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Frequently Asked Questions
What is a granny flat?
A granny flat is the informal name for a self-contained secondary home built on the same lot as your main house, with its own kitchen, bathroom, and entrance. It is not a legal term. The permit you actually apply for is called an accessory dwelling unit, or ADU.
Is a granny flat the same as an ADU?
Yes. There is no legal difference between a granny flat, an ADU, an in-law suite, a casita, and a backyard cottage. Every building department in the country uses "accessory dwelling unit" on the permit itself, regardless of which name the homeowner used to search for it.
What is the difference between a granny flat and an in-law suite?
Mostly location. "In-law suite" usually implies the unit is attached to, or built inside, the main house, while "granny flat" is used more loosely for both attached and fully detached units. Neither term changes the permit or the code requirements.
What is a casita, and is it different from a granny flat?
A casita is Spanish for "little house." In the Southwest and parts of California, it's used interchangeably with granny flat, ADU, and guest house, and typically describes a detached unit with Spanish-influenced styling. The building code treats it exactly the same as any other ADU.
How much does a granny flat cost to build?
Total cost typically runs $40,000 for a small in-law suite built inside the existing house up to $360,000 or more for a large custom detached unit, averaging around $180,000 nationally. Cost per square foot ranges from about $150 in lower-cost labor markets to $600+ in premium coastal metros like Los Angeles and Seattle.
Do I need a permit to build a granny flat?
Yes. Every granny flat, regardless of what you call it, requires a building permit from your local jurisdiction. Unpermitted units get flagged during a home sale, refinancing, or insurance underwriting, and some cities require them demolished or brought up to code before a sale can close.
Which states have the most granny-flat-friendly laws?
California, Washington, and Oregon have the strongest statewide laws, generally barring owner-occupancy requirements and capping how much cities can restrict ADUs. Colorado and Arizona have newer statewide laws pushing in the same direction. Florida addresses ADUs at the state level but leaves most details to local governments, and Texas has no statewide law at all, so rules vary entirely by city.
Can I convert my garage into a granny flat?
In most cities, yes, and it's usually the cheapest path to a legal granny flat since the slab, walls, and roof already exist. It still requires the same permit process as any other ADU, including a review of parking replacement rules if the garage currently satisfies your property's required parking.
Does a granny flat increase my property's value?
For most owners, yes. A permitted granny flat typically adds 15% to 35% to a property's appraised value, consistent with national appraisal and lending data, on top of whatever rental income it generates once occupied.