Charming Birchwood bungalow with space, flexibility, and income potential! This adorable 2-bedroom, 1-bath home sits on a generous 1/3-acre lot with a large deck, fully fenced yard, fruit trees, plus a detached garage/workshop space area and a detached, legal ADU! The detached ADU is perfect for income potential or multi-generational living. Enter inside the main home and find beautiful hardwood floors, two generous sized bedrooms, an updated, large kitchen with quartz countertops, and open living space with a heat pump that does both AC and heat. Multiple upgrades to the home and ADU including: new exterior paint jobs, new siding on the ADU, new gutters, insulation added in exterior walls of main home, new insulation and vapor barrier in crawl space, leveled backyard for ease of more activities, parking pad added for additional parking and more. URMX zoning offers exciting potential for residential and commercial uses. All this in the sought after Birchwood neighborhood near incredible parks like Zuanich, Little Squalicum and Locust Beach. Close to I-5, Costco and Fred Meyer and less than 10 minutes to downtown Bellingham. A sweet Bellingham home with a gorgeous yard, outbuildings, ADU income potential, and plenty of possibilities!