10 Great Reasons to Include a Rental Suite or In-Law Suite In Your Home
A Suite Within Your Home Can Be a Sound Investment
More and more, we’re seeing a steady rise in rental and in-law suites being designed into homes. Particularly after the past two years spent in a global pandemic, families are starting to realize what’s truly important, and want to be closer together. Now that things are starting to settle, in-law suites are the perfect way to make this happen.
Rental suites have also become a popular option as housing costs continue to rise, and young homeowners need help to pay the mortgage.
Maybe you can relate to these scenarios, but you aren’t quite sure if the investment or stress is worth it. It’s a big step to add a suite to your home, whether it's already built or in the works. It’s also a big step to become a landlord.
Having a separate rental unit in your home can have many advantages. In this post, we’ll give you ten good reasons why you should consider adding a suite to your custom home build.
1. You Can Pay Off Your Mortgage Sooner
This is one of the top reasons why many homeowners decide to go down this route. An income suite will provide you with a better chance of paying off your mortgage in a much faster timeframe. Use the extra income to fast-track your mortgage and add some extra money to your monthly payments each month.
2. Your Resale Value Will Increase
The fact that there’s an existing income suite in your home will boost your resale valuations. Renovating and adding in an additional living space, additional bedrooms, bathrooms and common areas will greatly increase the value of your home. The more space you have the better, and this will certainly be a big plus whether you’re a larger family with older children, or you have a live-in parent or in-law.
3. Your Equity Will Grow Faster
Increasing the equity of your home is a very important goal to help finance what you want to achieve in life. When you need to borrow equity from your home later on for updates or for collateral with the banks for something like a business loan, equity is key. Buying a home and adding in an income or in-law suite with a regular monthly rent payment would serve to dramatically increase your house’s equity - especially if you’re also paying down your mortgage faster with the extra cash. This return on investment can be invaluable!
4. A Legal Suite is Future-Proof
With a rental suite, you have so many options! It could be an in-law suite for your mother-in-law, or it could be a rental suite with a tenant. You could start there, and if that doesn’t work out, you can turn it into a short-term rental with Airbnb. It could also just be a guest space, or a rental suite for your college-aged kids who are getting ready to be independent. Whatever your situation is or whatever the future brings, your suite will be completely adaptable.
5. A Suite Provides Separation from Work Life and Home Life
With many of us working remotely these days, it can feel a bit like Groundhog Day and like there’s no separation between home and the office. You could turn the suite into your own private office, where you can go to work and get that distance between your two worlds. You can decorate your office exactly as you like, and then you can come upstairs at the end of the day and shake it all off. Depending on zoning regulations, you could even start up your own small business and operate it out of your suite. Many professionals like massage therapists, hair stylists, chiropractors and many more have gone this route. If you prefer the work-from-home flexibility to leasing a space that often requires a daily commute, this is an option well worth exploring.
6. A Suite in Your Home Keeps Your Loved Ones Close
As we mentioned earlier, the coronavirus and being in isolation/quarantine has shown us how important it is to be close to family. An in-law suite will allow you to keep tabs on your parent who’s getting older, or other family members visiting for extended periods of time. Some of our clients love simply having a private suite as an apartment for family members staying for a night or two. Your suite could also be used for one (or two) of your children as they attend post-secondary school.
7. You Can Use It As An Income Suite to Cover Taxes and Living Expenses
Of course, if you want to earn some extra income or save up some money, renting out a suite on a monthly or long-term basis is an excellent way to do this. With properly vetted and responsible tenants, you’ll have a reliable payment coming in every month. Also, unlike having an off-site rental property, you’ll be able to keep tabs on the rental suite and quickly tend to any repairs or concerns that your tenants may have.
8. You Have a Live-In Babysitter in Your Suite
How convenient! With your in-law or parent living downstairs, you could have a live-in babysitter to help watch the kids when you want to go out on a weekend night or afternoon. That’s a win in our book. On top of that, the kids and grandparents can share a whole lot of quality time that they might not have otherwise been able to.
9. Basement Suites are In-Demand
You may be hard-pressed right now to find a real estate listing without a secondary suite of some kind. Legal secondary suites are so in demand. Also, apartment building and condo prices have become unaffordable for so many, so you’ll have no shortage of applicants when you list your suite on Kijiji, Craigslist, or Facebook Marketplace.
10. A Suite Can Actually Enhance Privacy
It might not sound like a suite in your home can enhance privacy, but it can be a great solution for creating a home for everybody. Maybe you have your in-law living in the room next to you, or your kid in university is still at home and eating all your food. Creating a suite or even a guest house for them will not only give them privacy (and their own fridge to fill) but also give you some, too. It’s a win for everybody!
Convinced? If you’re considering adding a suite to your existing home, it’s a smart idea to evaluate the space you have and make sure that everything is legal and up to code. Here are five things to think about before adding in your suite, and a five-step checklist to help you plan.
If you’re ready to get started with your custom home build, contact us today at White Wolf Homes. We have a team of highly dedicated and knowledgeable professionals who will take you through the process from design to construction and beyond. We will work with you to bring your vision to light and create a custom design that is perfect for you and your home. To learn more, read about us and feel free to check out our FAQ page.