economie

A California couple built a $500,000 ADU in their parents’ backyard when they couldn’t afford to buy a traditional house

An overview of the Benjamins’ ADU in the Bay Area, where the couple lives full-time.

Indeed, more ADUs are being built throughout the US.

In California, ADUs accounted for just 8% of permits and 5% of completions in 2018. By 2022, however, they comprised 18% of total permits and total production, according to an April 2024 report from the Urban Institute.

The process of building the Benjamins’ ADU

For their 2022 wedding, the Benjamins asked for money toward the ADU instead of traditional gifts, raising $5,5450 through a GoFundMe campaign toward their $10,000 goal.

After consulting with several builders, the couple ultimately chose to work with Villa, an ADU builder operating in Los Angeles, San Jose, and other Bay Area cities that came recommended by a family friend.

The front of the Benjamins’ ADU.

To finance the ADU, the couple made a down payment of $100,000, while Ali Benjamin’s parents took out a $150,000 retirement loan and a $200,000 HELOC on their main home to help them. The remaining $50,000 was allocated for add-ons, including concrete work, which the Benjamins financed throughout the process.

Even though California offers grants of up to $40,000 to residents building ADUs, the Benjamins didn’t receive any money for their project.

The kitchen of the Benjamins’ ADU.

Their ADU’s kitchen has quartz countertops and an island, with skylights throughout the family room, kitchen, and bathroom. They also added a deck and a long driveway leading up to it, complete with an electric gate for added privacy.

“I think the biggest misconception we got when I told people we were getting an ADU is that they imagined it as a tiny shack in someone’s backyard,” Ali Benjamin said. “In reality, there are homes that are much smaller than our ADU.”

Read the original article on Business Insider

https://www.businessinsider.com/couple-built-adu-in-parents-backyard-couldnt-afford-traditional-house-2024-10