Land Use & Zoning

Indiana Accessory Dwelling Units (ADUs) — also known as granny flats or in-law suites — are:

AAlways prohibited in single-family zones
BIncreasingly permitted in Indiana municipalities as a way to add housing supply within existing neighborhoods✓ Correct
COnly permitted on lots larger than 2 acres
DOnly permitted with federal approval

Explanation

ADUs (secondary dwellings on single-family lots) are increasingly permitted by Indiana municipalities as a tool for expanding housing supply affordably, providing rental income for homeowners, and supporting multi-generational living.

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