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A guesthouse can be convenient and may even be a way to earn some extra money, but there are downsides to consider. If you’re thinking about building a guesthouse, carefully weigh the pros and cons.

How Can You Use a Guesthouse?
A guesthouse can be a place for friends and family members to stay when they visit. That can give both them and your family privacy.

An elderly relative can live in a guesthouse instead of living alone or moving into a nursing home or an assisted living facility. Your older relative can have some independence in a guesthouse while having relatives nearby to help as needed.

If you have someone who works in your home, such as a nanny, private housing can be a perk of the job. Having your employee nearby can be convenient if an unexpected need arises. 

You can rent out a guesthouse to generate income and cover part of your mortgage. If you decide to do that, make sure that you’ll still be able to cover your bills if the guesthouse is vacant. 

Is It Legal to Build a Guesthouse?
Before you start thinking about how to design a guesthouse, you need to find out if it’s even legal to build one where you live. Local zoning regulations and homeowners association rules may limit your options or forbid guesthouses altogether. If a guesthouse is allowed, you’ll need to get the appropriate permits.

Can You Afford to Build a Guesthouse?
Constructing a guesthouse can be expensive. It’s essentially the same as building a house. You will have to pay for permits, build the structure and install plumbing, electricity and an HVAC system. You will also have to furnish and decorate it. Consider all these costs and leave room in your budget for overruns and unanticipated expenses.

How Should You Design the Guesthouse?
The intended purpose, the amount of available yard space, zoning rules and your budget will affect the size of the guesthouse and the types of amenities it will have. Talk to an architect or a contractor who has experience building guesthouses. A professional with that background will know the processes to follow and will be able to give you advice based on both the positive and negative experiences of past clients.

Can You Handle Some Chaos?
Having a guest house built can be messy and noisy. The process may be disruptive and problematic, especially if a guesthouse is built close to the main house. You will need to figure out how to deal with it and may want to stay somewhere else during the construction process. 

Is a Guesthouse a Good Investment?
A guesthouse may help you earn money while you live in your house. It may also increase your home’s value and help you attract a buyer in the future. People who are searching for a new home may want a property with a guesthouse for a variety of reasons. Having one can help your home stand out from the competition.