ADU Expert Explains How to Build Your First ADU (Accessory Dwelling Unit) in 2023!

Join us as an ADU expert walks you through the essential steps and considerations for successfully building your first Accessory Dwelling Unit (ADU). Gain valuable insights, practical tips, and expert advice to navigate what can sometimes be a tricky process.
0:00 - Intro
1:13 - What is an ADU?
2:18 - The Main Reason to Build an ADU
3:44 - How to Get Started
9:58 - Financing Your ADU
11:03 - How long does it take to build an ADU?
13:16 - Different Types of ADU Builds
17:21 - Can you build an ADU on top of your garage?
21:53 - How much are city fees going to cost?
24:05 - Easy Preset ADU Plans
25:53 - Why People Don't Like ADU's
29:38 - Is it Possible to Airbnb an ADU?
33:03 - Final Takeaways
Joseph Peretz
/ @josephperetz
neobuildersadu.com
josephperetz.com
#realestateinvesting #realestate #ADU
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Juan is a Licensed California Real Estate Broker that has acquired his Certified Commercial Investment Member (CCIM) designation and a Real Estate Investor who is dedicated to helping people build wealth and financial independence through real estate investing.
Juan specializes in selling multifamily apartment units as well as residential properties. He prides himself in locating value-added properties that maximize the client’s investment yields. Juan is a detail-oriented entrepreneur.
Today he handles everything from finding, funding, designing, managing, and selling investment properties. His diverse experience in commercial and multifamily real estate allows him to develop and navigate a wide range of projects.
BRE 01417642​​​
www.SageREGroup.com
Follow me on social media:
Instagram: / multifamilylongbeach
Facebook: / sageregroup
LinkedIn: / juanhuizar-sagerealestate

[@JosephPeretz]

Thank you, Juan! I had a blast with you. Can't wait to teach more homeowners about ADU's!

[@SageRealEstate]

Thank you for being such a knowledgeable guest. As you can see from the views our loyal subscribers love this video. Let's plan to do another video soon. Call me ☎️

[@lorenazaragoza6411]

Just finished my adu. Some ways to save on the build: design around a wet wall-all plumbing in a line to simplify it- bathroom, dish washer laundry, kitchen sink and water heater. I have a shared laundry room between the main home and the adu and saved that way as well!

[@SageRealEstate]

Great tip!

[@BusinessSuccessCode]

You guys killed it. One of the best ADU discussions and lessons I've seen. 👍🏽👍🏽👍🏽

[@SageRealEstate]

Thank you for your support!

[@JosephPeretz]

I’m happy you enjoyed

[@susydirksen3952]

😮

[@susydirksen3952]

😮

[@davidr4523]

Great video. Very informative on ADU cost, permits, construction duration, utilities and potential appreciation.

[@SageRealEstate]

Glad you enjoyed it! We will have Joseph back soon for another interview.

[@johnnyb33good21]

Thank you so much for having Joseph from Neo Builders on to talk about ADU's. Gives me more confidence and a better understanding of purchasing the right property to add more units

[@SageRealEstate]

Glad you enjoyed this video. Thanks for the feedback.

[@Basnican]

Thank you for this video. Its very informative and gives great insight into the work that goes into an ADU. I live in Dallas and Im gathering information to convert my 600 sq ft garage into a living space.

[@lorenazaragoza6411]

Just finished my adu in Central Valley California. Garage conversion with addition=712sq ft. Master bedroom with second room for work space, full bathroom, open concept kitchen with full size appliances. Listed it as mid term rental and moved in my first tenant right away . Came out about $130k for build, permits, impact fees and plans

[@SageRealEstate]

That is a great price per square foot that you paid. Very good investment. Fun fact I'm originally from the Central Valley, Lemoore.

[@Alwayslovn]

Share you contractor information.

[@viethuynh6808]

I had problems finding housing since I only make less than 20k a year in central California. My brother house had a big backyard and Unused land. He built A new construction ADU and it solved my housing situation. It cost about $120k total. It added $100k to the value of his existing property value.

