Housing Generations of Family Through ADU

Housing Generations of Family Through ADU

Posted on March 30, 2021

For Robin and her husband Michael, building an Accessory Dwelling Unit (ADU) is an opportunity to house “generations of family.”

With hearts for service, the DiFalco family has dedicated years of working in the mental health industry, with Michael as a clinician and both previous owners of a therapeutic children’s center where they worked with babies who have been exposed to drugs and those who have been abused while families were in treatment and worked on reunification. “We work with individuals who are unseen and feel unloved,” said Robin.

Robin first reached out to Self-Help Enterprises (SHE) back in August 2020 after learning about SHE’s ADU Pilot Program with the City of Clovis through their website.

ADU’s, also known as in-law units or backyard cottages, are an affordable and effective way to add much-needed housing in California. It’s also a great way to increase your property’s value and generate passive income or care for family, which is exactly what Robin and Michael aim to do.

“Our primary motivation for building an ADU was to care for my parents who are in their early 80’s. My father has early onset Parkinson’s. They are currently up in Oregon but when it’s time, we will have a place so we can care for them, and they wouldn’t have to go to a facility. It’s also an opportunity to have something that stays in the family. So at some point, if my son would like to stay in the home with his family, we can stay in the ADU. It’s also a way for us to receive rental income for our eventual retirement.”

While COVID-19 brought many challenges and delays with construction, Robin and Michael hope to have the project complete by June 2021.

“It’s been a pleasure working with the DiFalco family,” said Juan Jaime, Manager of SHE’s Homebuyer Program. “They have been very punctual with all of their paperwork and hope to see the project complete in the next few months.”

“We are so grateful because Juan Jaime, James Clark and Melissa Looney have been so great to work with,” said Robin.

In an effort to encourage infill residential development in the Old Town area, the City of Clovis has developed several “Cottage Home” plans that may be utilized on properties  having alley access. These home plans (of less than 400 square feet of livable space) are intended to orient onto alleys and provide for a unique pedestrian street environment while also revitalizing the alleys and creating more housing in the highly desirable Central Clovis area.

In partnership with the City of Clovis, SHE provides financing to eligible property owners seeking funding to build or repair ADU’s on their existing single-family lot.

Some benefits of an ADU are:

• They can provide a source of income for the homeowners
• They allow family members to be close while still having privacy
• They are a cost-effective and affordable type of home to build in California where you don’t have to pay for land and other major infrastructure

Some of the loan requirements are:

• Minimum of $50,000 and maximum $140,000 loan amount with 1.4-3.08% interest rate according to loan amount
• 10-12 year amortized payments
• Main unit must be owner-occupied
• Household income limit $139,000, a minimum 640 FICO Credit Score, and no late payments in last 12 months
• $250 nonrefundable application fee
• 2.5% processing fee according to loan amount
• Free home plans (3 options) approved by City of Clovis
• Properties located within the boundaries of Old Town Clovis

Currently the program is offered in the City of Clovis, but with prior approval we have the option to provide financing in other parts of the San Joaquin Valley.