…Companies and cities are trying to clear up the red tape surrounding accessory dwelling units, or ADUs.

San Jose this month gave its first builder — Bay Area startup Abodu — preapproval to drop prefabricated homes in backyards across the city. The builder’s preapproved plans allow customers to get expedited and lower-cost city reviews. It could speed up installation to as little as two weeks, not including site preparation.

Abodu co-founder John Geary said the company aims to bring more transparency and ease to the construction of ADUs. “As a homeowner, it’s daunting and scary,” he said.

ADU permits skyrocketed in 2017 after state lawmakers loosened regulations. But applications have slowed as homeowners have run into costly construction and rage-inducing red tape.

Abodu — formed from “abode” and “ADU” — is the idea of a pair of 26-year-old former business consultants and fueled largely by their life savings…they drew up a plan to bring cheaper housing to the Bay Area. “We’re pretty bootstrapped,” McInerney said. “We’re betting on ourselves.”

Homeowners have two primary concerns — will it trigger a reassessment of their property, and what will it look like, McInerney said.

Read more about Abodu and Bay Area backyard homes at the Mercury News