Investing in an ADU Traditionally, property has always been seen as a good long-term investment. The trouble is, for many today, cost puts even the least expensive property out of reach where investing is concerned. When it comes to steel-frame low-cost housing, the cost of construction may be lower than traditional methods, but that doesn’t mean the rental income will also be less. 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 a steel-frame affordable home is an even better investment. One word perfectly sums up steel-frame homes purchased through FrameUpNow, and that is “versatility.” Beyond the twenty-five designs we offer, homebuilders still have the option to create purpose-built ADUs to meet local market demand. With a homelessness crisis in many cities worldwide, there is huge demand for the most elementary forms of accommodation—such as a bed-sitting room with an integrated kitchenette and a separate shower/toilet/bathroom. Whether as individual “pods” or structures with multiple units, an investment in low- rent affordable homes could not only generate regular income with high demand, but also contribute to a solution for the homeless. It should be noted that many unhoused people are not unemployed, nor do they have mental health problems; they simply live in places where rents have skyrocketed and they are unable to afford even a one-bedroom flat or a room to rent in an HMO (house of multiple occupancy). Beyond being able to build properties designed to meet the demands of a local rental market, there is another big plus when it comes to building and renting out an ADU—brand-new properties require next to no maintenance. In other words, you won’t be spending half your rental income fixing things!
28
Made with FlippingBook Online newsletter maker