The Best Way to Invest in Real Estate | Infill Housing with ADU | Part 1
The intent of this series is to share our favorite real estate investing strategy. We call it infill housing. We buy old houses, fix them up, rent them out and then build new detached units in the back yard. Consider it the BRRRR strategy with a new build added on. Think Build BRRRR.
For more detailed instructions on this exact build, view the series below.
How To Build an ADU with Cost Breakdown
View the entire series here:
• How To Build an ADU
ADU Essentials
Derek's 2023 Shopping Guide:
thataduguy.com/wp-content/upl...
How To Build a Loft Ladder: • How To Build A Custom ...
Thank you for your emails, DM, comments and calls asking for longer videos with more detail. I plan to share progress every week as we build in real time.
Look for property value others can not see. Be creative, consider land hacking.
Follow along for all things ADU. This really is the most affordable housing option in most cases.
I always tell people to consume the free information out there, it just takes more time. Most of what I do is open source and free for the taking. If you need one-on-one time with me, you can schedule a call at thatADUguy.com.
If you are a first time buyer looking to get on the property ladder, my time is free for you! Just send me an email or comment below.
#adu #adutour #diy #tinyhouse #thatADUguy
Remember to keep it simple.
Anyone can do this. You just need the right instruction, the right tools and the right mindset. Follow along here and check out thatADUguy.com for more ADU ideas and Q & A.
About That ADU Guy
Derek Sherrell is a real estate investor, ADU coach, and endurance athlete with 30 years experience in the building trade.
Derek’s videos are all about the process of making home ownership affordable using the ADU strategy. In these short clips, he explains how to get started and offers money-saving tips you can use. Over time, he’ll walk you through the steps of how to plan, design, finance, and build ADUs (also known as granny flats, guest homes, cottages, casitas, or in-law units)
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Follow @ThatADUguy on Instagram: / thataduguy
Contact Derek:
(541) 238-7073
Пікірлер: 29
Excellent work Derek like usual. Thank you for posting and sharing your ideas and strategy. 2 families will be able to enjoy those cozy homes when you are all done. I learned a lot from you. Thank you!!
@ThatADUGuy
5 ай бұрын
Hi Amin! Thanks for the support. Yes, looking to provide clean safe housing.
Ha, I always say alley access lots are the dream!! Finishing our ADU in Cali, been looking for future Oregon property to move closer to family someday thanks for the vids.
@ThatADUGuy
5 ай бұрын
Yes, we love alleys. Congrats on your unit Shad! 🎉🎉🎉
Wow! Amazing content, thank you! 🙏🏼
@ThatADUGuy
5 ай бұрын
You're so welcome! Thanks Trever
Love the strategy!
@ThatADUGuy
5 ай бұрын
So glad to hear other people are doing this too!
How much do street improvements cost from your experience? Here in Sacramento county, I was told 65 linear feet of curb/gutter/sidewalk would run me 80-120k all in (engineering, approvals, and hard costs). Street improvements would be triggered by a lot split for a proposed duplex and duplex ADU.
@ThatADUGuy
3 ай бұрын
Yes, cost are high. Those are realistic numbers. It REALLY pays to search for properties that already have them done.
How do you solve the fire code issues with the detached structure so close?
@ThatADUGuy
4 ай бұрын
It is legal existing so no mods needed. If so, we would just do a 1 hr fire wall. 2 layers of 5/8 type x rock and 2x blocking at eves under 12' high.
To start my detached garage conversion. Do I need to hire an architect or a Jr drafter will do? Architect vs Jr. drafter charges?
@ThatADUGuy
Ай бұрын
I would shop around and use a drafter if possible. About half the price.
Why did you decide on a 1-1. Not a 2/1 or 2/2. Looks like you had more for more.
@ThatADUGuy
5 ай бұрын
1/1s have a higher demand in our market. It is about building what tenants in our area want.
Do you get your properties off market or off the MLS?
@ThatADUGuy
Ай бұрын
Both, but mostly off market.
Wait what detached bedroom, you are always thinking outside the box, and house. Was the 30k equity gain based on an extra normal bedroom or an extra detached bedroom? Either way like you said the adu is where the meat on this deal is.
@ThatADUGuy
5 ай бұрын
Yes, exactly. The 10x12 detached office is being permitted as legal living space. Just a bedroom.
@scotts2181
5 ай бұрын
Wow you’re quick, I meant you wouldn’t take a 2 bed with a detached 3rd bed a use comps in the neighborhood that are true 3 beds right? Or when you refi. do that not even look to see it’s a detached 3rd bed?
@scotts2181
5 ай бұрын
They not that*
@ThatADUGuy
5 ай бұрын
@@scotts2181 it may not get exact 3/2 comp but will get good added value based on the added permitted square footage.
didn't know you could just have a detached bedroom... sans jadu or adu requirements.
@ThatADUGuy
5 ай бұрын
Yes, many city/county rules spell it out. It is just like an addition, only not attached.
Do you have to split the lot to rent both the house and ADU separate?
@ThatADUGuy
5 ай бұрын
No. There is no residency requirement for ADUs in our state.
@kylenardon900
5 ай бұрын
@@ThatADUGuy thank you! Great video. Very concise and informative.
@ThatADUGuy
5 ай бұрын
@@kylenardon900 thanks for the kind words, glad it is helping you. I plan to put out an updated video every week or so to show the entire process.