Thinking about adding or renting an accessory dwelling unit on a Garden Ridge property? You are not alone. ADUs can create flexible space for family, generate rental income, and add long-term value. The key is understanding which rules control what you can do and how to stay compliant from day one. In this guide, you will learn the factors that decide whether you can rent an ADU in Garden Ridge, practical scenarios that usually work, and a simple checklist to move forward with confidence. Let’s dive in.

What actually decides if you can rent

City, county, and HOA authority

Where your property sits determines which rules apply. If you are inside Garden Ridge city limits, the city’s zoning, development standards, and building code govern ADUs. If you are outside those limits, unincorporated Comal County rules apply, including septic oversight. Homeowners’ associations can be more restrictive than the city and often limit additional dwellings or rentals, so review your covenants carefully.

Zoning and allowed locations

Zoning answers the first question: is an ADU allowed on your lot type. Many cities permit ADUs only in specific residential districts and may require either a standard permit or a special approval. Lot size, corner-lot status, or flag-lot access can affect eligibility. Verify your zoning district and whether accessory dwellings are permitted on your exact parcel before you plan a build or a lease.

Owner-occupancy rules

Some Texas cities require the owner to live in either the main house or the ADU. Others do not. This one rule can determine if you can operate both units as long-term rentals or only one while you live on site. Confirm whether Garden Ridge requires owner occupancy and whether that applies to the main house, the ADU, or either.

Size, type, and relationship to the house

Local codes often limit ADU size by square footage or as a percentage of the main home. They may also set limits on bedrooms or whether the unit can be detached, attached, or internal. Ask how an ADU counts toward lot coverage and floor area so you design within the limits.

Setbacks, height, and coverage

ADUs typically follow accessory-structure rules for side and rear setbacks and maximum height. Siting can be affected by easements, trees, and any neighborhood overlays. Measure twice and plan with the setbacks in mind.

Utilities and septic capacity

If your property uses a septic system, Comal County and state environmental rules control whether your system can support an ADU. Adding bedrooms or a kitchen can trigger a septic redesign or new permits. For city utilities, ask whether separate electric, water, or gas meters are allowed and whether a separate address is assigned. Utility setup often affects how you structure a lease and collect payments.

Parking and access

Many jurisdictions require at least one off-street space for an ADU and set rules for driveway access or tandem parking. Plan for resident and guest parking to reduce neighbor concerns and pass plan review.

Building and life-safety

ADUs must meet residential building code standards for room size, ceiling height, egress, smoke and carbon monoxide alarms, and safe exits. If the unit is attached, fire separation and insulation requirements apply. Do not skip permits or inspections; you will need a final sign-off or Certificate of Occupancy before anyone moves in.

Occupancy limits and fair housing

Occupancy standards are usually tied to health and safety, like room sizes and total habitable area. These standards must comply with fair housing laws and cannot discriminate by family status. Ask the city how it applies occupancy rules so your lease and unit design align with health and safety policy.

Short-term rentals and commercial use

Short-term rentals are often regulated separately from long-term housing. Some cities prohibit STRs in ADUs or require registration, taxes, and inspections. Using an ADU for commercial lodging or as a business space with lodging is commonly restricted in residential zones. Treat short-term or commercial use as higher risk until you confirm what Garden Ridge allows and how to license it.

Practical, compliant use cases

A. Live on site, rent the ADU

This is the most common path for house-hackers. You live in either the main house or the ADU and lease the other for longer terms, usually month-to-month or longer.

• Verify zoning allows the ADU on your lot.
• Confirm owner-occupancy rules and whether you can occupy either unit.
• Ensure size, setbacks, and parking meet code.
• Get utility and septic approvals, permits, and final inspections.

B. Live in the ADU, rent the main house

If owner-occupancy is required, many places allow you to live in the ADU while renting the primary dwelling.

• Check that rental licensing, parking, and access are satisfied for the main house.
• Confirm any lease or registration rules.

C. Multigenerational living

Housing a parent, adult child, or caregiver is often the least controversial use.

• Verify the ADU is permitted and meets building and safety standards.
• Check if family occupancy is treated differently for utilities or taxes.

D. Short-term rental of the ADU

This is often the most tightly regulated scenario.

• Confirm whether short-term rentals are allowed in ADUs, and what registration, taxes, and inspections are required.
• Expect limits on nights, parking, or owner-on-site rules.

