These modern homes are built in a factory, installed in backyards, and cost as little as $95,000 — take a look inside

• Villa builds homes to be put in backyards, also known as ADUs, with each unit starting at $95,000.
• The startup has about 20 homes, ranging from 440 to 1,200 square feet, for sale from $95,000.
• See the factory where its homes are built, and some properties already set up in people’s backyards.

Bay Area-based startup Villa sells homes that are built in a factory and then installed in backyards.

These homes, called accessory dwelling units, or ADUs, have their own address, separate from the main house they sit near.

The company offers units that range from a 440-square-foot studio to a 1,200-square-foot three-bedroom, with 20 basic floor plans available. According to Villa, models are priced between $95,000 and $180,000, though that doesn’t include the cost of installation and other expenses. Villa permits, builds, and installs the ADUs for its customers.

In California, ADUs have become increasingly popular especially since the state passed legislation in 2020 that made it easier for homeowners to install them.

Across the country, a growing focus on sustainability and affordability has also increased their appeal. For many Americans, they represent a tangible way to reduce their ecological footprint, a budget-friendly alternative to traditional housing, or a means to earn extra income.

“We’ve run some surveys on why our clients are purchasing ADUs; more than 50% of them do so for a family member,” Heather Miksch, Villa’s vice president of operations, told Business Insider. “ADUs are a really interesting way to keep families together in closer proximity, especially in California where housing prices are so high.”

Take a look inside some of Villa’s tiny homes and meet their owners.

This is a two-bedroom, two-bathroom home that Villa placed in a Los Angeles backyard.

Miksch said many of Villa’s clients have used their ADUs to allow them to accommodate lifestyle changes without moving.

“We’ve had clients whose parents live overseas and, when they visit the US, stay with them for months on end,” she said. “By building an ADU in the backyard, the parents can have a place to stay without being in the main family home.”

“We’ve also seen parents move out of the primary home and into the ADU, leaving the main house for their children and their growing family,” Miksch added.

This is a 400-square-foot, one-bedroom home with a shed-style roof that Villa built and installed in a San Jose backyard.

To begin construction, clients pay for the ADU itself and then cover additional permitting, groundwork, and installation costs.

Construction costs alone can exceed $100,000, according to Villa cofounder James Connolly.

Here’s what the one-bedroom home in San Jose looked like right after a crane lifted it onto its foundation.

Cabinetry, walls, and major kitchen appliances are all included in the purchase of the unit.

Each of Villa’s ADUs has a separate address from the primary home on the property.

After installing the house, Villa adds other features, such as the steps shown above, for easy indoor-outdoor access.

Villa built this two-bedroom, two-bathroom abode for the Kantor family in the Woodland Hills neighborhood of Los Angeles.

Connolly said that the family turned the home into a guest house with an adjacent in-ground pool that they could enjoy and also use to host family and friends.

According to Villa, the total cost of the ADU was $353,745; the unit itself was $163,500 of that total.

The home was built in a factory that Villa partners with in San Jacinto, a two-hour drive southeast of Los Angeles.

Everything in the Kantors’ home was installed at the factory except the flooring.

While the factory construction was finishing up, plumbers, electricians, and general contractors prepared the foundation in the Kantors’ backyard.

“The great thing about building off-site is you’re saving on many construction costs,” Miksch said. The company aims to complete the construction of each unit in under 90 days, she added.

A crane operator lifted the house off the truck and into the backyard.

The house arrived at the Kantor property in two sections, delivered by truck.

The Kantors chose an open floor plan with a large kitchen, a farmhouse sink, and quartz countertops.

Villa’s design team helps customers choose the details for their home, including cabinetry, molding, and color palettes.

Packages include the “modern farmhouse ” — pictured above — and the “contemporary cottage.”

The Kantors chose a shower with a bathtub and sliding glass doors.

Villa also offers doorless showers, according to the company.

This is the living room in the Kantors’ ADU.

Villa homes are designed to bring in natural light, with high ceilings and oversized windows.The company uses vinyl flooring in all of its projects for durability.

Each of Villa’s homes comes with hookups for washing machines and dryers.

Customers can install them after the house is put on the foundation, Connolly said.

The Kantor family turned their Villa home into a guest house.

The home features an adjacent in-ground pool, perfect for relaxing and entertaining family and friends, Connolly said.

Villa built this 480-square-foot ADU in Napa, California, for the Kuchta family.

The unit includes a bedroom, a full bathroom, and a kitchen. The total cost, including permitting fees, was $240,000.

Todd Kuchta and his wife built the home for their adult son, Jacob, who cannot live entirely alone.

Jacob, who has autism, needs help cleaning, taking his medicine, shopping, and preparing meals.

Despite these challenges, he still desires independence, and his parents believed the best way to provide it was by building an ADU in their backyard.

“We needed him close enough to where we could still provide the support, but to where he feels independent,” Kutcha told BI.

The family expanded their deck, allowing for direct access from the back door of the main house into the unit.

The ADU has increased accessibility for Jacob and his parents and made his living experience more comfortable overall.

“Jacob living on his own has made an enormous difference for our family,” Kuchta said. “Our stress has significantly decreased, and we have peace of mind knowing we can still provide the necessary emotional support he needs.”

Villa built an ADU for this California couple.

For Aislyn and Ali Benjamin, an ADU was the most practical way into homeownership.

The couple lives near Danville, California, a small city just over an hour east of San Francisco, where the median home sale price was $1.9 million in September, according to Realtor.com.

In 2023, the couple moved into an ADU built in their parents’ backyard by Villa for $500,000.

The Benjamins’ ADU is spacious.

The ADU is 1,200 square feet and has three bedrooms and a bathroom. One of the home’s bedrooms has been converted into a private sauna and gym.

“I think the biggest misconception we got when I told people we were getting an ADU is that they imagined it as a tiny shack in someone’s backyard,” Ali said. “In reality, there are homes that are much smaller than our ADU.”

They have more privacy in their ADU.

The Benjamins went from living in a noisy apartment to a quiet backyard — they love it.

“We definitely have a lot more privacy because we don’t hear our neighbors to the side, above, or beneath us, which is really nice,” Aislyn said. “Those are my favorite things about having our ADU.”

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