Blog > Homes With ADU Potential in Los Gatos: Prices, Neighborhoods and Homes for Sale (2026)

Homes With ADU Potential in Los Gatos: Prices, Neighborhoods and Homes for Sale (2026)

by Eric & Janelle Boyenga

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Looking for homes with ADU potential in Los Gatos? Of the 729 houses that sold in Los Gatos in the two years to October 27, 2026, 37 (5%) were described in their listings as having room for an ADU (potential, not an existing unit); across Silicon Valley it’s 4%. Here’s what they sold for, by size, price and neighborhood, and a one-click search of the ones for sale now.

The short answer

  • Median price: $2.51M (all Los Gatos houses: $2.75M), 11% less per square foot than the typical Los Gatos house.
  • Typical size: 2,461 sq ft, 4 bedrooms.
  • Bidding: 32% sold over asking (all Los Gatos houses: 39%).
  • Where they sold most: Blossom Hill (7), La Rinconada (5) and Shannon & Kennedy Road hills (3).

Shopping now?

By bedrooms

Homes with ADU potential sold in Los Gatos in the two years, by bedroom count (groups with at least 3 sales).

BedroomsSalesMedian priceMedian sq ft
39$2.3M1,944
414$2.4M2,393
5+11$4.5M4,002

By price

How the 37 sales spread across price bands.

Sale priceSalesShare
under $1.5M411%
$1.5M to $2M38%
$2M to $2.5M1130%
$2.5M to $3M514%
$3M to $4M719%
$4M to $5M38%
$5M and up411%

By neighborhood

Our Los Gatos neighborhood guides with at least 3 such sales, placed by map position; “share” is of all house sales in the neighborhood.

NeighborhoodSalesShareMedian price
Blossom Hill76%$3M
La Rinconada511%$3.1M
Shannon & Kennedy Road hills37%$5.85M

Before you buy

  • “ADU potential” is the seller’s view, not a permit. Check the lot size, setbacks, utilities and access with the town before you count on it.
  • Costs vary widely between a garage conversion, a junior ADU and a new detached unit; get bids early.
  • Our ADU guide walks through what a lot can hold, and SB 9 may allow a lot split.

How we counted

Closed sales of houses (MLS property type “single family home”) with a Los Gatos address between October 28, 2024 and October 27, 2026, reported to the MLS and read through the IDX feeds that power our home search, with repeat records from different feeds removed (same normalized address or same MLS number, plus the same sale date). A house counts when its listing description mentions room, plans or potential for an ADU; houses that already have one are counted on our ADU pages instead. Price per square foot uses sales with 400 sq ft or more and is compared with the median for all Los Gatos houses. Neighborhoods are our guides’ outlines, placed by each sale’s map position. Past sales aren’t a forecast or the value of any one home.

Go deeper

Homes with ADU potential across Silicon Valley, every home type in Los Gatos, Los Gatos neighborhoods compared and the neighborhoods with the most single-story homes, pools and ADUs.

Looking for homes with ADU potential in Los Gatos?

A Property Nerd will tell you which streets have them, what the recent ones sold for, and set up a search that catches new listings the day they hit. Call (408) 373-1660 or (650) 383-8606, or book a strategy call. Commissions are negotiable, and we offer bundled services, so ask us what’s included.

Selling one? Start with selling a home in Los Gatos: how we’d price, prepare and launch your sale, and the homes we’ve listed and sold in Los Gatos.

Questions about this post? Ask a Property Nerd.

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