Is this crazy Idea?

Question

Hello BP community! I watched a video of some folks that makes pre-fabricated homes and deliver them... I have a property with a quite large lot (1/2 an acre in Atlanta) and I'm seriously thinking about building an ADU to rent furnished for 30+ days stays....

Is a prefab home something non permanent that does not require permits? something like an RV that you just park and rent? do I need permits? can I get crazy and fill the place with those? (ADU "code" says that it has to be on the back of the property, but is this pre-fab thing more like a vehicle than a building? can I have more than one? I have a massive front yard, can I put one on the front?)... sorry my mind went happy :)

I truly welcome your spears on this idea....

video:

company webpage: www.boxabl.com

Joe Villeneuve · Answer

Yes, and no.  Pre-fab just refers to the construction process.  This process results in many different end results, everything from a mobile home (as you described above) to a permanent that's built the exact same way a "normal" home is built.  The only differences are it's built off site, and the construction is better quality (or worse, depends on the company).

These homes can be production homes, or custom.  They can be built with all the walls built in sections, the entire building put together in large "box" sections (finishes and all), to anywhere in between.  They are usually very energy efficient too.

Jeff Copeland · Answer

The answer to most of your questions will be determined by Zoning.

The zoning for your parcel will determine:

1. Whether you can have an ADU.

2. What size it can be in relation to the primary residence.

3. Where it can be located on your parcel (front yard extremely unlikely).

4. How many you can have, if any (there are likely density and impermeable surface area limits).

5. What it can be constructed of (for example, some municipalities require an ADU to be of the same construction type, look, and feel as the primary residence).

And yes, it will absolutely require permits - Even if the building didn't for some reason (which is highly unlikely), you would still need water, sewer, and electrical connections at a minimum.

Chris Davidson · Answer

@Nicolas Londono prefab homes are just pre fabricated before being brought on site. You will still have to get it approved with city/ county and permitted. Usually the permit process is easier as some of the permitting may be completed during construction at the factory.

I would recommend doing what fits for the neighborhood. If you put up a tiny home in an area where those are not seen you will not get the return when you go to sell vs if you do something more inline with your market. Check out your zoning laws and see what is possible, and if it isn't easily understandable give a call to the zoning department and ask some questions to see what is possible.

Best of luck!

Carlos Ptriawan · Answer

well it depends on jurisdiction, in hawaii, if that "ADU" has wheel/tire then you could have it even rented as airbnb because it's not a house. But in CA it's not allowed.Second, whether it's really making sense or not, it depends on the economical factor. If building cost persqft in your area is lower than ADU cost to build , especially in midwest, then you are actually losing money. You may also want to check your competitor for 30+ day stay so your rent number is competitive.

Patricia Steiner · Answer

It's a bigger process than you think.  Depending on the market, it can be a real headache. Having said that, there are some great designs being offered that make an ADU less ADU-ish and an attractive dwelling option.  And, "container housing" is being launched by many municipalities in order to provide affordable and subsidized housing.  St. Petersburg, Florida is taking refurbished shipping containers and creating stylish (never a word I thought I would use with the word shipping container) two story apartments; take a look:

https://ilovetheburg.com/shipp...

What strikes me as an opportunity for investors is this:  "A pre-fabricated shipping container house in Saint Petersburg is estimated to be around $15,000 to $50,000. The price may vary or change depending on the size of the house and the design. Some big Saint Petersburg shipping container houses produced by manufacturers can go as high as $250,000."  The interest in these 'unique' houses has extended to college students, young professionals, and even retirees.

Kind of shocked and awed by it...

Jaron Walling · Answer

@Nicolas Londono When ever I see the term "tiny house" I start thinking trends. Outside the laws and regulations in Atlanta for these you need to consider the real costs to build one. I watch way too much YouTube and have come to the conclusion tiny houses and shipping home actually suck for living. Personally I would never build one unless it was a remote STR strategy or something really unique $$$. Even then I don't know if I could pull the trigger. From what I've gathered you're building the base (foundation, plumbing, electrical) just to install an inferior house on top. I could spend a bit more and build a proper structure.

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