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Building an ADU in the East Bay: What budget to consider in building one?

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An ADU, or accessory dwelling unit, is a small, independent living space attached to or located on the same property as a single-family home. ADUs are a popular option in the East Bay Area of California due to their flexibility and potential to provide additional living space or rental income.

However, the key is understanding the costs involved in planning and budgeting for your project. Here’s an estimate of the costs you can expect to incur when building an ADU in the East Bay:

Setting a budget for your ADU construction:

1. Permit fees

Before you can begin construction on an ADU, you’ll need to obtain the necessary building permits from your local county or municipality. Permit fees vary depending on the size and complexity of your project, but you can expect to pay a few hundreds to thousand dollars.

2. Construction costs

The construction cost will depend on the size, design, and materials used in your ADU. According to HomeAdvisor the average cost to build an ADU in the United States starts with a minimum of $80,000.00 to $120,000.00; however, the location (State/County, etc.) has a very significant impact on the amount for labor plus, we need to put into consideration the rising cost of materials at this point in time.

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3. Financing Cost

If you need to borrow money to finance your ADU project, you’ll need to pay interest on your loan. The interest rate you’ll pay will depend on the lender and the terms of your loan.

4. Professional fees

You’ll likely need to hire an architect, engineer, and or designer to help you plan and design your ADU. You will most definitely need to hire a contractor to oversee and execute the construction process. Professional fees vary depending on the State, City, or County of the job site location. Therefore, it is recommended to get estimates from a number of construction professionals before making a decision.

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5. Materials and Supplies

The cost of materials and supplies will depend on the size and design of your ADU.  Due to the current times, the prices for materials and construction supplies have been significantly increasing and may experience further increases. It is best to check with your local stores to see the current prices for rough materials, finishes, and appliances.

6. Furnishing and Decorating

Once your ADU is complete, you’ll need to furnish and decorate it. This can add significantly to the overall cost of your project, depending on your tastes and budget.

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Once your ADU is complete, you’ll need to furnish and decorate the newly built space. The key point in budgeting for furnishings and decor would be to partner with a designer who can help you streamline the approved design in relation to the finishes that will be used from a macro perspective to the tiniest details for your new ADU. This way even before you begin construction, you have an overall idea for the cost that will impact the last phase of your project, which is to aesthetically make the place pleasing to the eyes according to your preference and taste.

Contact us now for your ADU construction needs.


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