Nilson Homes and Accessory Dwelling Units in Northern Utah
Nilson Homes offers new construction homes in northern Utah that include accessory dwelling units (ADUs) — a separate residential living space located on the same lot as the primary single-family home. An ADU can be attached to the main residence or fully detached, and it is defined by having its own kitchen and full bathroom, making it a self-contained secondary home on the property.
ADUs can take a variety of forms, from converted basement apartments to free-standing backyard cottages. Nilson Homes builds move-in ready homes that already include an ADU, giving buyers immediate access to the benefits these units provide.
Financial Benefits of Buying a Home with an ADU
One practical advantage of purchasing a home with an ADU through Nilson Homes is the potential impact on mortgage qualification. When an ADU is rented out — for example, at around $2,200 per month — that rental income can factor into a buyer's mortgage qualification, potentially increasing their borrowing capacity by $150,000 to $200,000, depending on credit. This can make the difference between qualifying for a townhome versus a larger single-family home with room to grow.
For real estate investors and homeowners in northern Utah, an ADU offers a way to generate additional cash flow while building property equity. Given Utah's rising housing demand, having a rentable unit on the same property can help offset mortgage costs over time.
Who Benefits from an ADU Home
Nilson Homes' ADU properties appeal to a range of buyers, including:
- Multi-generational families who want to house elderly parents, adult children, or extended relatives while maintaining privacy and independence for all residents.
- Remote workers who can use the ADU as a dedicated home office separate from the main living space.
- Homeowners planning ahead who may eventually downsize into the ADU while renting out the primary home for additional income.
- Short-term rental investors looking for flexible, adaptable space that can serve as a guesthouse or rental unit.
Anyone who meets standard financing qualifications can purchase a home with an ADU. In northern Utah, local zoning laws in many cities permit ADUs within single-family residential zones, partly in response to ongoing housing shortages. Nilson Homes builds in areas where these units are supported by local regulations, making the process more straightforward for buyers.
Purchasing a move-in ready home with an ADU from Nilson Homes can be a practical decision for buyers looking to balance financial stability, housing flexibility, and long-term property value in a growing Utah market.