Austin's HOME Initiative Phase 2:
What It Means for You as a Homeowner
Unlock New Value, Flexibility & Income Potential From Your Property
The City of Austin has approved Phase 2 of the HOME (Housing Options for Mobility and Equity) Initiative, changing land development rules to give homeowners more freedom, more options, and more financial upside.
If you own property in Austin, this is your chance to:
Build additional housing units (ADUs, duplexes, triplexes, or even Backyard Pods).
Subdivide large lots into smaller, sellable parcels.
Create rental income streams or multigenerational living solutions.
Backyard Pod is here to help you navigate these changes and unlock the full potential of your land.
Key Updates in HOME Phase 2
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Homeowners can now add up to three units on a single-family lot—perfect for ADUs, rental units, or family suites.
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The minimum lot size is now just 1,800 sq. ft. (down from 5,750), making it possible to subdivide larger lots into multiple buildable parcels.
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Rules limiting how many unrelated people can share a home have been removed—supporting more diverse, affordable living setups.
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Updated guidelines simplify driveway and setback requirements, so building and subdividing is easier than ever.
Why Austin Homeowners Should Care:
Boost Property Value
Adding new units instantly increases your home’s resale and appraisal value.
Build Wealth Through Subdivision
Turn a large single lot into multiple parcels that can be built on or sold.
Earn Passive Income
Rent out a Backyard Pod or small unit for steady long-term rental income.
Stay Ahead of the Market
Austin is growing fast—being an early adopter puts you in a strong financial position.
Support Family Needs
Create in-law suites, granny flats, or space for returning college kids.
How Backyard Pod Helps You Take Advantage:
The new rules can feel overwhelming. That’s where we come in. Backyard Pod specializes in:
ADUs & Backyard Pods: From home offices to rental-ready units.
Design & Permitting: Navigating new city standards with ease.
Turnkey Builds: From concept to completion, all under one roof.
We make it simple to turn your property into a flexible, income-generating asset under the HOME Initiative.
Transform Your Yard with Our Approved Pods Under the HOME Initiative!
2 Bed, 2 Bath: Ground Floor:
2 Bed, 2 Bath: Upstairs:
Take The Next Step
Austin’s HOME Initiative Phase 2 opens the door for homeowners to reimagine their property’s potential. Don’t miss out—be among the first to take advantage of these changes.
Our Recent Projects:
Explore Pod Life:
Check out our latest creations on socials! @backyard_pod