PROFESSIONAL ACCESSORY DWELLING UNIT (ADU) CONTRACTOR IN SAN FRANCISCO, CA

An ADU is an additional structure built on a property that already has a house as a primary dwelling. These granny flats come in many shapes and sizes and can be customized to your specifications. ADUs have many other names that they go by including tiny homes, granny flats, in-law suites, and guest houses but they all have the same purpose. These homes have many different benefits for you to experience and can be built on both single-family and multi-family lots. ADUs come with their own entrance as well as other spaces like bathrooms, living rooms, and kitchens. ADUs can also come either attached to the home like a garage conversion or be detached and stand-alone somewhere else on the property. For a more detailed comparison of attached vs detached accessory dwelling units, click here.

These tiny homes have become increasingly popular over the past few years for many reasons. Whether you are looking for a new guest house or a way to generate passive income, these homes are perfect for you. ADUs are the ideal opportunity to generate income while also adding value to your property. Accessory dwelling units can be used for a myriad of different reasons which contributes to their popularity. 

The construction of your ADU has never been easier since a package of new bills was passed back in January of 2020. Now in California, you can enjoy these tiny homes and all of their benefits because of these new bills. Some of the new laws include ADU permits and how they are automatically approved for single-family homes and can be built on multi-family properties.

The laws that were put into place for ADUs are on a state level which invalidates any city ordinances. Not only do these laws permit the rebuilding of ADUS, but they make the whole process a lot easier. ADUs can be built in HOAs without any hassle and applications for ADUs must be approved by the city within 60 days. Other burdens that have been lifted by these laws include that ADUs built by 2025 don’t require the owner to live at the property. Another burden lifted is that ADUs can be built the same time as the main unit. With all these new laws in effect, it has never been able to access permits and build your own ADU.

There are many reasons that tiny homes have become increasingly popular, whether you are wanting passive rental income or are looking for the perfect guest house. Accessory dwelling units are the perfect opportunity to add value to you home while being able to make a profit. These ADUs can be used for a number if different reasons which is why they have become so mainstream over the last couple of years. 

A new package of bills was passed in January of 2020 making ADU construction an easier process. Now, in California, you can enjoy this tiny home and all the benefits it has to offer because of this new series of bills. Some of these new laws include the ADU permits and how they are automatically approved for single-family homes and can also be built on multifamily properties. 

These new laws that were put into place made building and ADU legal on a state level so there are no worries about having to follow city ordinances. Not only do these laws permit building ADUs but they also make the process easier altogether. ADUs can now be built in HOAs without the hassle like before, and cities are required to approve ADU applications within 60 days. Other burdens that have been lifted include ADUs that are made by 2025 don't require the owner to live at the property and ADUs can be developed at the same time as the main unit. With all these new laws into effect, it has never been easier to get the permits and build the ADU of your dreams.

Real estate prices and monthly rent averages can be expensive when you live in San Francisco. The average real estate costs in San Francisco are around $1.3 million and rent can cost as much as $3,200 a month. As a homeowner one of the best investments, you can make is in your home. 

With California’s updated laws about ADUs, homeowners can now gain instant equity just by adding an ADU to their property. These units offer an affordable way to increase not just your property value but also your cash flow. As an example, starting costs range from $350-$450 per square foot, an ADU can quickly pay for itself. Think of it this way, if you build an ADU on your property that adds a monthly payment of $2000 to your mortgage, you can rent the home for $3000 giving you a $1000 profit each month. Another great way to utilize your ADU is by using as a AirBnB. 

Not only do these units give you the opportunity to add in extra income, but they also give your home more value. This means that building an ADU on your property will increase the equity of your home drastically. Your home equity is what your home is worth and what you still owe on the property. Here in San Francisco, an ADU being built on your property will add around 150% of the total costs in equity once the project is complete. As an example, if we build an ADU that is 750 square feet with a cost of $400/sq ft it will give you a total of $300,000. With this you can expect that the property value will go up by $450,000 upon completion of the ADU. Talk about an instant ROI!

To build an ADU in San Francisco you can expect to pay anywhere between $350 and $450 per square foot.  As the square footage increases the price of this ADU will lower because of the costs associated with building the ADU. The larger you build your ADU the larger the return on investment will be when it comes to rental income and property value. Remember, we are your one-stop-shop and will be with you every step of the way.

Not everyone has cash on hand to fully fund their ADU project. Luckily, there are many different options for financing because the banks realize what a great opportunity this increase in property value, making it a low-risk investment. For a more detailed look into financing options, please click here.

In San Francisco, nursing home costs can be an expensive bill to pay. The average nursing care cost is $10,000 a month for a private room. With an ADU, you can avoid this expense while also adding equity to your home. An ADU can function as the perfect alternative to a nursing home for your elderly loved one who needs assisted living. 

ADU financing options usually run between $1,500 and $2,500 per month (depending on the size of your ADU based on $350-$450/sq ft) Compared to spending $10,000 or more a month on private nursing home costs, you can save a fortune while also benefiting your family and your property. In addition, by using an ADU as an alternative to a nursing facility you can spend more time with your loved ones and give them a more comfortable alternative.

ADUs can also make a wonderful guest house. Whether you have friends and family that frequently visit or just want to stay a night out in the guest house yourself, this option is the perfect one for you. In addition, even if you use your ADU as a guest house, you can rent it out as an AirBnB between family and friends visiting. The average AirBnB cost around $130 per night and renting it out a couple times a month could potentially pay your added loan payment. Just because you use your guest house doesn’t always mean you have to give up the opportunity to make extra income. Once the loan payment is paid, everything else you earn is just money in your pockets. Not only does this give you added income, but you also have the perfect place for friends and family to stay.