Affordable Housing Built Right on Your Property
The Backyard Boost Program in unincorporated Larimer County for homeowners ready to add income-generating housing while meeting regional affordability goals
DJ Contracting Limited works with homeowners participating in the Backyard Boost Program, which provides financial incentives and technical support for building Accessory Living Areas in unincorporated Larimer County. This program, funded by the Colorado Department of Local Affairs and matched by Larimer County, waives eligible building permit fees for property owners who commit to renting the completed unit at an affordable rate for thirty-six months. You receive reduced upfront construction costs, add long-term property value, and generate rental income while addressing the region's documented shortage of affordable housing options for families below fifty percent of the Area Median Income.
The Backyard Boost Program emerged from Colorado's HB1152 and Larimer County's 2022 Proposition 123 affordable housing goals, making Larimer County the first in Colorado to implement this approach and the first selected by DOLA for Accessory Dwelling Unit Grant Program funding. Eligible projects include units built within or attached to your existing primary structure, as well as detached units constructed separately on your property, with rental rates determined annually by the Colorado Housing Finance Authority to maintain affordability standards.
Request a consultation to evaluate your property for program eligibility and review construction options that fit your site.
How the Program Reduces Your Construction Costs
When you participate in the Backyard Boost Program, Larimer County credits specific development fees directly at permit issuance, which lowers the capital required before construction begins. DJ Contracting Limited coordinates the permit application process and confirms that your project meets program requirements, including the tenant occupancy commitment as a primary residence and the thirty-six-month affordability period. The waived fees apply to building permits for attached, detached, or interior conversion projects that comply with county code and program guidelines.
Once the unit is complete and rented according to program terms, you see monthly rental income while maintaining ownership and control of your property, with the added benefit of increased property value from the newly constructed living space. Housing Partners of Larimer provides resources and support for homeowners who become landlords, including guidance on tenant screening, lease agreements, and ongoing property management considerations.
The program requires a commitment to affordable rent levels set by the Colorado Housing Finance Authority, which balances providing below-market rates with generating viable income for property owners, and the thirty-six-month period allows you to fulfill the affordability requirement while retaining flexibility for future rental decisions after the commitment concludes.
Property owners considering the Backyard Boost Program often ask about eligibility requirements, construction timelines, and what the affordability commitment actually involves.
Questions About Building an Accessory Living Area
What types of structures qualify for the Backyard Boost Program?
Units built within or attached to your existing primary structure qualify, as do detached units constructed separately on your property, provided they meet county zoning and building code requirements for unincorporated Larimer County and comply with program guidelines for size, occupancy, and rental use.
How does the fee waiver reduce upfront costs?
Larimer County credits eligible development fees directly at permit issuance, which eliminates those costs from your initial construction budget and reduces the capital you need before breaking ground, with the specific fee amounts varying based on project scope and permit type.
What does the thirty-six-month affordability commitment require?
You agree to rent the completed Accessory Living Area to a tenant who occupies the unit as their primary residence at a rate determined annually by the Colorado Housing Finance Authority, which is calculated as a percentage of the Area Median Income to maintain affordability for families earning below fifty percent AMI.
When should I start the planning process if I want to participate?
Beginning the planning process now allows time for site evaluation, design development, and permit coordination, with workshop attendance recommended to understand program details before submitting applications, and construction timelines in unincorporated Larimer County typically accounting for seasonal weather considerations that affect foundation work and exterior finishing.
What support is available for homeowners who become landlords?
Housing Partners of Larimer offers resources and guidance on tenant screening, lease agreements, rent collection procedures, maintenance responsibilities, and ongoing property management considerations specific to operating a rental unit on your property under the program's affordability requirements.
DJ Contracting Limited helps property owners navigate the Backyard Boost Program from initial site evaluation through construction completion and tenant occupancy. Arrange a property assessment to determine how an Accessory Living Area fits your site and what construction approach aligns with your budget and program participation goals.
