As the process for building a laneway home in Calgary has been simplified over the past 3 years, the interest has increased, says senior city planner Dane Morris.
“It used to be you could only build them in the inner city, but you can now build a laneway home anywhere, in any neighbourhood in Calgary,” he says.
As of 2018, the city doesn’t regulate short-term rentals. “However, we are looking at a licensing regime, which would mean you'd need to obtain a business licence if you were renting out your home,” says Morris.
To address concerns like privacy, loss of sunlight and aesthetic appeal from property owners and their neighbours, the city has released a set of building guidelines for laneway homes as a resourceOpens a new window in your browser..
Meanwhile, homeowner Brenda Erskine brings in $2,000 in monthly rental income on her laneway suite, which is fully rented out for months in advance.
She originally thought about tearing down her 1920s bungalow in the Crescent Heights neighbourhood, but realized that the cost of renovations would be more than what it was worth.
“I knew a laneway suite would work on my property. It's a beautiful space — everyone has commented on… how lovely it is, and [it's] very functional. It feels a lot bigger than it is. You don't feel like you're in a tiny condo in a tower.”
To maximize the space and keep it rented, Erskine offers the following pointers:
- Meet with your neighbours before building your laneway home. Go over the plans with them and educate them. If they have concerns, try to address them. “People still don't know what a laneway house is, especially in Calgary where they are not that common,” says Erskine.
- Use space wisely when planning out the design. A second bathroom can fit under the stairs, for example.
- Put in European-sized, smaller appliances. “I spent a lot of time living in Europe and know you don't need all that fridge and oven space. When you live downtown, there are so many good restaurants nearby, too,” she says.
- Describe all the features of your home and take a range of photos in good lighting when creating your rental listing.
- Emphasize the small environmental footprint. Some people will have a lot of interest in supporting more sustainable living.
- Consider using solar energy to heat your home. Under the Alberta Solar Net Billing program, you could reduce your utility bills by up to 80%Opens a new window in your browser..
- Enjoy the flexibility of this kind of lifestyle by maximizing the potential of your space inside and out.
As the price of real estate continues to soar, laneway homes present a more affordable way for families to stay closer together and enjoy inner-city living. Building these tiny houses on your land is also a straightforward and innovative way to raise property values, while bringing in extra rental income every month.