Accessory Dwelling Units in Virginia
What They Are… And What This New Law Could Mean for You
There’s been a lot of conversation recently around something called an “Accessory Dwelling Unit”… or ADU.
And if you’ve seen that term floating around and thought, “I’m not totally sure what that means”… you’re not alone.
So let’s start simple.
What Is an ADU?
An accessory dwelling unit, or ADU, is a smaller living space that sits on the same property as a primary home.
That could look like a finished basement with its own entrance, a garage apartment, a small cottage, or even an in-law suite.
The key piece is that it functions as its own living space… meaning it includes areas for living, sleeping, cooking, and sanitation, all within the same structure
What’s Changing in Virginia?
A new law, Senate Bill 531 (SB531), is set to take effect on July 1, 2027.
At a high level, this law will require localities to allow accessory dwelling units in single-family residential zoning districts
That’s a big shift.
What used to be more restricted or inconsistent across different areas is now moving toward broader acceptance, which means things like garage apartments, small backyard cottages, and in-law suites are going to become much more common.
Why This Matters
This change isn’t happening in a vacuum.
One of the goals behind this legislation is to help address housing shortages by creating more opportunities within existing neighborhoods.
Instead of only relying on large-scale developments, this opens the door for homeowners to create additional housing in a way that feels more natural and integrated into the community.
It’s Not Just for Family Anymore
One of the more notable changes is that localities can no longer require a family relationship between the primary home and the ADU occupant
In the past, ADUs were often thought of strictly as “in-law suites.”
Now, that definition expands.
This means homeowners may have the option to rent these spaces to unrelated tenants, creating new opportunities for long-term rental income and more flexible living arrangements.
But It’s Not a Free-for-All
While this law expands opportunity, it still includes guardrails.
Localities can require things like:
• Minimum lease terms (often 30 days or more)
• Owner occupancy requirements for either the main home or the ADU
• Parking considerations and building standards
There are also limitations on things like size, placement, and the ability to sell the ADU separately from the primary residence
So while access is increasing, structure is still very much in place.
Lower Barriers… And New Opportunities
Another important piece is that permit fees for ADUs are capped at around $500, which can help lower the barrier to entry for homeowners looking to explore this option
Because of that, I do think we’ll start to see more interest from homeowners… and potentially a rise in modular or pre-fabricated building solutions to help meet that demand.
Like anything new, there may be a bit of a rush early on. Builders could get booked out, timelines could stretch, and it may take some time for things to balance back out.
What This Could Mean for You
If you own property in Virginia, this is one of those changes that’s worth understanding early.
For some, it may open the door to creating additional income.
For others, it may be about long-term family planning.
And for some, it may simply be about increasing flexibility within a property they already love.
The opportunities are there… but how they apply will depend on your specific property and your goals.
Final Thought
ADUs are becoming a much more realistic and accessible option for homeowners across Virginia.
And while this isn’t something everyone will act on immediately, it is one of those shifts that can quietly change the way people think about their homes over time.
If this is something you’ve been curious about, it may be worth exploring now… before everyone else starts calling builders at the same time.
Ashley Dudley | Broker Owner HomeGrown Real Estate
ashley.dudley@homegrownreva.com
540.271.1655