Backyard shed as a short term rental

Member since 2022 · 27 posts · 10 votes

I am thinking of building a shed in the backyard for rental purposes. I live in the bay area. If you are knowledgeable about various aspects I need to consider, please do share. The high-level plan is to build a cozy shed with space to sleep and work and have a mini kitchen and toilet and shower. It has its own entrance. Ideally, I would like to rent it out on a short-term basis and if allowed on a long-term basis. If I can't rent it out, I will use it for my personal purposes. This is not an ADU. I dont have the budget for building an ADU.

Is it feasible and possible?

Can a shed have a toilet and shower?

Approximately how much does this project cost? How is the permit process for sheds?

Has anyone done this in the bay area successfully? I am in San Mateo County.

I am confused about parking. I might have to let them parking in the driveway and I park one of ours near the curb. How did you all solve the parking problem? Do short-term renters have a car? They do most likely. I live in a suburb and public transportation is not close by. There is plenty of street parking. I wonder if neighbors are going to resist.

Do I need to get a separate internet connection or upgrade the existing one and share wifi?

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John UnderwoodPro Member

Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes

This sounds more like an ADU honestly.

By the time you add everything you need you'll have some money in it.

I'd check on permitting first.

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John UnderwoodPro Member
Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
3y
This sounds more like an ADU honestly.
By the time you add everything you need you'll have some money in it.
I'd check on permitting first.
4 Reply
Scott Mac
Austin, TX · Member since 2019 · 5k+ posts · 5k+ votes
3y
Quote from @Pal Sa:

I am thinking of building a shed in the backyard for rental purposes. I live in the bay area. If you are knowledgeable about various aspects I need to consider, please do share. The high-level plan is to build a cozy shed with space to sleep and work and have a mini kitchen and toilet and shower. It has its own entrance. Ideally, I would like to rent it out on a short-term basis and if allowed on a long-term basis. If I can't rent it out, I will use it for my personal purposes. This is not an ADU. I dont have the budget for building an ADU.

Is it feasible and possible?

Can a shed have a toilet and shower?

Approximately how much does this project cost? How is the permit process for sheds?

Has anyone done this in the bay area successfully? I am in San Mateo County.

I am confused about parking. I might have to let them parking in the driveway and I park one of ours near the curb. How did you all solve the parking problem? Do short-term renters have a car? They do most likely. I live in a suburb and public transportation is not close by. There is plenty of street parking. I wonder if neighbors are going to resist.

Do I need to get a separate internet connection or upgrade the existing one and share wifi?

Hi Pal,

Why not you sleep in the shed after fixing it up, and rent out the more desirable house for more money.

You would essentially be living free, just you, your microwave and a mini fridge, use a blue porta-potty and shower down at the gym, get water from the house spigot out back.

Then you would not even have to fix it up much, just enough to keep the spiders out.

How much more a whole house would rent for vs a shed, and maybe put up a wooden privacy fence, so the renters would not see you coming and going.

Tell them you are eccentric, or just like communing with nature.

Good Luck!

0 Reply
Pal Sa
OP
Member since 2022 · 27 posts · 10 votes
3y
Quote from @John Underwood:

This sounds more like an ADU honestly.
By the time you add everything you need you'll have some money in it.
I'd check on permitting first.

Thanks. Yes. I will do that. I fully intend to comply with the code. I wanted to find out from this group if anyone has done it before.
0 Reply
Pal Sa
OP
Member since 2022 · 27 posts · 10 votes
3y
Quote from @Scott Mac:

Quote from @Pal Sa:

I am thinking of building a shed in the backyard for rental purposes. I live in the bay area. If you are knowledgeable about various aspects I need to consider, please do share. The high-level plan is to build a cozy shed with space to sleep and work and have a mini kitchen and toilet and shower. It has its own entrance. Ideally, I would like to rent it out on a short-term basis and if allowed on a long-term basis. If I can't rent it out, I will use it for my personal purposes. This is not an ADU. I dont have the budget for building an ADU.

Is it feasible and possible?

Can a shed have a toilet and shower?

Approximately how much does this project cost? How is the permit process for sheds?

Has anyone done this in the bay area successfully? I am in San Mateo County.

I am confused about parking. I might have to let them parking in the driveway and I park one of ours near the curb. How did you all solve the parking problem? Do short-term renters have a car? They do most likely. I live in a suburb and public transportation is not close by. There is plenty of street parking. I wonder if neighbors are going to resist.

