Accessory Dwelling Units (ADUs) are experiencing a boom in 2025, and nowhere is this more evident than in Los Angeles and Dallas. Homeowners in these two very different cities are building big in their backyards – adding ADUs for rental income, multigenerational living, and increased property value. This post explores what’s driving the ADU trend in California and Dallas, and how IA Remodeling can help homeowners capitalize on it.
Why ADUs Are Booming in 2025
Nationwide, ADU trends 2025 reflect long-term housing shifts. An ultra-competitive housing market and rising costs have led more homeowners to seek creative solutions. Multigenerational living is on the rise, and having a self-contained “tiny home” on one’s lot offers flexibility for aging parents or adult children. As one real estate expert put it, “We have a housing shortage, taxes are increasing, [and] ADUs are a very good, safe choice as a home improvement”.. In fact, recent studies show that the South and West are leading an ADU boom, with Dallas and Los Angeles among the top markets for these units nahb.org.
Los Angeles: ADUs Alleviating the Housing Crunch
ADUs in Los Angeles have exploded in popularity as a direct response to California’s housing crisis. Thanks to a 2017 state law that removed many hurdles, L.A. homeowners have been adding backyard apartments and garage conversions at record rates xtown.la. Last year alone, Los Angeles permitted 6,626 ADUs – the second-highest count on record – providing a rare bright spot in an otherwise slow housing construction market. These small homes (often called casitas or granny flats) now account for a huge share of new housing units, helping ease pressure by creating affordable rentals and family housing on existing properties. At IA Remodeling, we’ve seen firsthand how a well-designed ADU can transform a Los Angeles property, adding both livable space and long-term value.
Dallas: Big Backyards, Big Opportunities
In Texas, Dallas backyard ADU projects are gaining momentum as homeowners tap into their ample lot sizes. After a nearly unanimous 2018 City Council vote legalized renting out “granny flats,” Dallas residents finally had a green light to build and lease ADUs on their property dmagazine.com. The timing couldn’t be better: Dallas-Fort Worth’s rapid growth has fueled demand for more housing options, and locals are embracing ADUs as part of the solution. Public sentiment has shifted dramatically – support for ADUs among Dallas homeowners jumped from 51% in 2019 to 73% in 2024. – indicating that people see these backyard homes as a win-win for personal income and community housing needs. IA Remodeling is proud to assist Dallas clients in navigating permitting and creating custom ADUs that complement their homes and neighborhoods.
Your Remodeling Partner for the ADU Boom
Whether you’re in California or Dallas, building an ADU is a smart investment in 2025. It’s crucial to have an experienced remodeling partner to guide you through design, permits, and construction. IA Remodeling brings expertise in ADU design-build, ensuring your backyard unit is beautiful, code-compliant, and tailored to your needs.
Ready to build your dream ADU? Contact IA Remodeling today for a friendly, free consultation. Let’s transform your backyard into a valuable living space – and be part of the ADU boom, elevating lifestyles in L.A., Dallas, and beyond. iaremodelings.com