All Forum Posts by: Kevin Chen

A homeowner in San Jose had good success with figure.com in getting a nice appraisal on their ADU for a HELOC after a project. It may be dependent in how the additional square footage is recorded but a helpful option as @Dan H. mentioned. Here's the thread:

https://www.biggerpockets.com/...

@Calvin Kwan - the ADU regs should supersede Oakland's zoning so you should be in good shape! The opposite sequencing of the ADU then driveway (or if you permit them together) would be the case that could cause issues with Oakland.

@Calvin Kwan - we're building and permitting a bunch of custom, stick-built ADUs across the Bay Area right now. Generally with impervious coverage / lot coverage ratios, the ADU is exempt from these calcs as long as it's under 800 sq ft as per the HCD (e.g. the ADU can push you over the threshold and still be permitted). That said, unless Oakland explicitly says so (like Palo Alto), the ADU is still counted in those calcs meaning you may have challenges with the expanded driveway or backyard landscaping. An idea is doing some pavers in the backyard, which could be in the gray area of impervious area calcs for Oakland.

Second what @Ori Skloot mentions about the delays in getting the separate meters. Most of our customers will use one meter and avoid the process of getting a separate meter for the ADU and use a "utilities included" rental rate.

Re: financing, we see a lot of cash-out refis, HELOCs in terms of financing. Fewer construction loans these days during COVID. 

Also wanted to pass along an interesting option of refi'ing after construction w/ boosted home value as well from a BP member in San Jose. Looks like Figure (new school lender) assigns a solid value to ADUs when most lenders haven't so far - https://www.biggerpockets.com/...

Hey 

@Vi Nguyen - I'd check with the building department to see if they might be able to give you a quick sense on what needs to be brought up to code from the permitted structures - that's usually what is being checked as ADUs are being up-permitted from just additional structures on a property. In general, an ADU is just an additional, self-contained living space with at least a kitchen and bathroom.

In terms of the cost of the components to bring the ADU up to code, you'd have to check with a general contractor to give you a cost assessment on that.

Based on what we've seen, second what @Dan H. is saying. Most garage conversions can be permitted as an ADU (with proper kitchen, bathroom, entry/egress, etc.). Up-permitting the unpermitted space just depends on filling the right info for permitting and doing any work (if needed) to bring it up to code. Good luck on this project!

Hey Misty - guessing your 460 sq ft accessory structure is a garage? If so, the HCD released some clarification recently that you can make it a JADU - see Pg 16 of the latest HCD ADU handbook

"A JADU may be created on a lot zoned for single-family residences with one primary dwelling. The
JADU may be created within the walls of the proposed or existing single-family residence, including
attached garages, as attached garages are considered within the walls of the existing single-family residence."

Fwiw, we've had custom, stick-built projects for cost-efficient homeowners go for $260-$275/ sq ft and 3-5 months of construction. End to end, 7-9 months depending on speed of design and permitting is reasonable with a good GC who moves quickly and a well managed project.

@Ismael Martinez - not sure if it's required to build an ADU in San Fernando, but a bunch of cities in the Bay Area require a soils report from a Geotechnical Engineer for new construction like ADUs. Would be curious to get their take on building inside / on top of the fill from removing the pool.

@Emil Pinlac - we're based on the Bay Area so prices may be a bit lower in Sacramento but we've done a few projects in a similar price range as @Whitney Hill mentions - $150-200K of project costs for ADUs ranging from 500-750 sq ft. With us, the project cost includes in-house design fees, permit expediting, construction costs w/ a licensed GC, and structural/T24 survey consultants. Keep in mind some GCs include finishes & appliances while others don't. The figures above include LG/GE stainless steel appliances, quartz countertops, engineered floors (don't do laminate!), etc. but we're able to get & pass through some discounts at our volume.

Re: garages, @Whitney Hill is on the mark again - roughly $90K (includes construction & design and excludes permit costs) is reasonable. 

We're not in Sacramento yet, but feel free to DM me and I'd be glad to chat through your project and see if I can be helpful as a resource.