Sac House Hack - MidTerm Rental

[Leanna Nixon]

Hi all! We are hoping to put 10% down on a ~$500k-$700k house in Sacramento. We want to live there for a year or two and make some upgrades while living there. Also looking for a home that either already has an ADU or a lot big enough to add one. The plan would be to use the ADU as an office for my hubs while we live then then once we move out to rent the ADU and home separately as long or midterm rentals. Does anyone have any experience doing this in Sacramento and if so have any tips for us? Thanks.

[Tanner Pile]

@Leanna Nixon

I would recommend finding a property with an existing ADU. The construction of them can take 6+ months sometimes a year depending on certain scenarios. If this is your first large construction project I would take that into consideration and what managing contractors will look like.

However, I have always seen that building ground up properties have better ROIs if done correctly and bought at the right price. 

Good luck!