All Forum Posts by: John A Murray

Best of wishes on this venture. I think your GC quote is a little low? What does the 60k cover? Make sure it is clearly written out. So, just to give you a comparison and range. We've had GC quote us from 160k to 300k for a 1200 sq ft 3 BD 2 BA detached ADU. if that 60k is legit and it ms clearly written out that's how much it's going cost, that's great. Just confirm that you get what you're paying for.

I have two ADU's close by. One is a garage conversion, with 200sf added on, "builder quality" finish, for $57K. It's nice and clean. The owner and his Dad did some of the finish work, like David M. did. It's a very nice unit, with quality appliances, mini-ductless air/heat, tankless w/h, but prefab stall shower and Home Depot sinks, cabinets/tops, windows-doors etc. Perfect for a rental.

The other is all new construction 700 sf, "custom quality", for $180k. Lot's of tile, custom bathroom/kitchen, top of the line appliances etc. It's for their Dad to retire to shortly. They went overboard, in my opinion, being novices at this. Every time their contractor suggested an upgrade they went for it. Fancy for a rental.

Then you see David M.'s at $36k for his conversion, builder quality finish and he did some of the work. He didn't spend a bunch on any frills but a clean functional and perfect rental "finish". This with the $6k developer impact fees.

1 Vote

Jim I would find a reputable local contractor and get him out to have a look and see what he says about your garage-conversion. I'm sure you realize that the county et al will need to get a visual so things will have to be opened up eventually, but I would get professional advice before I did anything.

Having seen various garage conversions, and the probability that an appraisal won't give a fair value I would say to keep it all nice but very simple if you plan to rent it out and possibly sell/refi in the near future. If it's for a family member that's a different story.

0 Votes

Los Angeles County, California

Originally posted by @Raul Joey Lopez:

@Chris Miller What area are you located in? And wow. That's a lot more than I anticipated. I do have a contractor buddy that said he did a similar space more like 500 sq ft for about $60k very bare bones but still aesthetically pleasing. I'm looking at doing some of the work on my own really simple stuff to save.

In my area I don't think I could rent it our for more than $1700. I'm in North Long Beach but what do I know. Not much really lol That's why I'm here.

Raul a gentleman here from Santa Maria converted his garage for $37k doing some of the work himself. A neighbor by me (near Cal State Long Beach) spent $54k, and he added on 200 sf to his garage. Another neighbor built one from the ground up for $180k. It's all over the place.

On 1/1/20 the BS Long Beach development impact fees charged, roughly $5k for an ADU under 750sf, go away but solar power is required for around the same amount after tax credit.

We are lucky not to be serviced by the LADWP because if your power lines are over or close to the structure you are out of luck.SCE has no problem for now at least. My thought would be to get going with the permit as soon as possible after the first of 2020 before any new costly plans are put in place.

0 Votes

Portland, Oregon

Originally posted by @Robert Geiser:

Completely new to real estate. Long time pod cast listener (which changed my life) first time posting on the forums today. So earlier this year I purchased my first property in Southern California (where I live). It has an un-permitted ADU (granny flat) aka garage conversion.

Robert I am new to the ADU but have done lots of research. Not sure if it's SB 13 or one of the Assembly Bills that affects non-permitted existing ADU's so you should find out which and understand the entire contents. Obviously you have to deal with the city to get it permitted, but which ever bill it was has language that protects you in your situation. If I were you I would get a contractor to look over your ADU to see just where you stand. I would wait until I know what's up before I get the city involved ie inspection on site. Then you're subject to their program to bring to code. Best of luck!

Jeez did someone rat on you? That sucks.

Now what am I missing out on by not listening to many podcasts? No politics please.

0 Votes

Originally posted by @David Maldonado:

Originally posted by @Ben Aragon:

@David Maldonado Thanks for sharing this new update in ADU rules!