E. Commercial use or mixed use

Running a business from an ADU or using it as paid lodging typically triggers stricter rules and is often prohibited in residential areas.

• Check home occupation rules and any transient lodging definitions.
• Do not operate without proper permits or approvals.

Step-by-step to confirm your path

1. Look up your jurisdiction. Determine if your address is inside Garden Ridge city limits or in unincorporated Comal County.

2. Confirm zoning. Identify your zoning district and whether accessory dwellings are permitted, and in what form.

3. Ask about owner-occupancy. Clarify whether you must live on site and whether occupancy can be in either structure.

4. Review size and siting limits. Confirm maximum square footage, bedroom counts, setbacks, height, and lot coverage.

5. Clarify utilities and septic. Check metering rules and whether your septic or sewer connection can support the added load.

6. Map permits and inspections. Get the building permit checklist, required trade permits, and final inspection or Certificate of Occupancy steps.

7. Verify rental use. Ask how long-term and short-term rentals are treated in ADUs, including registration and taxes if applicable.

8. Check your HOA. Review covenants for any limits on additional dwellings or rental terms.

9. Align insurance and taxes. Talk to your insurer about landlord or STR coverage and how improvements affect property taxes.

10. Keep records. Save plans, permits, approvals, and inspection sign-offs to protect value and smooth future resale.

Permits, timelines, and costs to expect

• Permits and inspections. Plan for building, electrical, plumbing, and mechanical permits, plus staged inspections and a final sign-off before occupancy.
• Utility approvals. Separate meters and addresses vary by jurisdiction. Septic changes must be reviewed when adding bedrooms or kitchen fixtures.
• Timeframe. Design and permitting can take weeks to a few months depending on complexity and review schedules. Build time varies by scope and contractor availability.
• Financing and insurance. Some lenders require you to disclose an accessory unit; rental or STR activity may require policy endorsements or a landlord policy.
• Property taxes. An ADU can increase assessed value. If use is treated as commercial lodging, other taxes or licenses may apply.

Quick checklist before you rent

• Zoning allows an ADU on your lot.
• Owner-occupancy rule confirmed or not required.
• Size, bedroom count, setbacks, height, and lot coverage compliant.
• Parking and access provided.
• Utilities and septic capacity approved.
• Building, trade permits, and inspections completed.
• Final inspection or Certificate of Occupancy in hand.
• Short-term rental rules verified, if applicable.
• HOA covenants reviewed and followed.
• Insurance, taxes, and any registrations set up.

Buyer and seller tips

• If you are buying: Ask your agent to confirm jurisdiction, zoning, and septic capacity during the option period. If you plan to house-hack, focus on parcels and floor plans that can meet parking, access, and utility requirements.
• If you are selling: Permitted ADUs can boost buyer interest. Organize plans, permits, and final inspection records to support value and reduce closing risk. Be clear about whether short-term rentals are allowed.

Work with a local advisor

You deserve clear, practical guidance before you invest in an ADU or list a property with one. With 25-plus years as an independent appraiser and a focused practice in Northeast San Antonio and Comal County, I help you weigh rental potential, confirm compliance steps, and position your property for long-term value. Ready to map your Garden Ridge strategy? Schedule a free consultation with Melissa Boehringer for tailored next steps.

FAQs

Are short-term rentals allowed in ADUs in Garden Ridge?

• Treat STR use as higher risk until you confirm local rules, since many cities regulate or prohibit short stays in ADUs and may require registration, taxes, and inspections.

Do I need a permit to convert a garage into an ADU in Garden Ridge?

• Yes, plan on building and trade permits, compliance with residential life-safety standards, and a final inspection or Certificate of Occupancy before anyone moves in.

How many people can live in an ADU in Garden Ridge?

• Occupancy is usually tied to health and safety standards like room size and egress, and must comply with fair housing; ask the city how it applies occupancy limits to ADUs.

Can my HOA stop me from building or renting an ADU in Garden Ridge?

• Yes, HOA covenants can be more restrictive than city code and often limit additional dwellings or set minimum lease terms, so always review them early.

If my Garden Ridge property is on septic, can I add an ADU?

• You may need a septic evaluation or redesign because adding bedrooms or a kitchen changes the load; approvals run through county and state environmental rules.

Can I rent both the main house and the ADU in Garden Ridge?

• It depends on owner-occupancy rules, zoning, and rental regulations; confirm whether the city allows both units as long-term rentals without the owner living on site.