I have worked with many home owners and Investors who have added square footage and/or done improvements. I am working with one investor who is building a house in Pleasanton. Depending on the contractor and the city, price can rage anywhere starting from $100 SqFt. My client uses a contractor and depending on the project he charges around $150/ SqFt.... more
I always have clients looking for a good sized home with either a section of the home thatâ€™s been converted to a separate â€œmother-in-lawâ€ unit or a standalone unit out back. I actually have a couple right now. Problem is, most neighborhoods are zoned for single occupancy and local building officials will not allow any additional living units of any kind. Itâ€™s why we see so many â€œnon-permittedâ€ variants as families get â€œcreativeâ€ to try to accommodate specific needs. Many of these run into issues with neighbors, city officials or have liability issues when selling because of the non-permitted â€œadditions.â€
You asked a couple of questions:
Q1: How would this affect the resale value?
A: In most cases, if properly done, it will increase value. In reality, homes that have an extra legal unit are classified as duplexes and will therefore have value based on total square footage AND income potential. These types of homes are very popular and, if done right, typically sell very quickly.
Q2: and property taxes?
A: This will increase the property taxes. When you add permitted square footage, the property is re-assessed by the County based on the existing tax base for that specific home.... more