Do I need to get a separate internet connection or upgrade the existing one and share wifi?

Hi Pal,

Why not you sleep in the shed after fixing it up, and rent out the more desirable house for more money.

You would essentially be living free, just you, your microwave and a mini fridge, use a blue porta-potty and shower down at the gym, get water from the house spigot out back.

Then you would not even have to fix it up much, just enough to keep the spiders out.

How much more a whole house would rent for vs a shed, and maybe put up a wooden privacy fence, so the renters would not see you coming and going.

Tell them you are eccentric, or just like communing with nature.

Good Luck!

Why so sarcastic? I fully intend to make it liveable and comply with the code. If allowed, I would like to rent it out to interested people. What do you see so wrong in it? I am curious to know. Is calling it a shed triggering the reaction? I see it as a tiny home. I dont know the right word for it.
0 Reply
Scott Mac
Austin, TX · Member since 2019 · 5k+ posts · 5k+ votes
3y
Quote from @Pal Sa:

Quote from @Scott Mac:

Quote from @Pal Sa:

I am thinking of building a shed in the backyard for rental purposes. I live in the bay area. If you are knowledgeable about various aspects I need to consider, please do share. The high-level plan is to build a cozy shed with space to sleep and work and have a mini kitchen and toilet and shower. It has its own entrance. Ideally, I would like to rent it out on a short-term basis and if allowed on a long-term basis. If I can't rent it out, I will use it for my personal purposes. This is not an ADU. I dont have the budget for building an ADU.

Is it feasible and possible?

Can a shed have a toilet and shower?

Approximately how much does this project cost? How is the permit process for sheds?

Has anyone done this in the bay area successfully? I am in San Mateo County.

I am confused about parking. I might have to let them parking in the driveway and I park one of ours near the curb. How did you all solve the parking problem? Do short-term renters have a car? They do most likely. I live in a suburb and public transportation is not close by. There is plenty of street parking. I wonder if neighbors are going to resist.

Do I need to get a separate internet connection or upgrade the existing one and share wifi?

Hi Pal,

Why not you sleep in the shed after fixing it up, and rent out the more desirable house for more money.

You would essentially be living free, just you, your microwave and a mini fridge, use a blue porta-potty and shower down at the gym, get water from the house spigot out back.

Then you would not even have to fix it up much, just enough to keep the spiders out.

How much more a whole house would rent for vs a shed, and maybe put up a wooden privacy fence, so the renters would not see you coming and going.

Tell them you are eccentric, or just like communing with nature.

Good Luck!

Why so sarcastic? I fully intend to make it liveable and comply with the code. If allowed, I would like to rent it out to interested people. What do you see so wrong in it? I am curious to know. Is calling it a shed triggering the reaction? I see it as a tiny home. I dont know the right word for it.
I( was not being sarcastic, and I don't see it as wrong. I have no idea why you thought that, but I am being serious. Why not live in the small place and make big money renting out the big place. Fence the small place off so they kind of forget you are there.

I'm sure the main house will bring in much more money every month than a shed.

And in No.Cal. the weather is not Frostbite Minnesota.

Just my 2 cents

1 Reply
Pal Sa
OP
Member since 2022 · 27 posts · 10 votes
3y
Quote from @Scott Mac:

Quote from @Pal Sa:

Quote from @Scott Mac:

Quote from @Pal Sa:

I am thinking of building a shed in the backyard for rental purposes. I live in the bay area. If you are knowledgeable about various aspects I need to consider, please do share. The high-level plan is to build a cozy shed with space to sleep and work and have a mini kitchen and toilet and shower. It has its own entrance. Ideally, I would like to rent it out on a short-term basis and if allowed on a long-term basis. If I can't rent it out, I will use it for my personal purposes. This is not an ADU. I dont have the budget for building an ADU.

Is it feasible and possible?

Can a shed have a toilet and shower?

Approximately how much does this project cost? How is the permit process for sheds?

Has anyone done this in the bay area successfully? I am in San Mateo County.

I am confused about parking. I might have to let them parking in the driveway and I park one of ours near the curb. How did you all solve the parking problem? Do short-term renters have a car? They do most likely. I live in a suburb and public transportation is not close by. There is plenty of street parking. I wonder if neighbors are going to resist.

Do I need to get a separate internet connection or upgrade the existing one and share wifi?

Hi Pal,

Why not you sleep in the shed after fixing it up, and rent out the more desirable house for more money.

