An Accessory Dwelling Unit (ADU) is a self-contained living space on the same lot as an existing home—think backyard cottage, garage conversion, or attached suite. In a city where land is scarce and prices are high, ADUs are a smart, San Diego housing solution that makes every square foot work harder.

1. Expanding Affordable Housing Options

San Diego’s median rent keeps climbing, yet large developments face red tape and neighborhood pushback. ADUs add flexible housing one lot at a time, offering affordable housing in San Diego without altering neighborhood character. Homeowners tap unused space; renters gain well-located units close to jobs and transit.

2. Multigenerational Living Made Simple

Caring for aging parents or welcoming adult children? An ADU keeps loved ones close while preserving privacy. Separate kitchens and entrances mean everyone enjoys independence—multigenerational living without bumping elbows.

3. Rental Income & Long-Term Wealth

A well-designed ADU can bring steady rental income that helps cover a mortgage, pad retirement savings, or fund future remodels. Realtors report homes with ADUs often command 20-30 percent higher resale values (property value increase) thanks to the extra, code-compliant unit.

4. A Hedge Against Life’s Curveballs

Need a remote office today, a guest suite tomorrow, and a wheelchair-friendly flat in twenty years? ADUs adapt as family and market needs change—true flexible housing that future-proofs your property.

San Diego ADU Rules & Incentives at a Glance

California law now allows up to two ADUs on most single-family lots, and San Diego’s ADU regulations waive certain fees for units under 750 sq ft. Homeowners may also qualify for permit-fee rebates, expedited reviews, and state-backed construction loans—just a few of the ADU incentives designed to speed projects along.

Pro Tip: Always check the latest zoning map and utility-connection rules before drawing plans. Our team tracks updates so you don’t have to.

Ready to Explore an ADU?

AE Carlson Design & Build has guided dozens of local families from idea to move-in-day. Explore our full ADU Construction Services page, browse a recent garage-to-ADU conversion in our portfolio, or schedule a free consultation to see if an ADU is right for you.

FAQs:

Q1: How long does it take to build an ADU in San Diego?
Most projects run 6–10 months, including design, permits, and construction. Smaller conversions often finish faster.

Q2: Do I need separate utility meters for an ADU?
Not always. San Diego lets many ADUs share existing services, but separate meters can simplify billing if you plan to rent.

Q3: Can my HOA block an ADU?
State law limits HOA restrictions. While design reviews still apply, outright bans are no longer allowed.

References:

  • California Department of Housing & Community Development: Accessory Dwelling Unit Handbook
  • AARP: The ABCs of ADUs
  • San Diego Union-Tribune: ADUs Gain Ground as Housing Relief
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