[@goodevibe]

Hey guys thanks so much for this information. I have just started the process as in, just learned about the word ADU, today. The ADU is the perfect solution to my current scenario . I live in Houston, TX and I am sure there is differences in the numbers and other specifics but this video was the deciding factor in what I needed to do with my current property and needs. Thanks again.

[@SageRealEstate]

Best of luck 🤞🏼

[@EmileModesitt]

Very helpful, thanks!

[@SageRealEstate]

You're welcome!

[@MaryCan2020]

Thanks gentleman you both speak very well and both have a chock full of information. Your video is the BEST ADU video online I have seen. I just subscribed to your channel and will have my family watch it too. Thanks Joseph/NEO builders (wish you worked in my area) and Sage Real estate. Thank you!

[@SageRealEstate]

Wow, thanks!

[@jarnailgrewal1796]

Explanation is in very simple words easy to understand

[@SageRealEstate]

Glad you liked it

[@germaninteriano2253]

What a Great video ! Love it

[@SageRealEstate]

Glad you enjoyed it!

[@__greg__]

Great info, ty 👍🏽

[@JosephPeretz]

Thanks a ton!

[@blees123]

Thank you, while the information was mainly targeting California, It was great understanding the concepts, awesome video.

[@SageRealEstate]

Glad it was helpful!

[@nameunknown007]

Great video with lots of info, thanks

[@SageRealEstate]

Glad you enjoyed it!

[@fdc4productions54]

This channel is a hidden GEM, I just subscribed

[@SageRealEstate]

Thanks for subscribing 🙏

[@DCmite1]

biggest thing you can do to save money is ditch a general contracter and be ready to get your hands dirty. Just finished up my 700 sq ft adu for less than 70k finishing included.

[@sr9253]

What city are you in?

[@AR-nh1dv]

What did you do yourself? I’m intrigued.

[@luisviramontes9368]

Lucky, wish my mind had the know how to build my own projects. Sadly the talent gods only made me good at literature and history.

[@juanvela86]

70k 😂 including blueprints ?? City permits water district Gas Electrical Concrete footing stucco etc Which city???

[@DCmite1]

@@juanvela86 Reseda...did most of the work myself. Subbed out the concrete work (stucco as well) and framing. No gas all electric 200 amp panel underground service all trenching for sewer and electric also done by me.

[@Alwayslovn]

These guys are great.

[@SageRealEstate]

Thank you so much

[@bkd-newyork2256]

very good show.. thx

[@SageRealEstate]

Glad you enjoyed it

[@mauihomebuyers]

Dude 6 months to build an ADU 🤯🤯🤯 I’m so jealous! We’ve been working on our ADU for 2 years with no end in sight! Maui’s permit system is absolutely horrible. We’ve been waiting for permits for 1 year, and hope to be approved in the next few months - and that’s only bc I’m a full time real estate investor so I have some connections. For the average person 2-3 years for permits is a good target timeline.

[@SageRealEstate]

Sorry to hear about the long delay. I guess it all depends in the state and city you're located in.

[@Dan-ir5cq]

Housing shortage CRISIS! This helps create affordable home for homeless essential workers.

[@JosephPeretz]

I’d like to think it finally puts housing in in the hands of all real estate owners, big or small

[@JB-yc5gc]

Great video! Can you actually build a stacked ADU with 2 separate residents?

[@SageRealEstate]

Yes you can!

[@kaythegardener]

Is it easier & cheaper to convert a double garage into an ADU or build a separate unit in the back yard? I'm envisioning a handicapped accessible for a senior parent, eg...

[@wanderfulescape773]

Today I went to a contractor and got a quote of 275k in CT for an 800sqft one story year round livable ADU. That does NOT include permits, electrical, survey, tree clearing, septic, heating etc… overpriced and I will keep shopping around for quotes. My mom wants to live on my property. But damn that’s expensive. You can buy a house already at that price. I was hoping 200k tops.

[@SageRealEstate]

I was quoted $219/square foot from someone who is not even licensed.

[@kokobean240]

Very steep 😮

[@ssoffshore5111]

I'm in CT as well. I think the only to do this reasonably is to get your hands dirty. Hiring a GC is very expensive, especially right now. The more you can DIY, the cheaper it is.

