Company FAQs

Yes. As experienced real estate investors and builders in San Diego, we understand the nuances of San Diego properties—everything from local permitting regulations, the ins and outs of each jurisdiction, and even the different soils in different areas of the city.

The founders of YesADU have over 20 years of experience in real estate development, from building larger commercial projects to smaller residential builds. We have the expertise to guide you every step of the way with the scope of work, budget, financing, acquisition, design, and construction of an ADU property.

All contract work is performed under our subsidiary Belmont West Construction


An accessory dwelling unit is a secondary living space located on the same property as a larger primary residence. ADUs are often referred to as a "granny flat," "in-law suite," “casita,” or "backyard cottage." They can be either attached to the main house or detached as an independent structure. These units feature their own exterior entrance as well as a kitchen, bathroom, and utilities, providing occupants with comfort and privacy. In California, you can build an ADU as large as 1200 square feet.

ADUs have become a very popular option for San Diego homeowners. These units can serve as guest quarters for additional family members or caregivers or as a source of rental income. By increasing the amount of livable space, they also increase the value of a home. And with many California communities facing a shortage of affordable housing, ADUs provide flexible and environmentally sustainable living arrangements in urban and suburban neighborhoods.

If you own a single-family home that is in compliance with local zoning ordinances, you are eligible to build an ADU on your property. San Diego is not restrictive when it comes to setbacks and parking.

One advantage of an ADU is the potential to add significant value to your property. Exactly how much value will depend on the local market and the size and quality of the ADU. ADUs can increase property value by increasing a home’s livable space or providing rental income opportunities. Choosing the right contractor for an ADU project can help you maximize the value added to your property.

It's important to be aware of the possible tax implications involved with adding an ADU. First, an ADU can result in a higher property tax bill (the ADU will be assessed at market value as of the completion date). The local tax assessor's office can provide more information on this. Second, rental income earned from an ADU is subject to federal and state income taxes and must be reported on your income tax return. You may also be required to pay self-employment taxes if you manage the rental property. We recommend that you consult with a tax professional.

Your existing waste, sewage, and electrical capacity and local building codes will determine the specific updates needed. It is essential to consult with an experienced contractor such as YesADU to assess your property's existing infrastructure and determine any modifications that might be necessary.

A number of factors affect the overall cost of building an ADU, starting with the size and location of the unit. The choice of finishes and finishes and materials will also add to the price. In San Diego, the construction cost for an ADU ranges from $300 to $600 per square foot. In addition to the price of construction, there are also other costs to consider when building an ADU. These include permit fees, utility hookups, and landscaping. These can add $10,000 or more to the total cost of the project.

It depends on the location of the property as well as the size and quality of the ADU. But in many parts of San Diego County, an ADU can rent for well over $3,000 per month.

California law prevents a homeowners’ association from blocking an ADU build. HOAs are allowed to impose reasonable restrictions, however. Most of these have to do with aesthetic considerations—matching the look of the ADU to your existing home and adjacent homes. Keep in mind that homeowners who live in a condominium or other multi-family home in which the HOA owns the common areas and property surrounding the home may be prohibited from building an ADU.

YesADU offers a variety of standard plan templates designed to maximize rental income. But if you prefer a custom plan, we will provide design considerations for optimizing rental income, factors to consider before building, and average rental rates by location.

That depends on the complexity of the project and the local building codes. ADUs come in a variety of shapes and sizes, and YesADU has a variety of plan templates. If the ADU of your dreams requires custom design or is subject to specific zoning laws, you might need to consult with an architect with experience in ADU design. An architect can create detailed plans tailored to your needs and ensure that your ADU meets all code requirements, streamlining the permitting process and reducing potential construction issues.

Yes. You may be entitled to certain tax deductions for expenses in maintaining and renting out an ADU. These deductions include mortgage interest, insurance premiums, repairs, maintenance costs, and property management fees. And because an ADU is considered an investment property, you are also allowed to claim depreciation over 27.5 years. Again, we recommend that you consult with a tax professional.

Yes. A new ADU will be assessed at market value as of the completion date. In California, annual property tax rates on ADUs generally range from 1% to 1.5% of the construction cost. While building an ADU will increase your property taxes, it also offers tax deductions while raising your overall property value.

Even with the many benefits of an ADU, it’s important to be aware of potential drawbacks. These include the upfront cost of construction or conversion, potentially higher property taxes, privacy concerns for the primary homeowner, and potential challenges with financing. Managing an ADU as a rental property is a responsibility that requires time and effort on the part of the property owner.

ADUs offer many advantages to California homeowners. They can be used to increase a home’s livable space, accommodate additional family members or caregivers, or provide a source of rental income. All of these factors increase a home’s value, making it more attractive to potential buyers. This is especially true in states like California, where there is extremely high housing demand.

A JADU (Junior Accessory Dwelling Unit) is a unit no larger than 500 square feet that is contained within a single-family residence. JADUs can be used as rental unit for extra income or to house a family member. A JADU must have its own exterior access, a bathroom, and an efficiency kitchen.

In San Diego, you can build an ADU above your garage with no setback requirements. When considering an ADU on top of your garage, you’ll need to ensure that your project is safe and feasible. It will need to comply with the Building Code and Fire Code and structural integrity requirements. You'll also need to address utilities like water, electricity, and sewage for the new space. Be prepared for additional permits and inspections.

Adding an ADU does not affect the taxes on the primary residence. The primary home will not be reassessed, so the taxes you pay on it will not change.

Good news: You have time to legalize your unpermitted ADU. California has an amnesty period that lasts until January 1, 2025.

Additional Questions

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