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Converting an existing garage into an Accessory Dwelling Unit (ADU) is one of the most cost-effective and popular ways for California homeowners to add housing and generate rental income. But before you start drafting plans, it’s essential to understand the statewide ADU laws, local regulations, and key design considerations that can make or break your project.

If you’re a homeowner in San Diego planning to build an ADU, understanding the city’s permit process is crucial. Getting an ADU permit isn’t just a matter of paperwork and stamps — it’s a detailed, multi-step process involving prescreens, department reviews, and rechecks before you’re cleared to start construction.

The short answer is: it depends. Costs can vary widely depending on size, design, location, and construction method. Below, we’ll break down the main cost factors, explore differences between detached, attached, conversion, and prefab ADUs, and walk through a real-world example to give you a realistic picture.