[@michaelsiebesma4535]

Are company does both affordable homes 2BR 2BR and 3BR 2BR. ALL out of light gauge steel 850 1200 1600 square feet. We are also doing ADU's out of light gauge metal. 450 550 650 square feet. 9 ft ceilings They can be finished to match the house or some all by its self. They are engineered for the specific location it's going to sit on. The frame (Bones) is assembled like an erector set. The house can be finished by a contractor or as a DIY project.

[@luisamejia1970]

I would love to build one ADU in my backyard

[@SageRealEstate]

It's a great idea 💡

[@luisamejia1970]

@@SageRealEstate do you think you can help? I’m focusing on getting my ADU build. What is involve? I’m in Hollywood FL

[@rpvitiello]

It’s obvious what the problem with housing is when it takes longer to get zoning approval than it takes to actually build a place.

[@SageRealEstate]

I agree with you. If the state wants more housing help expedite the process.

[@djcdubb]

But then people complain that there isn’t enough regulation. Take your pick.

[@DAWN001]

How much more property tax would one has to pay after building an ADU? My house is in San Bernardino county CA

[@ivypichon4089]

Can you build ADU in a lot no house?

[@louveniaaustin7535]

City of InglewoodCA is charging 4K (!) for a separate water meter! Isn't that exorbitant??

[@SageRealEstate]

ADU permit fees are expensive.

[@danielsemmens6640]

A lot of this is relative to property values in Los Angeles definitely doesn’t apply to properties beyond the Los Angeles area

[@SageRealEstate]

True. Our channel is highly focused in Southern California.

[@raeblacc19]

Which is simpler. Building an ADU in your backyard or in your basement?

[@SageRealEstate]

How big is the basement?

[@gloriamdominguez288]

For YEARS IVE BEEN WANTING TO DO THIS. LOOKING FOR A CONTRACTOR. .I LIVE IN FRESNO CA . IS IT POSSIBLE I GOT IN TOUCH WITH WESTERN HOME BUILDERS. TO BUILD ME A MOTHER INLAWS IN BACK OF MY YARD CAME UP TO ONLY 30,000

[@SageRealEstate]

Hi Gloria, I'm originally from Lemoore California. I would recommend that you find other people in the neighborhood who have built ADU and get a recommendation from their contractors that they used.

[@Worldwidetravel553]

Much cheaper, huh, my sleezy general contractor initially quoted me $150,000 for a 2/1, 750 sqft over a 2 car garage ADU. He recommended his architect, which took 2 years to create the plans, and get it permitted with the city. After the two years, it took 2 months for the general contractor to come create a contract but now he quoted us $497,000 here in Southern California. I don’t know how that is “cheaper”

[@dvk578]

So, was that a 30 minute commercial or was it an educational video?

[@SageRealEstate]

Clearly educational......views and comments don't lie. Thanks for tuning in.

[@j_aaron116]

Glossed over the financing way to fast. Need further breakdown of loan types in 2023 and projections for 2024.

[@SageRealEstate]

We hear your suggestions and have you covered in an upcoming video. Thanks

[@raineyjayy]

I'm just an lgbt lady fleeing hostility and my friend is in the same shape. I can afford to buy a home, she can't, but what if I can have a friend in a new state, a few bucks to help with the mortgage, and the increase in equity that comes from the cool cool outbuilding. We both get safety, friendship and space

[@toddwilliams5905]

Win Win, Make it happen. Good luck.

[@Khanh.Nguyen369]

Great interview. I hope Joseph charged his Karen neighbors $1000/sq ft when they started building their ADUs.

[@JokersAce0]

Yeah no duh the government didn't do the best job when the government are all in the pocket of real estate companies and are heavily engaged in the real estate market themselves. A constrained housing market is a feature not the bug.

[@Benji17175]

Awesome video. Thank you. Wife and I just purchased a home in Whittier. This has given us a better idea on how to build an ADU. 👏🏽

[@SageRealEstate]

Best of luck!

[@JosephPeretz]

Whittier is one of the biggest cities for ADUs. I see them everywhere in town