the two levels of incredible outdoor space. A portion of the property offers a protected inlet which would make an ideal spot to dock a boat. The home is truly one-of-a-kind and must be seen to truly appreciate. Punctuated with clean lines and modern architecture, the designer in us all can’t help but notice the open livability with endless possibilities. You will not want to miss this once in a lifetime show stopper, so book your private showing now and welcome yourself to the Good Life! Seller is a licensed real estate broker in the state of Michigan

Property information

West Michigan Real Estate Statistics through 7/31/2021

As our hot market continues to cook through the summer, let’s take a look at the real estate statistics over the past 12 months.

West Michigan Real Estate

West Michigan Real Estate Average Sales Price
Click on the images for an interactive graph

As we all have all heard in the news, prices of homes have been on the increase over the past year, and West Michigan is no exception.  Take a look at the graph above to see just how much on average things have changed for the good for homeowners.

A lot has been made of the real estate market these days, and why not?  Americans are seeing their net worth increase dramatically if you’re a homeowner, as demand for stability and private space has become a priority, and record low interest rates make real estate a very attractive investment.  And looking at the numbers, it’s pretty hard to argue that fact. 

Southwestern Michigan, which comprises areas such as South Haven, St Joseph, and New Buffalo have seen a 27.3 % increase since January 2020 in average home prices, which equates to $70,000 equity for those that bought before 2020.  This market is an attractive getaway for people from Chicago, only a short drive of less than an hour on average.

Holland and Saugatuck, which make up one market for our statistics purpose has also seen very solid gains in average sale price, up an average of $72,000 in the same time period, or 25.1%.  Many people are finding a quieter and slower pace of life is exactly what they want, and Holland and Saugatuck offer that, plus many fine amenities and an active art scene.  The lakes aren’t so bad either.

North Ottawa County is the region that comprises Grand Haven, Spring Lake to name a couple, and is also a hotbed for those seeking water and a quiet peaceful locale.  The area seems to have found its stride amongst the other lakeshore communities, which makes sense considering all it has to offer.  Prices are up almost 17% since January of 2020 in this area, so there are still some values to be found.

All in all, it looks like we will be seeing a steady increase for the foreseeable future along the west coast. If you are curious of the increase in your particular home, please feel free to contact us.