Prefab ADU Guide: Factory-Built Backyard Homes

Compare top prefab ADU manufacturers, costs, designs, and timelines. Prefab can save 20-40% vs. traditional construction.

Prefab (prefabricated) ADUs are built in a factory and delivered to your property, where they are installed on a prepared foundation. This approach offers faster timelines, consistent quality, and increasingly competitive pricing.

Why Choose Prefab?

Faster Timeline

Factory construction takes 6-12 weeks. Total project time is typically 4-8 months vs. 8-14 months for traditional builds.

Cost Savings

Prefab can save 20-40% compared to traditional on-site construction due to factory efficiencies and reduced labor costs.

Quality Control

Built indoors with precision tooling. No weather delays, consistent quality, and often higher energy efficiency ratings.

Prefab ADU Costs

SizeUnit CostSite Prep & InstallTotal Installed
200-400 sq ft (Studio)$50K-$100K$25K-$50K$75K-$150K
400-600 sq ft (1BR)$80K-$140K$35K-$60K$115K-$200K
600-800 sq ft (2BR)$100K-$180K$40K-$70K$140K-$250K
800-1,200 sq ft (2-3BR)$130K-$220K$50K-$80K$180K-$300K

Important: "Installed" Cost

Always ask for the total installed cost, not just the unit price. Site preparation (foundation, utility connections, permits, crane delivery) typically adds $25,000-$80,000 to the base unit price.

The Prefab ADU Process

1

Choose Your Model

Select a design and floor plan from a manufacturer. Most offer customization options for finishes, layouts, and features.

2

Permits

Submit plans to your city. Some manufacturers handle permitting for you. California's 60-day review timeline applies.

3

Site Prep

While your ADU is being built in the factory, a contractor prepares the foundation and utility connections at your property.

4

Factory Build

Your ADU is constructed in a climate-controlled factory. Typical build time: 6-12 weeks.

5

Delivery & Install

The completed unit is transported to your property by truck and set on the prepared foundation by crane.

6

Final Connections

Local contractors connect utilities, complete exterior finishes, and handle landscaping. Final inspections follow.

Finance Your ADU Project

Most ADU projects are funded through HELOCs, construction loans, or cash-out refinancing. Compare rates from top lenders in minutes.

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