Blog > Accessory Dwelling Units: Denver’s Hottest Home Trend Explained
Accessory Dwelling Units (ADUs) have been gaining popularity in Denver as homeowners look for creative ways to maximize their property’s potential. Whether you’re thinking about adding a rental unit, creating a space for family, or boosting your home’s value, an ADU could be a great option. But don’t hire a contractor just yet – read this article first!

What is an ADU?
An Accessory Dwelling Unit, or ADU, is a secondary housing unit on a single-family residential lot. ADUs can be attached to the main home, built over a garage, or stand alone in the backyard. These units have their own kitchen, bathroom, and living space, making them a fully functional home with a smaller footprint. You can’t usually sell an ADU as an individual property, but that doesn’t mean there’s no good reason to have one!
Why Consider an ADU?
- Extra Rental Income – ADUs can provide a great source of passive income, helping homeowners offset mortgage payments or generate extra cash flow.
- Multigenerational Living – More families are using ADUs to house aging parents, adult children, or extended family while maintaining privacy.
- Increasing Property Value – A well-designed ADU can boost the overall value of your property, making it a smart long-term investment.
- Sustainable and Efficient Living – ADUs promote efficient land use and can be built with energy-saving designs, reducing environmental impact.
If you or someone you know is interested in how an ADU might impact your home’s value or potential resale, the Art of Home team can help analyze market trends and property comparisons. Contact us for a personalized consultation, and visit our Facebook page where we highlight some Denver ADUs like the one below!

ADU Regulations in Denver
Denver has been actively working to make ADUs more accessible for homeowners. However, there are important zoning and permitting rules to be aware of:
- Zoning Laws – Not all Denver neighborhoods allow ADUs. Check the Denver Zoning Code to see if your property qualifies.
- Size and Height Restrictions – ADUs have specific size limitations based on lot size, typically ranging from 650 to 1,000 square feet.
- Owner Occupancy Requirements – Some areas require the primary homeowner to live on the property if renting out the ADU.
- Permitting Process – Before starting construction, you’ll need city permits and inspections to ensure compliance with local building codes.
Navigating zoning and permitting can be complex, but our real estate experts are well-versed in Denver’s ADU requirements. We are happy to help you identify ADU-friendly properties and guide you through the process—reach out to us today for expert advice.

Fun Facts About ADUs in Denver
- Did you know Denver’s ADU initiative is part of the city’s plan to address housing affordability?
- ADUs are sometimes called “granny flats” or “casitas,” reflecting their versatility.
- Denver’s mild climate makes it a great place for year-round ADU living!
Interested in having your own ADU?
- Research: Check Denver’s zoning laws and ADU guidelines. We can help!
- Budget: Get quotes from contractors and explore financing options.
- Design: Work with an architect or designer to create a functional and stylish space.
- Permits: Submit your plans to the city for approval.
Whether you’re looking to add value to your property, create a new income stream, or simply expand your living space, ADUs are a fantastic option for Denver homeowners. If you’re curious about how an ADU could work for your property, reach out to our team—we’d love to help you explore the possibilities!