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ADUs - their time has come in California

By
Real Estate Agent with Compass CA DRE# 01215160

With sky-high real estate prices in much of California and a shortage of housing, Accessory Dwelling Units, or ADUs as they are commonly called, provide a unique opportunity to address these issues and more. They can afford housing options for family members, friends, students, elderly, in-home health care providers, and others. They can provide rental income for homeowners. They integrate housing choices within established neighborhoods.

Recognizing the need for additional rental housing, two state statutes, SB 1069 and AB2299, went into effect January 1, 2017. These statutes address barriers to the development of ADUs and prohibit local government from adopting ordinances that precludes ADUs. Effective January 1, 2018 are SB 229 and AB 494 which clarify the previous statutes and promote the development of ADUs

Restrictive parking requirements used to stop many ADU plans in their track; no more. Utility connection fees were often based on new residential use; no more. ADUs must comply with local building code and safety requirements.

For more information, download information (here's one) from the California Department of Housing and Community Development and then the specific city involved.

Many cities have developed their own ordinances in compliance with the current rules, including:

 

 

Comments (31)

Will Hamm
Hamm Homes - Aurora, CO
"Where There's a Will, There's a Way!"

Interesting subject Lottie and one that we all should know about with the prices and demand.  Thanks  for the great blog.

Jul 29, 2018 05:26 PM
Lottie Kendall
Compass - San Francisco, CA
Helping make your real estate dreams a reality

You're welcome, Will Hamm . ADUs make a lot of sense when there is a severe housing shortage, plus the demographic is growing that wants extra space for extended family.

Jul 29, 2018 06:13 PM
Elizabeth Weintraub Sacramento Broker
Elizabeth Anne Weintraub, Broker - Sacramento, CA
Put 40 years of experience to work for you

We also call this situation "infill development" in Sacramento. The city is very pro infill development. Some of the homes are very modern. Others are constructed inside garages on the alley. It wasn't until this weekend that I read an article describing ADUs (accessory development units) that I thought, wow, it has a name, LOL.

Jul 30, 2018 10:04 AM
Lottie Kendall
Compass - San Francisco, CA
Helping make your real estate dreams a reality

"infill is a good term, Elizabeth Weintraub Sacramento Real Estate Agent, Top 1% of Lyon Agents for that's what it is, and has been going on for a long time. What is new are the state laws streamling the process so individual cities can't make unreasonable demands to stymie building these units.

Jul 30, 2018 12:55 PM
Debe Maxwell, CRS
Savvy + Company (704) 491-3310 - Charlotte, NC
The RIGHT CHARLOTTE REALTOR!

Great information for the conusmer, Lottie! I have referred at least 1/2 dozen people to ADU builders in the last few months here in Charlotte as well. Their needs are for multi-generational purposes though.

I am also personally in search of a lake lot on which to build an ADU for my husband and me. We want a local week-end getaway spot and think this will be a great future investment!

Jul 30, 2018 07:54 PM
Lottie Kendall
Compass - San Francisco, CA
Helping make your real estate dreams a reality

Multi-generational housing in the form of ADUs is one of the main purposes here, too, Debe Maxwell, CRS  A small house on a lake sounds wonderful; hope you find your dream spot soon.

Jul 30, 2018 08:35 PM
Debe Maxwell, CRS
Savvy + Company (704) 491-3310 - Charlotte, NC
The RIGHT CHARLOTTE REALTOR!

Me too, Lottie! All we really need is a little sliver for a tiny house...and a walkway to the lake! 

Jul 30, 2018 08:40 PM
Lottie Kendall
Compass - San Francisco, CA
Helping make your real estate dreams a reality

That sounds perfect, Debe Maxwell, CRS 

Jul 30, 2018 08:45 PM
Patricia Feager, MBA, CRS, GRI,MRP
DFW FINE PROPERTIES - Flower Mound, TX
Selling Homes Changing Lives

Lottie Kendall - I have never heard of ADU's before. Very interesting! Due to affordability, it nice to know there are alternatives, especially for the elderly, people just getting started, students, and health providers. I hope they will make positive change for those who can't afford luxury homes but still need housing. 

Jul 30, 2018 11:22 PM
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Lottie, bet it won't be long and Denver will be following suit.  Our prices have sky-rocketed as well, and low inventory.   

Jul 31, 2018 11:40 AM
Lottie Kendall
Compass - San Francisco, CA
Helping make your real estate dreams a reality

Hi Patricia Feager - ADU's are great for all those reasons, Multi-generational living is another idea that is gaining popularity for many reasons as Debb Janes EcoBroker and Bernie Stea JD knows well.

Jul 31, 2018 12:03 PM
Lottie Kendall
Compass - San Francisco, CA
Helping make your real estate dreams a reality

Hello Joan Cox - One of the reasons ADUs are gaining in popularity here is that we have no more room to expand outward. San Francisco is fully built out, at the tip of the Peninsula. The Peninsula is built up all along the bay, with the coastal lands preserved. Infill is the only solution, and it's a good one.

Jul 31, 2018 12:06 PM
Carol Williams
Although I'm retired, I love sharing my knowledge and learning from other real estate industry professionals. - Wenatchee, WA
Retired Agent / Broker / Prop. Mgr, Wenatchee, WA

Hi Lottie,
It's good to see ADU's are becoming more accepted.  Necessity is the Mother of invention.  Right? 

Jul 31, 2018 12:31 PM
Lottie Kendall
Compass - San Francisco, CA
Helping make your real estate dreams a reality

No only are they becoming more accepted in California, but the State has streamlined the process so individual cities can no longer put up so many roadblocks to their creation. It's a good thing, Carol Williams 

Jul 31, 2018 12:35 PM
Margaret Rome Baltimore 410-530-2400
HomeRome Realty 410-530-2400 - Pikesville, MD
Sell Your Home With Margaret Rome

Lottie Kendall Thanks for bringing this subject up. Like Patricia Feager , I was not familiar with this term. Going to do some research on ADU.

Aug 04, 2018 09:33 PM
Lottie Kendall
Compass - San Francisco, CA
Helping make your real estate dreams a reality

Good morning Margaret Rome, Baltimore Maryland -  I wonder if the same term is used in Maryland, Accessory Dwelling Units (ADUs) ? There are so many good reasons why this type of housing is gaining popularity.

Aug 05, 2018 07:23 AM
Margaret Rome Baltimore 410-530-2400
HomeRome Realty 410-530-2400 - Pikesville, MD
Sell Your Home With Margaret Rome

Lottie Kendall Some of the Maryland counties have ADUs and I will be checking them out. 

Aug 05, 2018 07:45 AM
Georgie Hunter R(S) 58089
Hawai'i Life Real Estate Brokers - Haiku, HI
Maui Real Estate sales and lifestyle info

Maui is getting more relaxed on the rules for ADU's too... we call them ohanas.  The minimum lot size requirement is lower, allowing for some tiny homes to be built.

Aug 08, 2018 11:30 PM
Lottie Kendall
Compass - San Francisco, CA
Helping make your real estate dreams a reality

Aloha Georgie Hunter R(S) 58089 - ohana means "family," correct? Can these houses also be rented out? It makes good sense where land is at a premium and housing costs high.

Aug 09, 2018 08:10 AM
Georgie Hunter R(S) 58089
Hawai'i Life Real Estate Brokers - Haiku, HI
Maui Real Estate sales and lifestyle info

Lottie Kendall Yes Ohana means family, and was originally intended for use by extended family, but of course people rent them out.  Sometimes it's just what a buyer is looking for to help pay the mortgage.

Aug 09, 2018 09:52 PM