Start Planning Now to Build an Accessory Dwelling Unit in 2026

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There are so many good reasons to build an accessory dwelling unit (ADU) on your property in Northern Colorado. Whether you’re looking for rental income, a separate living space for adult children or aging parents, or a multi-use space for an office, art studio, or guest suite—an ADU offers countless benefits. It can significantly increase your property value, too.

What is an accessory dwelling unit exactly? An ADU is more than a spare guest room. It’s a smaller, independent residential dwelling on the same property as a primary home. Examples include a basement or attic apartment, a detached guest cottage or pool house, or a vacation rental over the garage. Square footage and layouts can differ greatly, but an ADU typically includes a bedroom, living area, kitchen, bathroom, and separate entrance.

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There’s No Better Time to Build an ADU in Colorado

In June 2025, Colorado House Bill 24-1152 went into effect, making it easier for homeowners in certain areas of the state to build an ADU on their property.

If you’re planning to rent your new ADU, Larimer County recently announced it will waive some building permit fees in 2026—a potential cost savings of between $3,000 and $14,000 for a homeowner—in exchange for making the rent affordable.

ADU restrictions and requirements vary by property location in Colorado, but the team at HighCraft can help you navigate the rules and regulations. If you’re serious about adding an ADU to your property in 2026, now is the perfect time to begin the planning process.

Needing a little design inspiration? Here are eight of our favorite ADUs in Fort Collins, Loveland and Livermore:

Charming Guest Cabin

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Our team designed and built this two-bedroom, one-bath, 800-s.f. guest cabin on a ranch near Livermore.

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The vaulted ceilings make it feel spacious, and its open-concept design delivers both function and character.

View the full project gallery in “Dutch Ridge Ranch Guest House.”

Guest Suite Addition

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Our clients wanted to expand the wasted attic space above their garage into an office, storage area and private guest suite. By building their new addition up, instead of out, we preserved the original footprint and mature landscaping of this Fort Collins home.

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The new guest suite provides a comfortable bedroom with private bath—ideal for family members coming from New Zealand for extended stays. The addition also includes an office, comfy lounge, and a wet bar with prep counter, instant hot water tap, and undercounter refrigerator for added convenience.

Check out this entire project in “Home Suite Home Addition.”

ADA-Compliant Guest House

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Designed with love and long-term care in mind, this ADA-compliant detached guest house in Fort Collins was built to support a family member with mobility challenges.

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The 1,138-s.f. floorplan includes an ADA-compliant bedroom and bathroom suite. A ceiling-mounted body lift system connects the bedroom, laundry, and bath for ease of movement. An open-concept kitchen and living room, and a flexible office space with a murphy bed, can accommodate even more guests.

Tour the guest home’s ADA-compliant interior in “Accessible Backyard Guest House.”

Studio Guest House

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HighCraft remodeled this one-room residential studio apartment, currently used as a guest house in south Fort Collins.

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We also designed a custom room divider to visually separate the living spaces. Guests love the wooden screen built into a cabinet base that serves as both media console and bedroom dresser. Installed on a swivel, the television can be viewed from the living room or bedroom.

Attached Pool House

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An all-season pool house, which doubles as a guest house, is connected to the main home by a breezeway in this Fort Collins custom build project.

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The two-story pool house includes a full kitchen with island seating, two bathrooms, and a spacious flex space on the second floor that easily converts into a bedroom for guests.

Dive into more project photos in “Make a Splash with a Swimming Pool and Pool House.”

Detached Pool House

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This all-season pool house in Loveland has 720 square feet of interior space and 320 square feet of covered patio that can be enjoyed year-round.

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The interior floorplan consists of a living room with fireplace and pull-out couch, a full bathroom, a combination mudroom and laundry, and a spacious kitchen with pantry.

Browse the project gallery in “Contemporary Pool House with Indoor-Outdoor Living.”

Garage Apartment

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Our team designed and built this 980-s.f. alley house stacked over a three-car heated garage in downtown Loveland.

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The space is light and bright with 13-foot vaulted ceilings, two bedrooms, two baths, shed dormers and an inviting open-concept layout—perfect for overnight guests or rental income.

See the full apartment in “Alley Carriage House.”

Vacation Rental

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Our team also designed and built The Bunkhouse—a custom two-bedroom, two-bath guest apartment over a detached garage on a 10-acre ranch east of Loveland.

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The Bunkhouse reflects the homeowners’ love of travel, western life and everything cowboy. The space can be used as a short-term rental, or reserved for friends and family during the holidays.

Watch this video tour of The Bunkhouse, or explore the full project gallery in “Guest Bunkhouse Over Garage.”

For more photos of ADU projects, check out “Carriage House Inspiration.”

Ready to build an ADU on your property, but not sure if it’s allowed? Our team can help! Contact HighCraft with questions or to schedule a free consultation.