You would essentially be living free, just you, your microwave and a mini fridge, use a blue porta-potty and shower down at the gym, get water from the house spigot out back.

Then you would not even have to fix it up much, just enough to keep the spiders out.

How much more a whole house would rent for vs a shed, and maybe put up a wooden privacy fence, so the renters would not see you coming and going.

Tell them you are eccentric, or just like communing with nature.

Good Luck!

Why so sarcastic? I fully intend to make it liveable and comply with the code. If allowed, I would like to rent it out to interested people. What do you see so wrong in it? I am curious to know. Is calling it a shed triggering the reaction? I see it as a tiny home. I dont know the right word for it.
I( was not being sarcastic, and I don't see it as wrong. I have no idea why you thought that, but I am being serious. Why not live in the small place and make big money renting out the big place. Fence the small place off so they kind of forget you are there.

I'm sure the main house will bring in much more money every month than a shed.

And in No.Cal. the weather is not Frostbite Minnesota.

Just my 2 cents

I need the main house for my family.
If it were easy to use the backyard to build a tiny home and rent it out, many would have done it already. I dont see much in my neighborhood. There must be an obstacle.

1 Reply
Henry T.
Member since 2022 · 1k+ posts · 1k+ votes
3y
You can't rent it out. Period. Go ahead, and you'll have a nightmare that you can't fix. As soon as your renter stops paying rent because of this, that, or another thing. You're in California correct? The judge is on his side until you get your certificate of occupancy and then fix the problem. Or,,, take Mac's advice and live in it yourself.
4 Reply
Henry T.
Member since 2022 · 1k+ posts · 1k+ votes
3y
I didn't see your later posts. If you're going to comply with the code expect to spend a minimum of 200k . That's a low estimate.
3 Reply
Pal Sa
OP
Member since 2022 · 27 posts · 10 votes
3y
Quote from @Henry T.:

I didn't see your later posts. If you're going to comply with the code expect to spend a minimum of 200k . That's a low estimate.

Thanks. So using it as a short-term rental is also not possible? 200k is definitely not in my range. Good point about people who refuse to move out. Will be interesting to know how AirBnB solves the problem.
0 Reply
Michael BaumPro Member
Olympia, WA · Member since 2016 · 8k+ posts · 7k+ votes
3y
Hey @Pal Sa, it is CA. Once someone gets in there, you could be stuck with someone just never leaving and never paying. It has happened before and I would think it would be more likely with an ADU like this.
1 Reply
Henry T.
Member since 2022 · 1k+ posts · 1k+ votes
3y
Quote from @Pal Sa:

Quote from @Henry T.:

I didn't see your later posts. If you're going to comply with the code expect to spend a minimum of 200k . That's a low estimate.

Thanks. So using it as a short-term rental is also not possible? 200k is definitely not in my range. Good point about people who refuse to move out. Will be interesting to know how AirBnB solves the problem.

Huh? Airbnb doesn't solve problems, they only take your money. In Seattle, to have an STR you need your four licenses. You can't get those unless you are a LEGAL living space. Airbnb won't list you otherwise. I'm sure California is the same. You could go to the bar or laundrymat down the street and tell everyone you have a shed for rent, but that only opens you up to the problems I mentioned before. I don't want to kill your hopes of being an STR rock star, but it does take a sizeable investment, hard work, and follwing the law. You can do it if that's your goal.
2 Reply
James Hamling
Real Estate Broker · Minneapolis, MN · Member since 2011 · 5k+ posts · 6k+ votes
3y
Quote from @Pal Sa:

I am thinking of building a shed in the backyard for rental purposes. I live in the bay area.
If you are knowledgeable about various aspects I need to consider, please do share.
This is not an ADU. I dont have the budget for building an ADU.

Is this a joke?
Ok, let's get this straight. You want to build a SHED, and specifically NOT an ADU, it's gonna be a SHED, but you'll make it "cozy". And curious how feasible it is or what issues there could be.
Ok, here's one issues just off top of the head; IT'S A SHED!
Who in their right-mind do you picture renting a "cozy shed"?
Ok, not enough? Ok, let's roll play. Say your the head of city development, and someone comes in and says "Hey buddy, I was thinking, what if I house humans in my shed? yeah, like chickens, but for humans. But don't worry it will be "cozy". What-da-ya-think?" If in those shoes my first thought is has this person taken there med's. Next is am I being punked.
Would you live in a "cozy" shed? Again, your making sure we all know you WON'T do an ADU, that it's a SHED....
Really.... a flipping shed.... why not a Yurt while were at it or maybe a "sheik" tree-house?
0 Reply
Pal Sa
OP
Member since 2022 · 27 posts · 10 votes
3y
Quote from @Michael Baum:

Hey @Pal Sa, it is CA. Once someone gets in there, you could be stuck with someone just never leaving and never paying. It has happened before and I would think it would be more likely with an ADU like this
0 Reply
Pal Sa
OP
Member since 2022 · 27 posts · 10 votes
3y
Quote from @James Hamling:

Quote from @Pal Sa:

I am thinking of building a shed in the backyard for rental purposes. I live in the bay area.
If you are knowledgeable about various aspects I need to consider, please do share.
This is not an ADU. I dont have the budget for building an ADU.

Is this a joke?
Ok, let's get this straight. You want to build a SHED, and specifically NOT an ADU, it's gonna be a SHED, but you'll make it "cozy". And curious how feasible it is or what issues there could be.
Ok, here's one issues just off top of the head; IT'S A SHED!
Who in their right-mind do you picture renting a "cozy shed"?
Ok, not enough? Ok, let's roll play. Say your the head of city development, and someone comes in and says "Hey buddy, I was thinking, what if I house humans in my shed? yeah, like chickens, but for humans. But don't worry it will be "cozy". What-da-ya-think?" If in those shoes my first thought is has this person taken there med's. Next is am I being punked.
Would you live in a "cozy" shed? Again, your making sure we all know you WON'T do an ADU, that it's a SHED....
Really.... a flipping shed.... why not a Yurt while were at it or maybe a "sheik" tree-house?

To be clear, I intend to follow the code and do it only if it is allowed. The reason why I called it a shed is, I did not have another word for it. These days I see tiny homes, pre-fab homes that dont cost as much as an ADU does. I am sure some people want to live in these otherwise there won't be a market around it. Asking in this forum is part of my diligence and research. Based on the responses here, it seems like my budget-friendly tiny home in the backyard for short-term rental purposes is not a viable idea.

0 Reply
James Hamling
Real Estate Broker · Minneapolis, MN · Member since 2011 · 5k+ posts · 6k+ votes
3y
Quote from @Pal Sa:

Quote from @James Hamling:

Quote from @Pal Sa:

I am thinking of building a shed in the backyard for rental purposes. I live in the bay area.
If you are knowledgeable about various aspects I need to consider, please do share.
This is not an ADU. I dont have the budget for building an ADU.

Is this a joke?
Ok, let's get this straight. You want to build a SHED, and specifically NOT an ADU, it's gonna be a SHED, but you'll make it "cozy". And curious how feasible it is or what issues there could be.
Ok, here's one issues just off top of the head; IT'S A SHED!
Who in their right-mind do you picture renting a "cozy shed"?
Ok, not enough? Ok, let's roll play. Say your the head of city development, and someone comes in and says "Hey buddy, I was thinking, what if I house humans in my shed? yeah, like chickens, but for humans. But don't worry it will be "cozy". What-da-ya-think?" If in those shoes my first thought is has this person taken there med's. Next is am I being punked.
Would you live in a "cozy" shed? Again, your making sure we all know you WON'T do an ADU, that it's a SHED....
Really.... a flipping shed.... why not a Yurt while were at it or maybe a "sheik" tree-house?

To be clear, I intend to follow the code and do it only if it is allowed. The reason why I called it a shed is, I did not have another word for it. These days I see tiny homes, pre-fab homes that dont cost as much as an ADU does. I am sure some people want to live in these otherwise there won't be a market around it. Asking in this forum is part of my diligence and research. Based on the responses here, it seems like my budget-friendly tiny home in the backyard for short-term rental purposes is not a viable idea.

Your making no sense here, to help here is the definition of ADU:
So is it an ADU, or a Shed?
You so NOT an ADU and that a shed, but then go on to describe an ADU. Are you just seeking to do an ADU, with the regulation of a Shed? Because that's a whole other conversation and head-slap.
And no, I don't think ANYONE want's to live in a Shed. And I don't know anyone who leases Shed's for occupancy of anything other than lawn equipment. These are human beings for Pete's sake!
0 Reply
Pal Sa
OP
Member since 2022 · 27 posts · 10 votes
3y
Quote from @James Hamling:

Quote from @Pal Sa:

Quote from @James Hamling:

Quote from @Pal Sa:

I am thinking of building a shed in the backyard for rental purposes. I live in the bay area.
If you are knowledgeable about various aspects I need to consider, please do share.
This is not an ADU. I dont have the budget for building an ADU.

