What Is an ADU and Why Every San Diego Property Owner Should Know

If you own property in San Diego and haven't looked seriously at Accessory Dwelling Units (ADUs), you're likely leaving significant income potential on the table. California law has made it easier than ever to add a rentable unit to your existing property, and San Diego's rental market makes the numbers work.

What Is an ADU?

An ADU is a secondary housing unit on a single-family residential lot. It can be detached (a separate backyard structure), attached (an addition to your home), or a conversion of existing space like a garage or basement. A Junior ADU (JADU) is a smaller version, capped at 500 sq ft, carved from existing living space.

What's It Worth in San Diego?

Depending on the neighborhood, size, and quality of the unit, a San Diego ADU can generate between $1,500 and $3,500 per month in rental income. In areas near military bases, universities, or employment centers, demand is particularly strong.

Beyond rental income, a well-built ADU adds appraised value to your property, often $150,000 to $300,000 or more depending on size and location.

Does Your Property Qualify?

Most single-family lots in San Diego can support at least one ADU under current California law. The key variables are lot size, setbacks, utility connections, and local zoning overlays. A garage conversion is often the fastest and most affordable path, typically $80,000 $150,000 to complete and possible in as little as 6 to 9 months.

How I Help

I help property owners assess ADU potential before they buy or build, analyzing which properties are best suited, what the projected rental income looks like, how to finance the construction, and how to structure the whole thing for maximum long-term return.

If you're curious whether your property has ADU potential, let's talk. There's no cost to find out.