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Opinion: More financing options for ADUs are needed

Housing Wire

Heading into 2024, there are continuing and emerging financing options, grant programs and legislation all designed to help homeowners and builders create much-needed infill housing. These will help on the margin, but we still need smart lenders to help create even more robust financing options for ADUs.

Finance 452
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White House details wide-ranging priorities designed to boost housing supply

Housing Wire

In addition to a series of announcements this week by the White House and multiple federal agencies designed to proactively assist renters, the Biden administration is also aiming to promote methods to improve housing supply across the U.S. Department of Transportation , aimed more squarely at existing zoning law.

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Biden to call for first-time homebuyer tax credit, construction of 2 million homes

Housing Wire

In the address, the president will call for a $10,000 tax credit for both first-time homebuyers and people who sell their starter homes; the construction and renovation of more than 2 million additional homes; and cost reductions for renters. The White House estimates that this “will raise an additional $3.79

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ADU options set to expand in California

Housing Wire

It is shipped from the Boxabl manufacturing facility in Las Vegas and is “designed to unfold into a fully functional dwelling unit in just a few hours,” reducing construction costs and minimizing environmental impacts, according to a company news release. But some experts believe that financing options for ADUs need to be expanded.

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FHA drafts guidance to expand financing on homes with ADUs

Housing Wire

The proposal is designed to offer additional flexibility for calculating market rent and using ADU rental income to help qualify for FHA-insured mortgage financing. “If On the West Coast , Seattle saw a 250% ADU construction increase from 2019 to 2022. The popularity of ADUs has increased in recent years.

Finance 377
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Finance of America debuts refi-ADU product

Housing Wire

Finance of America Mortgage (FAM), the multichannel lender, announced today that it is offering a refi product for homeowners with accessory dwelling units (ADUs). Most homeowners finance ADUs through home equity loans, cash-out refinancings and construction/renovation loans.

Finance 372
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HUD announces final rule to protect against flood risk

Housing Wire

The rule is designed to “help communities prepare for and reduce flood damage ” and other extended climate risks , including “heavy storms, increased frequency of severe weather events and disasters, changes in development patterns, and erosion.”

Insurance 353