Is this a joke?
Ok, let's get this straight. You want to build a SHED, and specifically NOT an ADU, it's gonna be a SHED, but you'll make it "cozy". And curious how feasible it is or what issues there could be.
Ok, here's one issues just off top of the head; IT'S A SHED!
Who in their right-mind do you picture renting a "cozy shed"?
Ok, not enough? Ok, let's roll play. Say your the head of city development, and someone comes in and says "Hey buddy, I was thinking, what if I house humans in my shed? yeah, like chickens, but for humans. But don't worry it will be "cozy". What-da-ya-think?" If in those shoes my first thought is has this person taken there med's. Next is am I being punked.
Would you live in a "cozy" shed? Again, your making sure we all know you WON'T do an ADU, that it's a SHED....
Really.... a flipping shed.... why not a Yurt while were at it or maybe a "sheik" tree-house?

To be clear, I intend to follow the code and do it only if it is allowed. The reason why I called it a shed is, I did not have another word for it. These days I see tiny homes, pre-fab homes that dont cost as much as an ADU does. I am sure some people want to live in these otherwise there won't be a market around it. Asking in this forum is part of my diligence and research. Based on the responses here, it seems like my budget-friendly tiny home in the backyard for short-term rental purposes is not a viable idea.

Your making no sense here, to help here is the definition of ADU:
So is it an ADU, or a Shed?
You so NOT an ADU and that a shed, but then go on to describe an ADU. Are you just seeking to do an ADU, with the regulation of a Shed? Because that's a whole other conversation and head-slap.
And no, I don't think ANYONE want's to live in a Shed. And I don't know anyone who leases Shed's for occupancy of anything other than lawn equipment. These are human beings for Pete's sake!

Looks like calling it a shed triggered you and many others. I repeatedly mentioned I intend to follow the code. Whatever I build, I expect the city to know whether it is dwellable by humans or not. You are hanging on to the wording and not the intent, goals, and constraints I described.

Thanks for your inputs. Have a nice day.

0 Reply
James Hamling
Real Estate Broker · Minneapolis, MN · Member since 2011 · 5k+ posts · 6k+ votes
3y
Quote from @Pal Sa:

Quote from @James Hamling:

Quote from @Pal Sa:

Quote from @James Hamling:

Quote from @Pal Sa:

I am thinking of building a shed in the backyard for rental purposes. I live in the bay area.
If you are knowledgeable about various aspects I need to consider, please do share.
This is not an ADU. I dont have the budget for building an ADU.

Is this a joke?
Ok, let's get this straight. You want to build a SHED, and specifically NOT an ADU, it's gonna be a SHED, but you'll make it "cozy". And curious how feasible it is or what issues there could be.
Ok, here's one issues just off top of the head; IT'S A SHED!
Who in their right-mind do you picture renting a "cozy shed"?
Ok, not enough? Ok, let's roll play. Say your the head of city development, and someone comes in and says "Hey buddy, I was thinking, what if I house humans in my shed? yeah, like chickens, but for humans. But don't worry it will be "cozy". What-da-ya-think?" If in those shoes my first thought is has this person taken there med's. Next is am I being punked.
Would you live in a "cozy" shed? Again, your making sure we all know you WON'T do an ADU, that it's a SHED....
Really.... a flipping shed.... why not a Yurt while were at it or maybe a "sheik" tree-house?

To be clear, I intend to follow the code and do it only if it is allowed. The reason why I called it a shed is, I did not have another word for it. These days I see tiny homes, pre-fab homes that dont cost as much as an ADU does. I am sure some people want to live in these otherwise there won't be a market around it. Asking in this forum is part of my diligence and research. Based on the responses here, it seems like my budget-friendly tiny home in the backyard for short-term rental purposes is not a viable idea.

Your making no sense here, to help here is the definition of ADU:
So is it an ADU, or a Shed?
You so NOT an ADU and that a shed, but then go on to describe an ADU. Are you just seeking to do an ADU, with the regulation of a Shed? Because that's a whole other conversation and head-slap.
And no, I don't think ANYONE want's to live in a Shed. And I don't know anyone who leases Shed's for occupancy of anything other than lawn equipment. These are human beings for Pete's sake!

Looks like calling it a shed triggered you and many others. I repeatedly mentioned I intend to follow the code. Whatever I build, I expect the city to know whether it is dwellable by humans or not. You are hanging on to the wording and not the intent, goals, and constraints I described.

