Funding for residence with ADU

[Lee Barbara]

My wife and I currently run an Airbnb in our basement apartment in our primary residence. We'd like to hold onto it as a rental and buy another SFH as our primary with an already-built separate ADU. My question is, do banks consider the potential rental income of the new ADU the same way they'd consider rents if we purchased a multifamily property when determining how much they'd be willing to loan us? The price range we are looking in might be slightly outside of what lenders might consider our purchasing power just from our combined w-2 income, but the numbers easily work if ADU rental income is considered on the new property.

Thanks in advance for your guidance!

[Elise Marquette]

@Lee Barbara Do you plan on keeping the property you are vacating or will you sell it? If you keep it and have about two years of income from the short term rentals on your tax returns, you should be able to use that to qualify for your next home. You likely will not be able to use the anticipated short term rental income from the property you’re buying. If you arent opposed to doing a long-term rental for a bit, You may want to see if you can get an executed lease for the main house you’re vacating to help qualify for your next home.