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Is Building An ADU in Bay Area A Good Investment?

Homeowners in the San Francisco and Bay Area have a unique opportunity to put a second living space on their property in addition to their primary residence. This opportunity comes in accessory dwelling units (ADUs), also known as in-law suites, granny flats, secondary dwellings, the list goes on. We see more and more that homeowners are looking at building an ADU in San Francisco to increase their livable space or as a way to produce more income by renting their units out. No matter your intended purpose, Adore Homes has you covered when it comes to designing, building, and even helping find someone to rent your ADU. Though technically your ADU can be attached to your primary house, above your garage, or standalone, Adore Homes specializes in stand-alone units. They are bound to the lot they are on, which means you cannot sell your ADU separately from your residence. Let’s discuss some of the reasons why building an ADU in San Jose, Oakland, and San Francisco is a worthwhile investment.

Why Build An ADU in San Francisco – Your Investment Guide

If you’re wondering if building an ADU is a good investment, this is the guide for you. We’ll start by discussing why you want an ADU, the cost and time that goes into the process, and how Adore Homes stand out from the accessory dwelling unit competition.

Building a ADU home

Reasons Why You Would Invest In An ADU in the Bay Area

There are so many reasons why investing in a dwelling unit is a good idea. They are great solutions when looking for additional square footage or extra income. You can use ADUs:

  • To provide guests a private play to stay that is separate from your main living area.
  • As a way to generate additional monthly income and provide recession protection.
  • To provide a place for your adult children to live before officially “leaving the nest.”
  • To help you downsize to make more money renting out your primary residence.
  • As a home office or for small businesses and private practices.
  • As a safe and reliable retirement home for your aging family members.
  • To provide a living solution for live-in nannies or full-time caretakers.

The possibilities are as limited as your imagination. There are so many opportunities that make ADUs a worthy investment.

Cost & Time To Build an ADU

Building times for residential homes can take up to 2 years to build, but the start-to-finish process time for ADUs is significantly less. At Adore Homes, your install time can be as little as 8-14 weeks from the time of your initial deposit. An ADU cost depends on several variables, including location, designer and manufacturer, and lot conditions. In the Bay Area, ADUs can cost anywhere between $250-$500 per square foot. However, at ADU, we cut down the costs by building off-site and installing later, saving you hassle and money. We also have a variety of different financing options so you can find the best solution for you and your ADU.

Our Process

Let’s discuss the Adore Homes process. The first step is to decide which model is best for you and then nail down your design details. We offer a variety of modern, sleek, and efficient designs that have been created by one of the Bay area’s renowned designers. We’ve done extensive research on what makes an optimal design and what our buyers want in a unit.  All of our units are built with high standards and comply with strict building codes. Our experts will provide excellent finishes, fixtures, and appliances to make your investment worth it. Plus, we can get your whole design squared away in just one day. The next step after narrowing down your unit design and design details is to get the required permits. At Adore Homes, we know all about the local permitting process, and we have strong relationships with various cities. During the permit acquiring phase, you can sit back and relax – we will handle all the details. As soon as we obtain the proper building permits, Adore Homes will start the build process in our network of reputable factories. This is the key to an affordable and mistake-free process. Because we build away from your home, the possibility of delays and injuries is almost eliminated.  Owners looking for ADU solutions in San Franciso love this because it’s seamless for you and neighbors, and you don’t have to live through loud and annoying construction. In parallel to this process, we’ll make sure your property is ready for installation. We’ll quickly lay the foundation and create any necessary trenching. Other companies drag this part of the process out for weeks and weeks.  When everything is finished, we will deliver your custom Adore Home to your home and have it fully installed within two days. Once we finish installing, you’re ready to start setting up for occupancy!

Why Adore Homes Is The Investment You’ve Been Looking For

Adore Homes are an excellent investment for a variety of reasons. First, when you choose to purchase an ADU from us, you’re getting a value that pays for itself in basically no time at all. The annual return on your investment is why many people choose our high quality and custom made units. We can help you add value to your property, secure rental income, and bring in some positive cash flow. Maybe you’re not in it for the monthly payment, but instead, just need some extra living space and provide a solution for your family.  Plus, we have a plethora of financing options to help make the process seamless.

  • Let your tenant pay for your Adore by using financing. For as little as $600 per month, you can get a custom-built ADU using our financing solutions.
  • Home Equity Line Of Credit (HELOC)
  • Refinance Your Existing Mortgage
  • New Loan

Have questions about how our process works and how we can help you secure financing on a beautiful dwelling unit right on your property? Reach out to us today and let us show why an ADU in San Francisco is an excellent investment.


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