Thanks for your inputs. Have a nice day.

Nope, I'm hanging onto is it a Shed or an ADU.

I posted the definition of ADU to simplify this. I could describe a Yurt as a "Single Family Residence with highly flexible wall members consisting of a singular main living/dwelling area with a "natural" flooring material and "organic" heating/cooling system".... it's still a Yurt.

Tiny homes are exactly that, tiny HOMES, there is a reason they don't call them tiny sheds. pre-fab homes are.... homes. And as you can see, adding one to your property makes it an ADU. It's not complicated bud.

Soooo.... is it a shed, or an ADU?
1 Reply
Pal Sa
OP
Member since 2022 · 27 posts · 10 votes
3y
Quote from @James Hamling:

Quote from @Pal Sa:

Quote from @James Hamling:

Quote from @Pal Sa:

Quote from @James Hamling:

Quote from @Pal Sa:

I am thinking of building a shed in the backyard for rental purposes. I live in the bay area.
If you are knowledgeable about various aspects I need to consider, please do share.
This is not an ADU. I dont have the budget for building an ADU.

Is this a joke?
Ok, let's get this straight. You want to build a SHED, and specifically NOT an ADU, it's gonna be a SHED, but you'll make it "cozy". And curious how feasible it is or what issues there could be.
Ok, here's one issues just off top of the head; IT'S A SHED!
Who in their right-mind do you picture renting a "cozy shed"?
Ok, not enough? Ok, let's roll play. Say your the head of city development, and someone comes in and says "Hey buddy, I was thinking, what if I house humans in my shed? yeah, like chickens, but for humans. But don't worry it will be "cozy". What-da-ya-think?" If in those shoes my first thought is has this person taken there med's. Next is am I being punked.
Would you live in a "cozy" shed? Again, your making sure we all know you WON'T do an ADU, that it's a SHED....
Really.... a flipping shed.... why not a Yurt while were at it or maybe a "sheik" tree-house?

To be clear, I intend to follow the code and do it only if it is allowed. The reason why I called it a shed is, I did not have another word for it. These days I see tiny homes, pre-fab homes that dont cost as much as an ADU does. I am sure some people want to live in these otherwise there won't be a market around it. Asking in this forum is part of my diligence and research. Based on the responses here, it seems like my budget-friendly tiny home in the backyard for short-term rental purposes is not a viable idea.

Your making no sense here, to help here is the definition of ADU:
So is it an ADU, or a Shed?
You so NOT an ADU and that a shed, but then go on to describe an ADU. Are you just seeking to do an ADU, with the regulation of a Shed? Because that's a whole other conversation and head-slap.
And no, I don't think ANYONE want's to live in a Shed. And I don't know anyone who leases Shed's for occupancy of anything other than lawn equipment. These are human beings for Pete's sake!

Looks like calling it a shed triggered you and many others. I repeatedly mentioned I intend to follow the code. Whatever I build, I expect the city to know whether it is dwellable by humans or not. You are hanging on to the wording and not the intent, goals, and constraints I described.

Thanks for your inputs. Have a nice day.

Nope, I'm hanging onto is it a Shed or an ADU.

I posted the definition of ADU to simplify this. I could describe a Yurt as a "Single Family Residence with highly flexible wall members consisting of a singular main living/dwelling area with a "natural" flooring material and "organic" heating/cooling system".... it's still a Yurt.

Tiny homes are exactly that, tiny HOMES, there is a reason they don't call them tiny sheds. pre-fab homes are.... homes. And as you can see, adding one to your property makes it an ADU. It's not complicated bud.

Soooo.... is it a shed, or an ADU?

Budget-friendly ADU.
0 Reply
James Hamling
Real Estate Broker · Minneapolis, MN · Member since 2011 · 5k+ posts · 6k+ votes
3y
Quote from @Pal Sa:

Quote from @James Hamling:

Quote from @Pal Sa:

Quote from @James Hamling:

Quote from @Pal Sa:

Quote from @James Hamling:

Quote from @Pal Sa:

I am thinking of building a shed in the backyard for rental purposes. I live in the bay area.
If you are knowledgeable about various aspects I need to consider, please do share.
This is not an ADU. I dont have the budget for building an ADU.

