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Turn Your Backyard into a Revenue Stream

A long-term rental ADU in Central Texas can generate $1,200–2,500 per month. With fixed pricing, you know your total investment upfront — and your true ROI from day one.

The Investment

Passive Income from Your Own Property

Central Texas rental demand continues to outpace supply. An ADU is the highest-ROI improvement you can make to your property — generating steady monthly income while increasing your home's appraised value.

Unlike stock markets or distant investment properties, a backyard rental ADU sits on land you already own. There's no second mortgage, no separate lot to maintain, and no landlord-from-afar headaches. With financing options available and transparent pricing, the path from construction to cash flow is straightforward. And if the market shifts, your ADU can always serve as a guest house or short-term rental.

$1,200–2,500 Monthly Rental Income
5–8 Years Typical Payback Period
10–15% Property Value Increase
Best Models for Rental Income

Recommended Models

Long-term rental requires a full kitchen and bath — the Residence configuration. Lynda and Jane are the two models that offer it.

Lynda ADU — Modern Shed Roof
Modern Shed Roof

The Lynda

The Lynda is the most accessible Residence in our lineup, available from a 480sf one-bedroom up to a 960sf two-bedroom full residence. A signature single-slope roofline, floor-to-ceiling windows on the high wall, and clean contemporary lines make it a listing tenants notice — and the Residence configuration delivers everything a long-term renter needs.

Size Range: 480–960 SF (Residence)
Categories: Residence
Residence Starting At: $150,000
View The Lynda Get Price
Jane ADU — Internal Loft Rendering
Internal Loft · Austin Only

The Jane (Austin only)

The Jane's mezzanine loft adds functional square footage without growing the building footprint — the smartest way to maximize a compact Austin lot. A sleeping loft above the main floor gives tenants bedroom separation in a small building, making the Jane an especially strong choice for urban Austin rentals where every square foot of lot counts.

Size Range: 320–960 SF + loft
Categories: Suite, Residence
Starting From: $146,000
View The Jane Get Price
Configuration Guide

Choose the Right Setup

Independent tenancy requires a full kitchen and bath — the Residence configuration is built for rental from day one.

Residence

A full kitchen and bathroom for complete independent living. This is the configuration that meets rental housing standards and attracts long-term tenants looking for a self-contained home.

  • Full kitchen + full bathroom
  • Independent tenancy ready
  • 480–960 SF footprints
  • 18–26 week build time
Best for Rentals

Why a Rental Income ADU?

Predictable Income

Long-term tenants provide steady monthly cash flow you can count on — without the turnover and management overhead of short-term rentals.

Fixed Build Cost

Know your total investment upfront with transparent pricing. No surprises means you can calculate your true ROI before breaking ground.

Property Value Boost

A permitted ADU increases your home's appraised value by 10–15%, building equity while it generates income.

Tax Advantages

A rental ADU may qualify for depreciation deductions, mortgage interest write-offs, and expense deductions. Consult your tax advisor for details specific to your situation.

Rental Income Questions

How much rental income can I expect in San Antonio or Austin?

A Residence-configured ADU in Central Texas typically rents for $1,200–2,500 per month. The exact amount varies by size, location, finish level, and local market conditions. Larger units with premium finishes in high-demand neighborhoods command the top of that range.

Do I need to create a separate utility meter?

Requirements vary by municipality. Some jurisdictions require a separate meter for a rental unit while others allow shared connections. We advise on local requirements during your consultation and handle all permitting so you know exactly what's needed before construction begins.

What permits do I need to rent out my ADU?

Every Elbow Room ADU is fully permitted as a habitable dwelling. Depending on your municipality, you may also need a rental license or registration. We can advise on local rental requirements during your consultation.

Can I convert a rental ADU to personal use later?

Yes. It's your property and your ADU. Many homeowners start by renting and later convert the space to a guest house, home office, or family living. The construction is identical regardless of use — a fully permitted, code-compliant dwelling.

Ready to Start Earning?

Get a price on your rental ADU or speak with our team about the right model and size for your property.

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