See rental projections and ROI analysis
before you break
ground.
Know your returns upfront. Make decisions with confidence.
An ADU isn't just a construction project — it's an investment. Like any investment, you need to know the numbers before you commit.
The average ADU in MA/RI costs between $150,000 and $350,000. That's not money you gamble with — you need to know it'll pay off.
ADUs typically increase property values by 25-35%. But the actual return depends on YOUR property, YOUR market, and YOUR ADU design.
Most ADUs pay for themselves in 5-8 years through rental income. After that? Pure profit in your pocket every month.
ROI isn't just "rent minus mortgage." Smart investors look at the complete picture:
Total build cost including permits, design, site work, and finishes
Interest payments, loan fees, and opportunity cost of your capital
Monthly rent based on local market rates for comparable units
Increased home value from the ADU addition
Maintenance, insurance, property management, vacancy
Annual pre-tax cash flow divided by total cash invested. Target: 8-12%+
Net operating income divided by property value. Measures pure investment return.
How many months until rental income covers your total investment.
Combined return from rental income + property appreciation over a decade.
Enter your numbers below to see projected returns, break-even timeline, and long-term investment analysis.
Typically 60-80% of construction cost
Insurance, maintenance, vacancy reserve (~10-15% of rent)
Your projected returns exceed typical investment benchmarks. This ADU could be a solid wealth-building move.
The ROI Calculator is just one tool in the ADU Financial Command suite. Get the complete picture with detailed financing options, budget planning, and more.