Governor Maura Healey announced a new $5 million investment to make it easier and more affordable to build Accessory Dwelling Units (ADUs) across Massachusetts, bringing the administration’s total commitment to supporting ADU development to $15 million. The new Community ADU Pilot Program will help housing developers build more rental homes, while additional assistance for homeowners and updated regulations will make it easier and more affordable to build ADUs.

The announcement builds on Governor Healey’s landmark Affordable Homes Act, which made it easier to build ADUs statewide and has already led to more than 2,000 approved units. ADUs offer a practical way to increase housing supply, create more affordable options for residents and help families stay in the communities they love.

The administration announced the upcoming second phase of Massachusetts Housing Partnership’s $10 million ADU Incentive Program (ADUIP), which will provide financial assistance to help homeowners overcome costs that can prevent ADU projects from moving forward.

The first phase of the ADUIP launched in July, providing low-cost feasibility studies to help homeowners understand whether an ADU is viable on their property. In eight weeks since launching, more than 350 studies are underway or completed.

The second phase of the program will now use findings from these initial feasibility studies to identify common and persistent costs that prevent homeowners from moving from planning to construction of ADUs. Based on those findings, MHP will provide financial assistance to help homeowners address eligible expenses and overcome barriers that could otherwise prevent projects from progressing. With the additional funding commitment for the Community ADU Pilot Program, this now brings the Administration’s total commitment to creating ADUs to $15 million.