Legalizing unpermitted unit and rewiring - insight needed

[David Lam]

I'm in the process of legalizing an unpermitted addition to my house. I had a home inspector come and say that the entire house will need to be rewired as it was done incorrectly with knob and tube wiring. Also, the bathroom walls have mold so I will need to remedy that. I don't know where to start. Should I submit both permits for legalizing the unpermitted unit and knob and tube wiring at the same time? Or fix the bathroom first, then rewire the house, and then finally the permit for legalizing the ADU? This is in the bay area.

Also, would love to hear your experience of pulling permits, rewiring your house, costs, and how long it took. Thanks!