Is this a joke?
Ok, let's get this straight. You want to build a SHED, and specifically NOT an ADU, it's gonna be a SHED, but you'll make it "cozy". And curious how feasible it is or what issues there could be.
Ok, here's one issues just off top of the head; IT'S A SHED!
Who in their right-mind do you picture renting a "cozy shed"?
Ok, not enough? Ok, let's roll play. Say your the head of city development, and someone comes in and says "Hey buddy, I was thinking, what if I house humans in my shed? yeah, like chickens, but for humans. But don't worry it will be "cozy". What-da-ya-think?" If in those shoes my first thought is has this person taken there med's. Next is am I being punked.
Would you live in a "cozy" shed? Again, your making sure we all know you WON'T do an ADU, that it's a SHED....
Really.... a flipping shed.... why not a Yurt while were at it or maybe a "sheik" tree-house?

To be clear, I intend to follow the code and do it only if it is allowed. The reason why I called it a shed is, I did not have another word for it. These days I see tiny homes, pre-fab homes that dont cost as much as an ADU does. I am sure some people want to live in these otherwise there won't be a market around it. Asking in this forum is part of my diligence and research. Based on the responses here, it seems like my budget-friendly tiny home in the backyard for short-term rental purposes is not a viable idea.

Your making no sense here, to help here is the definition of ADU:
So is it an ADU, or a Shed?
You so NOT an ADU and that a shed, but then go on to describe an ADU. Are you just seeking to do an ADU, with the regulation of a Shed? Because that's a whole other conversation and head-slap.
And no, I don't think ANYONE want's to live in a Shed. And I don't know anyone who leases Shed's for occupancy of anything other than lawn equipment. These are human beings for Pete's sake!

Looks like calling it a shed triggered you and many others. I repeatedly mentioned I intend to follow the code. Whatever I build, I expect the city to know whether it is dwellable by humans or not. You are hanging on to the wording and not the intent, goals, and constraints I described.

Thanks for your inputs. Have a nice day.

Nope, I'm hanging onto is it a Shed or an ADU.

I posted the definition of ADU to simplify this. I could describe a Yurt as a "Single Family Residence with highly flexible wall members consisting of a singular main living/dwelling area with a "natural" flooring material and "organic" heating/cooling system".... it's still a Yurt.

Tiny homes are exactly that, tiny HOMES, there is a reason they don't call them tiny sheds. pre-fab homes are.... homes. And as you can see, adding one to your property makes it an ADU. It's not complicated bud.

Soooo.... is it a shed, or an ADU?

Budget-friendly ADU.

I'd start at Boxabl. Musk lived in one, heck maybe still does, and bragged up how it was only $50k.

*update* I just checked on it and yup, the exact unit Musk has/lives/lived in. Looks like there still selling it only question is for how much? still $49k?.

1 Reply
Jay HinrichsBusiness Member
Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
3y
Quote from @John Underwood:

This sounds more like an ADU honestly.
By the time you add everything you need you'll have some money in it.
I'd check on permitting first.

no way you get a legal sewer hook up or water hook up in the SF bay area.. I grew up there
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Jay HinrichsBusiness Member
Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
3y
Quote from @James Hamling:

Quote from @Pal Sa:

I am thinking of building a shed in the backyard for rental purposes. I live in the bay area.
If you are knowledgeable about various aspects I need to consider, please do share.
This is not an ADU. I dont have the budget for building an ADU.

Is this a joke?
Ok, let's get this straight. You want to build a SHED, and specifically NOT an ADU, it's gonna be a SHED, but you'll make it "cozy". And curious how feasible it is or what issues there could be.
Ok, here's one issues just off top of the head; IT'S A SHED!
Who in their right-mind do you picture renting a "cozy shed"?
Ok, not enough? Ok, let's roll play. Say your the head of city development, and someone comes in and says "Hey buddy, I was thinking, what if I house humans in my shed? yeah, like chickens, but for humans. But don't worry it will be "cozy". What-da-ya-think?" If in those shoes my first thought is has this person taken there med's. Next is am I being punked.
Would you live in a "cozy" shed? Again, your making sure we all know you WON'T do an ADU, that it's a SHED....
Really.... a flipping shed.... why not a Yurt while were at it or maybe a "sheik" tree-house?

