Converting garage to ADU

[Paul Xiong]

I'm currently planning to convert a detached garage on my rental property into an ADU. I have a few questions regarding the conversion cost and how to rental it out as a separate unit.

My goal is to use the ADU for mid-term or long term rental, the same as the main unit. The detached garage has 660 sq ft. I can do this either a 1-bedroom or 2-bedroom unit. It has electricity and a gas heater but no plumbing. I plan to add separate meters for electricity, water, and gas. I have a bid for doing everything for $95K including everything plus appliance. With this price, I don't need to do anything, which is nice, but I feel this is way overpriced and beyond my $60K budget. If you have done something similar recently in surrounding area, can you share your experience? what is a comfortable budget for this project?

I also try to figure out, if rent this out as an independent unit for mid to long term, how to deal with mailing, garbage collection, and internet?  Can you gurus out there share some insights?

Thanks!