Accessory Dwelling Units (ADU's), have become a very hot topic in California. An ADU is basically a second unit placed on the same lot as your primary residence. We recently had the pleasure of having John Arendsen of Crest Backyard Homes give us an overview of ADU's on our ActiveRain Zoom meeting. His company specializes in placing manufactured homes in client's backyards. John's presentation covered many topics.
ADU's offer a relatively inexpensive way to increase the number of housing units in California, a state that is in dire need of more housing units. California has even recently made it easier to add ADU's to your property streamlingin the process.
ADU's can also be used for child care options, to house care givers or family members and they can be rented to supplement the income of the homeowner. Even though we are in the midst of the pandemic, Mr. Ardensen says their business was way up this past year. He has been busier this past year than he has been in the last ten years. There are just so many good reasons to consider adding ADU's in California. I imagine that goes for most of the country.
Mr. Arendsen says there are several steps and considerations for adding a second unit to your property.
- If there is a septic tank, options need to be explored for utilizing it or even moving it.
- Options need to be explored for utilizing or upgrading current utilities, such as electric, gas, water and sewer.
- The type of build has to be determined, as well as, determining the best architectural style for the area. Some HOA's have requirements that homeowners have to follow.
- The amount of area the primary and secondary unit will cover of the total land has to be considered. There are coverage limits and setbacks from property lines that need to be considered.
- The estimated start day needs to be determined.
- The length of the project needs to be considered. Mr. Arendsen says that in a perfect world, most projects using a manufactured home could be completed in about 4-12 weeks from the issuance of permit. Getting the permit can be an issue, though. County staffs and hours have been cut due to the pandemic. The permit is the unknown and can take time (2 to 6 months). Once the permit is obtained, the manufacturing of the second unit can begin. (Note-timelines have been corrected, see John Arendsen's comments below for a more thorough explanation)
- The overall budget of the project needs to be determined and evaluated. Does the project make sense monetarily?
- How will the project be paid for and will a loan be needed? There are lenders that specialize in these type of projects. Loan Depot is one of them.
Crest Backyard Homes can help homeowners in San Diego every step of the way.
I believe ADU's are going to continue to gain in popularity. California, in particular, needs many more housing options. Our population is aging. Senior housing is very expensive. Homeowners are looking for extra income. There are just so many reasons these second units make sense.
Thank you John DL Arendsen for such a thorough presentation. I hope I have expressed your presentation well. You are definitely a great example of the value our weekly Zoom calls bring our ActiveRain members.
Thank you also to Jeff Dowler, CRS and Debe Maxwell, CRS for hosting this month's ActiveRain Challenge. It's a great way to showcase all of the great information that we get in our Zoom meetings from week to week. I also love getting to see the faces of so many ActiveRain members that I have only met via the written word. Debe, you run the meetings very well and I am looking forward to next Tuesday.
ActiveRain members, if you have not joined us, come visit us next Tuesday, the 12th. It will feature Ken Jones discussing Podcast tips. I think you will really enjoy it!
Kathy Streib, I hope you do not mind, but I borrowed your link to our next meeting Thank you!
Here is the link to each Zoom meeting
11:00 a.m. Pacific
12:00 p.m. Mountain
1:00 p.m. Central
2:00 p.m. Eastern time
Raymond Henson, SRES, GRI, e-Pro
3412 Babson Drive
Elk Grove, CA 95758