An accessory dwelling unit (ADU) project in Sandwich, Massachusetts that was completed through the Home Modification Loan Program (HMLP). Photo Credit: Andy Levine
The Home Modification Loan Program (HMLP) is a valuable financial resource for qualifying Massachusetts homeowners. This state-funded program offers zero percent interest loans of up to $50,000 to assist homeowners who create a more accessible home by providing financing for projects such as ramps and lifts, and kitchen and bathroom modifications.
Over 3,000 people have utilized the program since 1999 to finance a broad range of capital improvements. Some families have used it to fund the paving of their driveway and others have used it to create a sensory space for their family member with autism. Another improvement that more qualifying homeowners and families might consider is the development of an accessory dwelling unit (ADU).
Accessory Dwelling Units are “secondary residential units” that are located on the same plot of land as an existing primary residence. ADUs can take several forms, from unfinished basements or garages converted to apartments to new stand-alone structures. ADUs offer great potential to increase housing production and stem the state’s housing crisis. In 2024, Governor Healey signed the Affordable Homes Act, which includes provisions to amend the zoning law and allow ADUs up to 900 sq ft to be “built by right in single family zoning districts.”
Within the parameters of the HMLP program, ADUs provide an important opportunity to create supportive housing for senior household members (age 60 and up) and family members with disabilities by enabling them to live nearby while also granting them their own private space. Additionally, ADUs require less water and electricity to operate. This alleviates financial strain on homeowners who can now provide an affordable housing solution for family members.
View this video on how HMLP could be a resource to assist with the development of your ADU project.