NO way no how will you get a legal sewer tap or water tap or power.. this is all a pipe dream I grew up in the bay area . my brother in law is an underground contractor there.. this simply will never fly ever.. U need to do a legal ADU .. which CA has come out with new laws that allow it. just going to cost a few hundred grand to get it done.
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Scott Mac
Austin, TX · Member since 2019 · 5k+ posts · 5k+ votes
3y
My thoughts are you will not get very much for a shed (monthly) compared to a proper house, your insurance will go up (if probably they know about it). How much depreciation shelter can a shed deliver (probably not much), how much rise in value over time can a shed deliver (probably not much). AND What kind of person(s) want to live in a "Shed", (drug addicts, alcoholic Hobos, -- probably homeless street people). Is that what you want for your neighborhood, (for your family to live up close to) Look daddy, old Herman tough me how to beg in the streets--and other goodies...)//////........

Just my 2 Cents.

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Henry T.
Member since 2022 · 1k+ posts · 1k+ votes
3y
The poster says he means an ADU. He's new to the forum and is learning the terminology? If he wants to call it a shed, no problem, I get it. And btw, from where I came from, a shed would have been welcome. ANyways...for anyone thinking its a snap to get a legal ADU going, it isnt't. You not only have to have your building(OK'd by the city), (whatever it is or you wanna call it). Then you have the city that want their big slice of the pie. For example...the city will want 30k for the sewer, no work done, they just want 30k because it cost them that much to run your poop out to the bay, or so they say. Then you gotta find and pay someone to install your sewer line to code another 10k. Electrical, the requirements will put you in the 20k area. Installing, New panel service, underground conduits, emergency disconnects, and supplying the appropriate load usage tables to the Elec Dept is a major headache. Soil samples and tests? Engineers! Pal, you can see how this stuff adds up. As a DIY'r I can have all this done for a few grand, but when city's and legal certifications/requirements are involved the costs go up bigtime. Until all the above is done it's not a legal ADU. I hope this answers a few things. Where's my coffee?
2 Reply
Pal Sa
OP
Member since 2022 · 27 posts · 10 votes
3y
Quote from @Henry T.:

The poster says he means an ADU. He's new to the forum and is learning the terminology? If he wants to call it a shed, no problem, I get it. And btw, from where I came from, a shed would have been welcome. ANyways...for anyone thinking its a snap to get a legal ADU going, it isnt't. You not only have to have your building(OK'd by the city), (whatever it is or you wanna call it). Then you have the city that want their big slice of the pie. For example...the city will want 30k for the sewer, no work done, they just want 30k because it cost them that much to run your poop out to the bay, or so they say. Then you gotta find and pay someone to install your sewer line to code another 10k. Electrical, the requirements will put you in the 20k area. Installing, New panel service, underground conduits, emergency disconnects, and supplying the appropriate load usage tables to the Elec Dept is a major headache. Soil samples and tests? Engineers! Pal, you can see how this stuff adds up. As a DIY'r I can have all this done for a few grand, but when city's and legal certifications/requirements are involved the costs go up bigtime. Until all the above is done it's not a legal ADU. I hope this answers a few things. Where's my coffee?

Thank you for the detailed inputs. The costs are adding up. There is no low-cost legal ADU looks like. If it is going to cost 200k to 300k for an ADU, do people build ADUs for their extended family primarily? What is the financial appeal of an ADU?

I might end up creating a quiet space for my personal use.
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Henry T.
Member since 2022 · 1k+ posts · 1k+ votes
3y

Many reasons. People build them for family, or extra money as a rental. Technically, if it's a separate building from the house its called a DADU. Detached Accessory Dwelling Unit. If you want to create a space for personal use, that's very different. Waaaaaay cheaper, because the city doesn't hit you with all those impact fees. Just remember,, you can't rent it out, legally. I have a couple properties where I've built huge garages, added rooms and a bathroom. The houses are rented to someone else with the lease specifying that the property is "shared". I have the garages, the tenant has the house. I come and go as I please at all locations. I store lumber at one. Classic cars at the other. I live there if I want to, when I want to, drink a mai-tai in the yard. But technically they are not legal living spaces, but that doesn't stop me from falling asleep in my office. Tenant tired of seeing my face? too bad. I keep an eye on the property without worrying about if I'm upsetting the tenant and his "quiet enjoyment". It's worked out so well, I'm gonna do it with more properties. Working on a 3rd presently. WA state is very anti-landlord, this gives me some control of my property, I like it. These buildings/garages (32 by 24), with bathrooms, insulation, raised floor, and full electrical, they costs me each around 60k. I do the work or contract some out. One is even 2 stories! Permitted and built to code. They can become legal DADU's if I want to make a few adjustments and pay huge impact fees, but I have no need to rent them out. Too much info? Sorry, I get carried away. See, there's options if it's just for personal use.
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