- Client: Homeowner in Menlo Park (single-family lot)
- Scope: Detached 2-bed, 2-bath ~800 sq ft ADU in backyard
- Total cost estimate: $400,000
- Structure: 100% financed over 30 years
- Monthly financing cost (over 30yrs): $2,650/month
- Projected rental income: $3,500/month (long-term lease market)
- Cash-flow: +$850/month after financing payments
Outcome: Homeowner pays no upfront cash, adds $10K+/year pre-tax rental income, plus an ADU
worth
~$400K.
Highlights:
- Full permit process handled
- Turnkey rental ready
- Client: Homeowner in Palo Alto with existing designs &
permit-ready multi-unit addition
- Scope: Build two additional small houses (multi-unit)
- Total cost estimate: ~$1,400,000 (construction + finishes)
- Structure: Owner pays ~$150,000 up-front for permits/drawings;
we finance ~$1,250,000 for construction
- Monthly financing cost (over 30yrs): ~$8,000/month
- Projected rental income: Two units at ~$4,200/month each →
~$8,400/month total
- Cash-flow: Net positive after debt service of ~$400/month
Outcome: Rental income covers financing costs and provides modest positive cash flow; owner
retains
upside from appreciation.
Highlights:
- Streamlined construction management
- Multiple units increase scale and rental yield
- We handle inspections and city coordination
- Owner funds drawings/permits to reduce risk and keep leverage moderate