Understanding the Cost of Building an ADU in Squamish

Feb 07, 2025By NewlinesADU
NewlinesADU

Accessory Dwelling Units (ADUs), including carriage houses, laneway houses, and coach houses, are becoming an increasingly popular housing solution in Squamish. They offer homeowners flexibility, additional income, and long-term property value increases. Whether working with an ADU builder or contractor, understanding the costs associated with building an ADU is crucial for making informed decisions.

How Much Does an ADU Cost in BC?


The cost of an Accessory Dwelling Unit (ADU) in Squamish varies significantly depending on size, design, materials, permits, and site conditions. Prefabricated ADUs tend to be more affordable, while fully custom builds can be more expensive.

To determine these cost estimates, we analyzed building permit records issued in Squamish from 2019 to 2024. We excluded any permits that listed a construction value below $200,000, as these were either outdated or possibly underreported to reduce tax liability. Using the remaining permit data, we calculated key price points:

Low-end average: $300,000 – Typically prefabricated ADUs or more basic designs.
Overall average: $420,000 – A realistic expectation for most homeowners.
High-end average: $600,000 – Custom ADUs with luxury finishes, larger footprints, or complex site conditions.


💡 Caution: Some Squamish ADU permit data reflect outdated pricing that may not align with today’s construction costs. Additionally, some applicants underreport construction costs on permit applications to reduce tax liability, meaning actual project costs may be higher.

What Can Affect ADU Costs?

Several key factors influence ADU construction costs in Squamish. The size and design complexity of your ADU play a major role, larger units or those with multi-story layouts will naturally cost more due to increased materials and labor. Homeowners also face decisions between prefabricated ADUs, which offer cost savings through streamlined construction, and custom-built ADUs, which allow for more unique layouts but come with higher expenses.

Site conditions such as sloped lots, poor soil quality, or limited access can add costs for excavation, foundation work, and utility connections. In Squamish, zoning and permitting requirements vary by property, and some projects may require geotechnical assessments or additional approvals. 

Homeowners choosing energy-efficient features like solar panels and high-performance insulation will have higher upfront costs but benefit from long-term savings. Finally, the selection of interior finishes and fixtures, from budget-friendly materials to high-end custom designs, will significantly influence overall project costs.

By understanding these cost drivers, homeowners can make informed decisions that balance affordability with long-term value.

The Benefits of Squamish’s Pre-Reviewed ADU Plans


To simplify the process, Squamish offers pre-reviewed ADU plans that make permitting and construction faster and more affordable.

  •  Faster Approvals – Pre-reviewed plans reduce wait times for permits, allowing construction to begin sooner.
  • Lower Design Costs – Save thousands on architectural fees with pre-approved designs.
  • Guaranteed Compliance – Pre-reviewed plans already meet zoning and building code requirements.
  • Proven ADU Layouts – Designed for maximum space efficiency and sustainability.
  • Seamless Project Execution – Budgeting, scheduling, and construction become much smoother.
  • 3D Modeling & Prefabrication – Advanced 3D design technology lets homeowners visualize their ADU before construction begins. Prefabricated construction speeds up builds and reduces on-site labor costs.

For homeowners in Squamish, these plans offer a cost-effective, streamlined path to building an ADU.

Final Thoughts: Is an ADU Right for You?


Building an ADU in Squamish is a smart investment, whether you’re looking to:

  • Create additional living space for family or guests.
  • Generate rental income to offset mortgage costs.
  • Increase your property value with a flexible, multi-purpose unit.

With rising housing costs and limited rental availability, ADUs are an excellent long-term solution for homeowners. Whether you opt for a prefabricated ADU or a custom design, understanding costs, permitting, and financing is key to a successful project.

Thinking of building? Get a cost estimate from NewlinesADU today!