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Sherman Oaks, CA ADU living room, sitting area with a wine bottle on the table.

Should You Build an ADU in Los Angeles? Here’s What You Need to Consider

Are you thinking about building an accessory dwelling unit (ADU) in Los Angeles? With housing affordability and availability being a significant concern for many Angelenos, ADUs have emerged as a viable solution to address the issue. However, before making a decision, it’s essential to consider several factors.

According to a recent report by The LA Times, the first thing you need to consider is whether an ADU will meet your housing needs. While ADUs can be a great option for families looking to increase living space, accommodate relatives, or generate additional income, they might not be suitable for everyone. For example, if you don’t have space on your property or if your zoning doesn’t permit ADUs, it might not be a feasible option.

Another important factor to consider is the cost of building an ADU. The cost of building an ADU in Los Angeles can vary significantly depending on several factors, including the size, location, and materials used. According to The LA Times, the average cost of building an ADU in the city can range from $100,000 to $350,000.

Stylish attached ADU bedroom in Los Angeles, CA. Contemporary design, wooden floors, and a floral wallpaper.
Stylish attached ADU bedroom in Los Angeles, CA.

If you plan to use your ADU as a source of rental income, it’s crucial to consider the legal requirements for renting out the unit. Los Angeles has strict regulations when it comes to renting out ADUs, including occupancy limits, rental agreements, and permits. Before building an ADU, make sure to familiarize yourself with these regulations to avoid any legal issues down the road.

Finally, it’s essential to consider the potential benefits of building an ADU. Aside from generating additional income, ADUs can increase the value of your property and provide a flexible living space for you and your family. Furthermore, building an ADU can be a great investment in the long term, as it can serve as a retirement or inheritance plan.

Stylish yard of an attached ADU in LA with contemporary design, artificial turf, a swing and an outside seating area


In conclusion, building an ADU in Los Angeles can be a smart investment, but it’s essential to consider all factors before making a decision. If you’re unsure about whether an ADU is the right choice for you, consult with a qualified real estate professional or contractor to discuss your options.

Looking for more information on ADUs? Check out The ADU Guide’s website for expert advice and resources on building, financing, and renting ADUs in California. Learn more about ADU zoning requirements in Los Angeles and how to navigate the permit process. Find out about ADU construction loans and financing options available to homeowners.

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