DADU Cost in Nashville: What It Really Costs to Build a Detached Accessory Dwelling Unit
- Fabl Design Communications
- 20 hours ago
- 3 min read
As housing needs evolve, more homeowners in Nashville are exploring Detached Accessory Dwelling Units (DADUs) as a flexible solution for rental income, multigenerational living, or long-term property value.
One of the first — and most important — questions homeowners ask is:
What is the real DADU cost in Nashville?
The answer depends on size, site conditions, and design choices, but there are clear local cost patterns worth understanding before you plan.
Average DADU Cost in Nashville
For a professionally designed and constructed DADU, Nashville costs typically fall within these ranges:
Small DADUs (400–600 sq ft): approximately $200,000–$250,000
Mid-size DADUs (600–900 sq ft): around $220,000–$280,000
Large or custom DADUs:Â $300,000+, depending on finishes and site complexity
These figures reflect current labor, materials, and permitting realities in the Nashville market, not prefab or ultra-minimal builds.
DADU Cost per Square Foot in Nashville
Most homeowners are surprised to learn that smaller DADUs often cost more per square foot.
In Nashville, the DADU cost per square foot typically ranges from:
$250–$475 per sq ft
Why?
Foundations, utilities, and permits are fixed costs
Kitchens and bathrooms drive a large portion of the budget
Mobilization and inspections don’t scale down with size
This is why a compact backyard unit isn’t necessarily a budget project.
What Impacts DADU Cost in Nashville the Most
1. Site Conditions
Sloped yards, limited construction access, tree protection zones, or long utility runs can significantly increase the total DADU cost.
2. Utility Connections
New sewer, water, electrical, and sometimes gas connections are major cost drivers for Nashville DADUs — especially for rear-yard builds.
3. Design & Permitting
Architectural design, zoning reviews, and Metro Nashville permits are essential and should be included in early budgeting.
4. Construction Quality
Long-term durability, insulation, sound control, and material quality matter — particularly if the DADU will be rented or used year-round.
What’s Typically Included in a Nashville DADU Budget
Usually included:
Foundation, framing, roofing, windows
Plumbing, electrical, HVAC
Standard interior finishes
Required inspections and code compliance
Often excluded or separate:
Architectural & engineering fees
Landscaping or fencing
Driveways, parking pads, or alley improvements
Appliances and furnishings
Premium material upgrades
Understanding these distinctions helps prevent budget surprises.
Zoning Rules That Affect DADU Cost in Nashville
Before finalizing your DADU budget, confirm:
Lot and zoning eligibility
Maximum allowable DADU size
Height and setback limits
Owner-occupancy requirements
Any overlay or neighborhood restrictions
Early zoning confirmation can save thousands by avoiding redesigns later.
Is the Cost of a DADU in Nashville Worth It?
For many homeowners, the value goes beyond construction cost.
A DADU can:
Generate long-term rental income
Support aging parents or adult children
Increase overall property value
Add flexibility in a growing housing market
However, DADUs work best as long-term investments, not quick flips.
Final Thoughts on DADU Cost in Nashville
A realistic budget for a Nashville DADUÂ today is:
$200,000 to $300,000+, depending on size, site conditions, and level of finish.
Understanding true costs early — and planning with local expertise — is the key to a successful DADU
Important Disclaimer
Building codes, zoning regulations, HOA requirements, and permitting processes in Nashville and surrounding municipalities may change over time. Always verify current requirements through official government or municipal sources. This article is for informational purposes only, and Fabl Design is not liable for decisions made based on this content.