I have started working with architect on my LA southbay rental to convert a detached garage. Since you have 488 sqft, I'm assuming that you have extended the existing (typically 400 sf) garage? Does entire foundation needs to be replaced on these conversions or is the existing garage foundation enough? If it does need replacing, will it be cheaper to build on top and have a raised foundation instead? Thanks for any input..

No I didn't have to extend. It was a 2 car garage. A little bigger than normal I guess lol. The foundation did not have to be replaced. I didn't replace it. I didn't think the cost to level it with the house was worth it. Plus the ceilings look like their about 8in higher from the house!

David what did you do with the foundation where the big garage door sat? Cut out enough of the old floor, dig and pour a raised foundation?

0 Votes

Originally posted by @David Maldonado:

Originally posted by @John A Murray:

Originally posted by @Hobie Day:

@David Maldonado very informative thread you started, thanks!! I just got into my first house hack, it's a SFR with a separate 886 sq ft ADU (2 bed, 3 bath) that was converted from a pool house prior to my purchase. I am now considering filling the pool that's next to the ADU and either extending the ADU 314 sq ft (max 1200 sq ft) or adding a JADU (didn't consider this option until reading this post) but I'm wondering if you, or anyone on this thread, has any experience filling and building on top of pools? I have a GC coming out next week to provide estimates but am looking to get multiple opinions/advice

I would want to make sure that the anticipated rental income increase would justify all the expense to add 300 sf. When you say adding a JADU what exactly do you mean?

A JADU is usually an existing space (the garage) converted into a separate living unit but is 500 sq feet or less) the bill allows a JADU and an ADU (above 500 sq ft)

Hobie when you say adding a JADU do you mean converting a bedroom in the main house? Also, demo'ing a pool is pretty expensive. You can't just fill it in. A neighbor paid a bit over $13,000 to have his pool broken up and concrete/gunite/plaster hauled away. Maybe best to just convert a room to a JADU and leave the ADU as-is?

David I think you have it backwards; garages are typically converted into ADU's and bedrooms in the main house are used for JADU's.

0 Votes

Originally posted by @Nick Hu:

In SB-13, it states: "this bill, until January 1, 2025, would instead prohibit a local agency from imposing an owner-occupant requirement as described above". So for ADU developed between 1/1/20 to 1/1/25, does it mean it will not require owner-occupancy even after 1/1/25 (which means these properties are exempt from owner-occupancy completely), or they are exempt from owner-occupancy before 1/1/25, but might still require owner-occupancy after 1/1/25?

I was told it is a trial period to prove that property investors won't turn SFR neighborhoods into multi unit. The claim is that it didn't expand in Portland so they feel there will be no problem and they will extend it indefinitely. But no guarantee that it won't change to require own/occ.

0 Votes

Originally posted by @Hobie Day:

I would want to make sure that the anticipated rental income increase would justify all the expense to add 300 sf. When you say adding a JADU what exactly do you mean?

0 Votes

Jonathan,

Converting to a JADU would cost much less than $20-$50k. A JADU is much simpler than an ADU; basically just a bedroom with an efficiency kitchen, bathroom access and access to the main interior. I don't think you have to have it approved-inspected etc the same degree as you would to go ADU.

An ADU would require adding a full kitchen, and possibly more involved building nomenclature etc. Not to mention any fees and solar powering.

My advice is to first figure out what you would need to do to make it comply with building codes. I wouldn't involve the city until you know what you're dealing with.

I would think you could get decent rent as a JADU without all the expensive hoops to jump through.

0 Votes

San Francisco, California

All Forum Posts by: John A Murray

John A Murray has started 6 posts and replied 142 times.

Post: Partnership newbie! ADU investing

Post: ADU- LA County incorporated

Post: ADU Construction Costs

Post: California garage conversion (ADU) SB-13

Post: California ADU business

Post: California ADU business

Post: California ADU business

Post: California ADU business

Post: California ADU business

Post: Potential ADU/Cost? - Pacifica, CA