Accessory Dwelling Units (ADUs) are becoming popular in Southern California, offering additional living space or rental income. However, the cost of building an ADU in San Diego can vary based on custom additions and square footage. It’s also important to consider factors like zoning laws, parking requirements, and financing options before building an ADU in San Diego.
Benefits of Building an ADU in San Diego
With a population of 1.3m people, San Diego is the most southwest city of the Mexican American border. It is known as the birthplace of California since it was the landing place of the European settlers. It is most well-known for its endless miles of beautiful beaches and relaxed lifestyle.
Many property owners in San Diego choose to build an ADU for one of the following reasons:
- Add additional space for a family (kids moving home or aging parents moving closer to family.
- Rental Income – adding an ADU in your backyard is an excellent opportunity to create rental property to generate income.
An accessory dwelling unit, granny flat, or “backyard home” is a legal and regulatory term for a secondary house that shares the building lot of a larger, primary home. The unit cannot be bought or sold separately, but they are often used to provide additional income through rent or to house a family member. We build our ADUs with prefabricated construction to save time and money for clients. As ADU builders, we consider prefabricated construction to be less disruptive to homeowners and neighborhoods as we can typically complete a project onsite in a few weeks once the home is built in our factory.
How Much Does an ADU Cost in San Diego?
The San Diego ADU cost can start at $145,000 for a Tiny Home ADU or $ 155,000 for a Prefabricated Home ADU and goes up from there depending on custom additions and square footage. You do have the option of financing a prefab ADU in San Diego but many will pay cash. If cash is not an option ADU financing is typically achieved through:
- A home equity line of credit.
- Cash out refinance of the primary residence.
- A home renovation loan that can be used to build a prefabricated ADU.
- Tiny home financing that is available through several national banks.
The monthly mortgage cost for the ADU will typically be significantly less than the rental income or the cost for family members to rent a comparable property. The bottom line is that the ADU should generate positive cash flow or provide livable space for a family member at less than a comparable rental in San Diego.
San Diego Facts:
- Population: 1,423,851
- County: San Diego County
San Diego is the most southwest city of the Mexican American border. It is known as the birthplace of California since it was the landing place of the European settlers. It is most well-known for its endless miles of beautiful beaches and relaxed lifestyle.
San Diego ADU Zoning Regulations and Rules
State laws have made it easier to build an ADU in every city in California. However, there are rules and regulations in place that should be considered when determining the cost of ADUs in San Diego:
- The City of San Diego ADU Ordinance states you can build an ADU from 400 sf to 1,200 sf.
- ADUs can be built on single-family or multifamily residential zoned lots. ADUs are allowed in all residential zones.
- The City of San Diego ADU requirements for parking have been relaxed. Setback Side and Rear have been shrunk to 4’.
- Permit Fees have been reduced and in some cases waived.
The bottom line is it’s a good time to add extra space as laws are in your favor. The San Diego ADU laws have been changed recently to allow more ADU’s to be built in Southern California. Contact us to request more information about Pre-approved ADU plans by The City of San Diego.
Frequently Asked Questions: San Diego ADUs
If you still have questions about the cost to build an ADU in San Diego, check out the answers to our most frequently asked questions below.
Can a Tiny Home be an ADU in San Diego?
Yes it can!!! The majority of the clients we have choose to build an ADU with a Manufactured Home to get more square footage and better pricing.
What is the difference between a Tiny Home vs. an ADU in San Diego?
Sometimes Nothing! A tiny home aka a park model is technically an RV that cannot exceed 400 sf. Many cities, like San Diego and Los Angeles have approved Tiny Homes. Many of the Tiny Homes we offer are built to both ANSI and CBC requirements to satisfy local building officials – PLUS we feel it provides a better-built home. We have many models that include lofts and porches that are not included in the livable space but extend the actual usable space.
Why Choose a Prefabricated ADU in San Diego?
Prefab ADUs and Tiny Homes are built in a factory by a team that works together daily. Fabricating accessory dwelling units in a factory makes building your ADU in San Diego more cost and time-efficient. Teamwork, bulk buying power, and smart designs will save time and money!
Why Choose USModular Inc to Build Your ADU in San Diego?
The Team at USModular, Inc. is unique in the industry as we are general contractors, ADU contractors in San Diego, licensed Manufactured Home Manufacturers, Modular Home Dealers, Park Model/Tiny Home dealers, and a licensed Modular Home Factory. Our team is led by 2nd generation contractors and our team has a combined experience of over 100+ years in the Prefabricated Construction industry. We are a ONE STOP SHOP – we handle everything: design, permits, site construction, home fabrication, transportation, installation, utility connections, and then we hand you the keys.
Contact our prefab home specialists or call (951) 679-9907 x 1 for more information about ADUs in San Diego.
