Reporter Frances Bula shares a story from Vancouver, Canada, where "laneway houses" have become the city's answer to a growing trend in North America’s priciest metro areas.

These tiny homes are helping tackle the region’s housing shortage. People are building the houses for aging parents and as a source of rental income. Bula writes: 

The idea is to squeeze more housing into residential areas without changing the character of the neighborhood too much. The small homes, known in other cities as “coach houses,” “granny flats,” or “accessory dwelling units,” are meant to offer a way for middle-income people to live in locations they otherwise could not afford.

Vancouver created the most permissive policy in North America, allowing laneway homes to be built on almost all single-family lots. The city of about 640,000 people has seen almost 2,000 applications for laneway houses in the six years they’ve been allowed. 

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