Take a deep dive into the latest developments in Accessory Dwelling Unit (ADU) laws for California in 2023. In this blog post, we shed some light on the ins and outs of the latest regulations, guiding homeowners and real estate enthusiasts through the changes. From zoning updates to permitting requirements, we unravel everything you need to know to navigate the evolving ADU landscape.
It’s important to stay informed to help with decision-making as there are certain implications and opportunities presented by California’s ADU laws from 2023. Read on to discover valuable insights so that you can understand and comply with the legal framework.
Renée White is a top-producing real estate broker with over 20 years of experience and an annual average of 200 sales. Clients are drawn to Renée for her deep knowledge of the local Contra Costa market.
December 29, 2023
Renée White is a top-producing real estate broker with over 20 years of experience and an annual average of 200 sales. Clients are drawn to Renée for her deep knowledge of the local Contra Costa market.
The new ADU laws for California in 2023 aim to make it easier and more accessible to install an Accessory Dwelling Unit on a property. Here are the basic updates:
These will be welcome changes for many in the state. The 60-day rule was a particular bone of contention, as permitting offices had been frequently denying applications after 60 days with no communication. Now, they must provide a detailed explanation and recommendations to remedy the issues.
It will be important to get an in-depth understanding of the existing ADU rules, as well as these recent changes, to understand the intricacies of ADUs in California from 2023. Read on for more in-depth explanation and analysis.
ADU laws in California are regulations and legislation governing the construction and use of Accessory Dwelling Units. Commonly labeled ‘granny flats’, these buildings had long been available only as rentals in California. They come in all shapes and sizes – they could be a converted garage, a small home in the backyard or, as often seen in the Contra Costa housing market, an unused portion of the main house.
The existing laws around these constructions had long been criticized for being overly restrictive and unclear. Demand for reform in the legislation has led to the signing into law of Assembly Bills 976, 1033, and 2221 to change the ADU landscape in the Golden State.
Now, residents all around California have more freedom regarding what they can do with these properties. Instead of merely renting them out, owners are now given the freedom to sell them, and the rules around how they are constructed have been loosened and made more transparent. The new California ADU laws of 2023 are a welcome change for existing homeowners and prospective buyers looking to enter the California housing market.
AB 976 permanently extends the ability of property owners to construct affordable rental ADUs. These provisions had been in place as of 2020, but were due to expire in 2025. The new California ADU law has now made this a permanent provision, and new ADUs can even be built on the same property as existing rentals.
In a more significant development, the signing into law of AB 1033 drastically changes California’s ADU laws as of 2023. Under the new legislation, ADUs can be built and sold as condominiums, with the hope of providing more freedoms for property owners and making home ownership a more accessible prospect for many. The new constructions must be approved through all the proper channels, and they will be subject to a separate Contra Costa property tax (or property tax for other California counties).
This is a leap forward in the ADU landscape in California, as these properties had only been available as rentals before. It is hoped that this move will help supplement the income of retirees and offer young families affordable starter homes.
In 2023, AB 2221 streamlined California ADU law, facilitating easier construction, especially in unused commercial spaces. Previously, developers faced limitations, unable to include ADUs in plans for proposed multifamily buildings. The law’s enactment allows builders to seamlessly propose and construct ADUs in new multifamily housing plans, eliminating the need for post-completion adjustments.
The bill also brings some technical changes that reduce arbitrary decisions blocking ABUs. Previously, there were problematic terms like:
These were often abused as reasons to block ADU construction, but front setbacks are no longer a reason to preclude construction. Moreover, permitting agencies must now return detailed comments on proposed ADUs within 60 days and make suggestions for improvements to be granted permission.
This new legislation combines with the regulations laid out in AB 68, AB 881, and SB 13 to create a robust and comprehensive framework for the designing, permitting, construction, and use of ADUs in California.
