Downsize Without Leaving Home: Why California Homeowners Are Choosing Backyard ADUs

August 4, 2026
Healdsburg ADU New Corporate Model Perpetual Homes

For many California homeowners, downsizing isn't about giving something up. It's about creating a home that better fits the way they live today.

After years of maintaining a larger home, many empty nesters are looking for a lifestyle that requires less upkeep while allowing them to stay in the neighborhood they love. At the same time, rising home prices and changing family needs are causing many homeowners to rethink how they use their property.


That's why more families are choosing to build a backyard Accessory Dwelling Unit (ADU).


Instead of selling their home and relocating, homeowners are creating a flexible living solution that simplifies their lifestyle while keeping their property working for them for years to come.


A Smaller Home Without Sacrificing Comfort

Today's prefab ADUs are thoughtfully designed to maximize every square foot, proving that smaller homes can still feel open, bright, and comfortable.

Perpetual Homes ADU offers customizable one-bedroom, one-bath ADUs ranging from approximately 400 to 750 square feet, along with spacious two-bedroom floor plans from approximately 750 to 1,200 square feet. Smart layouts, generous windows, open-concept living areas, efficient storage, and optional vaulted ceilings create homes that feel much larger than their footprint.


Whether you're looking for a private retreat, an in-law suite, guest house, or full-time residence, there's a floor plan designed to fit your lifestyle.

Healdsburg model from Perpetual Homes now open for ADU tours in Concord, CA.

The Del Mar is a 1,026-square-foot prefab ADU designed with modern living in mind. Featuring two bedrooms, two bathrooms, an inviting front porch, and an open-concept layout, it's a great example of how thoughtful design creates comfortable, functional living. Homeowners can tour the Del Mar model in Danville, California, to experience its quality and craftsmanship firsthand.


Another popular option is the Healdsburg, an efficient 800-square-foot design featuring two bedrooms, one-and-a-half bathrooms, and an open living area that demonstrates how thoughtful planning can make every square foot count.



New Quartz Colors from Perpetual Homes ADU

The Backyard, Reimagined

For decades, the backyard was viewed primarily as space for recreation. Today, homeowners are seeing it differently.


A backyard ADU transforms underused land into something practical and lasting. It creates space for family members, guests, caregivers, rental income, or simply a more manageable place to live.


Rather than asking, "What can I put in my backyard?" many California homeowners are now asking, "How can my property better support the people who live here?"


For more and more families, the answer is an ADU.


Staying Close While Enjoying More Freedom

Many empty nesters are choosing to move into a backyard ADU while allowing their adult children and growing families to live in the primary residence.


Parents enjoy a lower-maintenance home without leaving the community they've built over the years. Children and grandchildren have more space, and everyone benefits from living close enough to support one another while maintaining separate homes and privacy.


"In almost every case, it starts with wanting to help someone. A parent, a child, a grandchild, or even themselves," William Anderson, Project Manager at Perpetual Homes ADU, shares. "People don't come to us because they want more square footage. They come to us because they want housing options."


A Flexible Solution for Changing Families

The idea of multigenerational living has taken on new meaning in California. Rising housing costs have led more adult children to return home while saving for their own future. Instead of asking everyone to share one house, many families are creating independent living space with a backyard ADU.


Whether it's helping an adult child regain independence, welcoming an aging parent, or creating space for future grandchildren, an ADU gives families flexibility without sacrificing privacy. It's an investment that can continue serving different purposes as life changes.


California ADU Laws Have Created New Opportunities

Recent updates to California ADU laws have made it easier for many homeowners to add an Accessory Dwelling Unit to their property. While local zoning and permitting requirements still vary, statewide legislation has expanded opportunities for families to create additional housing on land they already own.


For homeowners, that means more flexibility to adapt their property as their needs evolve while contributing to solutions for California's ongoing housing shortage.


"I've seen how difficult it is for families to stay rooted in California given today's housing market," says Katherine Anderson, founder of Perpetual Homes. "An ADU gives them options, whether that means welcoming a parent home, creating space for the next generation, or securing long-term flexibility. It's about making housing work for people again."


A Family Company Helping California Families

Since launching Perpetual Homes in 2019, Katherine has grown the company into one of California's largest privately owned, family-run prefab ADU and home builders. Backed by more than 40 years of residential development experience, she leads the business alongside her sons, Justin and William, providing homeowners throughout California with thoughtful, high-quality housing solutions.


The company's mission extends beyond construction. It's about helping people create practical living spaces that adapt to every stage of life, whether that means supporting multigenerational living, planning for retirement, accommodating changing family needs, generating rental income, or increasing long-term property value.


Because no two properties or families are alike, approximately 85% of our homeowners customize their floor plans to fit their unique goals and lifestyle. Combined with our streamlined 10-Step Building Process, our team helps homeowners navigate every phase of the project, from planning and design through construction and final installation.


Build for the Life You're Living Today, and Tomorrow

Your property has the potential to do more than it does today.


Whether you're looking to downsize, create an in-law suite, welcome adult children home, provide space for aging parents, or simply make better use of your backyard, a prefab ADU offers a flexible housing solution that grows with your family.


Schedule your Free Virtual Property Assessment today and discover which ADU model is the right fit for your property, your lifestyle, and your future.


Book Your Free Virtual Site Assessment Today

Disclaimer: This article is intended for general informational purposes only and does not constitute legal, financial, tax, or construction advice. ADU regulations, costs, and building requirements may vary by location and property conditions. Homeowners should consult with licensed professionals and local planning authorities to confirm current requirements. For questions about building a prefab ADU, you may also contact the Perpetual Homes ADU team for a consultation.

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