All Forum Posts by: David Yee

Hello! I have 7,200 sq ft lot. I have a ~1,000 sq ft main house and a detached ADU that is also about 1,000 sq ft. Is it possible for me to split my lot? Could I sell off the ADU or main house separately? Thank you!

Btw, I live in Poway, Ca which is part of San Diego county

Look at SB9. It requires 3 years of OO, but if you are not destroying a rental unit it could work for you.

Having a mortgage presents an additional hurdle.

I have considered doing this, but time constraints. If you proceed I would like to leverage your lessons learned.

Good luck

0 Votes

San Diego, California

Thank you Dan?!

Quote from @Dan H.:

Quote from @David Yee:

Btw, I live in Poway, Ca which is part of San Diego county

Look at SB9. It requires 3 years of OO, but if you are not destroying a rental unit it could work for you.

Having a mortgage presents an additional hurdle.

I have considered doing this, but time constraints. If you proceed I would like to leverage your lessons learned.

Good luck

0 Votes

San Diego, California

Quote from @Dan H.:

Quote from @David Yee:

Btw, I live in Poway, Ca which is part of San Diego county

Look at SB9. It requires 3 years of OO, but if you are not destroying a rental unit it could work for you.

Having a mortgage presents an additional hurdle.

I have considered doing this, but time constraints. If you proceed I would like to leverage your lessons learned.

Good luck

0 Votes

San Diego, California

Thank you Henry

0 Votes

San Diego, California

There is also AB-1033. That might give us some ability to sell our ADUs separately

0 Votes

San Diego, California

Btw, I live in Poway, Ca which is part of San Diego county

0 Votes

San Diego, California

Quote from @Brandon Croucier:

Absolutely!

You can refinance your HELOAN.

Thank you Brandon. What factors do you think I should consider to determine if it makes sense? Fees, closing costs, etc. thank you!

0 Votes

San Diego, California

Hello! I have a $320k HELOAN at 9.125% that I used to construct an ADU in my backyard. I took the loan out about a year ago when rates were high. I'm wondering if there is any way that I can refinance to a lower monthly payment in a way that makes sense. The property has appreciated as a result of constructing the ADU.

Thank you in advance for your help!

1 Vote

San Diego, California

Thank you all for your help! These insights are very useful

0 Votes

San Diego, California

Quote from @Dan H.:

Quote from @David Yee:

Hello! I currently live in a 1,000 sq ft home on a 7,000 sq ft lot in San Diego county. I am building a 1,000 sq. ft ADU in my backyard. The appraiser from the bank lending me the money for the project said my home would increase in value from $850k to $1.1 million once the ADU is put in. Does this sound correct? I thought my property would increase in value more than that; especially if an investor were to buy it.

Thank you in advance!

This is a much higher valuation than I typically am hearing about in single family zoned areas of San Diego. $250k valuation would be the highest I would have heard about on an ADU addition in single family zoned area for a refi appraisal. This likely would come close to the cost of a ground up 3/2 ADU addition which is rare.

It still would not alleviate the other issues with an ADU addition such as revenue out long (often many months) before any incoming revenue, the worse financing associated with the ADU, that it likely makes your primary a rent controlled unit, that it detracts from the primary even if it is just yard, that adding an ADU addition is work (likely more work than a BRRRR with much lower returns), etc

Can you post the valuation you receive when you receive the appraisal?

Good luck.

Hello. The valuation is only for $37k. However, I'm really interested in what an investor would be willing to pay for it given they can rent to 2 different families

0 Votes

San Diego, California

All Forum Posts by: David Yee

David Yee has started 17 posts and replied 68 times.

Post: Can I split my lot?

Post: Can I split my lot?

Post: Can I split my lot?

Post: Can I split my lot?

Post: Can I split my lot?

Post: Can I split my lot?

Post: Can I refinance my HELOAN

Post: Can I refinance my HELOAN

Post: How much should my ADU increase the value of my property

Post: How much should my ADU increase the value of my property