Based on market data for the Denver area, a basement ADU conversion typically generates between $1,200 and $2,000 per month in rental income. While garage conversions can potentially yield higher monthly returns (ranging from $1,500 to $2,500), basement conversions remain the most popular option for Denver homeowners. This popularity is…

In the Colorado market specifically centered around Denver, garage-to-living-space conversions are currently considered a moderately popular option for homeowners. While they are a common choice for creating Accessory Dwelling Units (ADUs), they follow basement conversions, which currently hold the highest popularity in the region. According to industry benchmarks and municipal…

In 2026, Denver’s zoning laws for Accessory Dwelling Units (ADUs) require homeowners to adhere to specific dimensional and occupancy standards. The city generally allows ADUs in most residential zones (R-0 through R-4), provided the property meets the following criteria: Lot Size Requirements: Attached ADUs require a primary lot size of…