CHAPTER 9: PRADUS AND ADUS – IDEAL FOR INVESTING
There are no hard and fast rules that say who should live in an affordable property, or why. Consequently, in this book we have looked to mention only the most likely scenarios where ADUs can provide a viable option for many of the residential hurdles encountered in life. To a degree, the adaptability and versatility of steel-frame ADUs make them the Swiss army knife of the domestic construction world. This section of the book will deal with one additional key area where affordable housing can play an important role, and that is as an investment. Investing in an affordable housing unit, an ADU Traditionally, property has always been seen as a solid long-term investment. The trouble today, for many, is that the cost of even the cheapest property puts it out of reach as an investment opportunity. Where steel-frame low-cost housing is concerned, while the cost of construction may be a lot less than traditional construction methods, that doesn’t mean the rental income will also be less than for a traditionally built equivalent. Ordinarily you might look for a 6-9% return on capital invested when setting the rent on a traditional property. If you can charge the same rent for a property that costs less to build, then it makes a steel-frame affordable home an even better prospect. One word perfectly sums up steel-frame homes through FrameUpNow, and that is “versatility.” Beyond the multiple designs we offer, an even greater investment opportunity is available to many homeowners, and that is the PRADU. With an ongoing homelessness crisis in many cities worldwide, there is huge demand for the most elementary forms of accommodation—a bed-sitting room with an integral kitchenette and a separate shower/toilet/bathroom. Whether grouped in pods or as a structure with multiple units, such low-rent affordable homes could not just generate regular income with high demand, but also contribute to a solution for the homeless problem. It should be noted that many homeless people are not unemployed, nor do they have mental health
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