Wake Forest Housing Affordability Plan - September 2022



Strategy 1: Expand and Preserve Homeownership

Accessory Dwelling Unit (ADU) Demonstration Program

Program Overview The Town can fund and facilitate an Accessory Dwelling Unit (ADU) demonstration program, piloting the construction of secondary units on single-family property lots. ADU demonstration programs are designed to increase the feasibility and likelihood of homeowners creating secondary units on their properties and address current barriers to creation, such as unclear building code requirements, high costs or a complex permitting process. Through the demonstration program, the Town would pilot a program with a small number of homeowners to build a second, affordable home on the same property as a single-family home (Figure 48). With the Town’s oversight, a selection of homeowners would utilize the Town’s ADU resources and rent their second homes at affordable rates. This creates revenue for homeowners, helping them to stay in their homes. How Does it Work? “Soft Cost” Reduction: Housing construction requires an array of design and architectural services (soft costs) for each new building. Wake Forest can reduce the barrier to entry for homeowners to build ADUs by publishing a menu of design concepts compatible with local housing stock, including manufactured and pre-fabricated options. Funding: Wake Forest can create targeted financing programs to reduce development costs for income-qualified homeowners and households with seniors intending to build ADUs. Permitting Process: The Town can simplify the ADU permitting process, thus reducing the barriers to entry for homeowners to follow suit once the demonstration commences.

FIGURE 48: ADU SAMPLE TYPOLOGIES Image: A+ Construction & Remodeling





1. Pilot a program to demonstrate the feasibility of ADUs in Town. 2. Develop a guide for homeowners or a menu of potential building designs to reduce design and architectural “soft costs.” 3. Simplify the permitting process for ADUs to be easier and more intuitive to the average homeowner. 4. Analyze the feasibility of creating a low-cost ADU funding program.


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