California Reinstates ADU Sales Separate from Primary Home

12/19/20233 min leer


For renters hindered by unaffordable housing in California, a new avenue has opened. Governor Gavin Newsom signed Assembly Bill 1033 into law on October 14, repealing an earlier ban on the sale of accessory dwelling units (ADUs) separate from a primary residence. This means that homeowners can now legally convert their homes and other living units into two-unit or three-unit condos, offering more affordable housing options.

An ADU, also known as a backyard cottage or a converted garage, is a secondary housing unit located on the same property as the primary residence. It can be attached or detached from the main house. Previously, homeowners were not allowed to sell ADUs separately from their primary homes. However, with the new legislation in place, this restriction has been lifted.

The reinstatement of ADU sales separate from the primary home is a significant step towards addressing the housing crisis in California. With skyrocketing housing prices and a shortage of affordable options, many residents have been struggling to find suitable housing. ADUs provide an opportunity to increase the housing supply and offer more affordable options for both renters and buyers.

By allowing homeowners to legally convert their properties into two-unit or three-unit condos, the new law opens up a range of possibilities. Homeowners can now create additional housing units on their properties and sell them separately. This not only provides an opportunity for homeowners to generate additional income but also increases the availability of affordable housing in the state.

One of the main advantages of ADUs is their flexibility. They can be used as rental units, providing a source of income for homeowners. Alternatively, they can be used to accommodate extended family members or serve as a home office or studio. The ability to sell ADUs separately from the primary residence adds another layer of flexibility, allowing homeowners to maximize the potential of their properties.

With the new law in place, homeowners in California can explore various options for converting their properties into ADUs. They can convert existing structures, such as garages or unused spaces, or build new units on their properties. The flexibility in design and construction allows homeowners to customize ADUs to meet their specific needs and preferences.

ADUs have gained popularity in recent years as a solution to the housing crisis. They offer a more affordable housing option compared to traditional single-family homes. Additionally, they make efficient use of existing land and infrastructure, reducing the need for new developments and minimizing the impact on the environment.

The reinstatement of ADU sales separate from the primary home not only benefits homeowners but also renters. With the ability to sell ADUs separately, homeowners may be more incentivized to invest in creating additional housing units. This increased supply of affordable housing can help alleviate the burden on renters who have been struggling to find suitable and affordable accommodations.

Furthermore, ADUs can contribute to the overall improvement of neighborhoods and communities. By increasing the density of housing in established areas, ADUs promote a sense of community and can help revitalize underutilized spaces. They also provide opportunities for intergenerational living, allowing families to stay together while maintaining privacy and independence.

While the reinstatement of ADU sales separate from the primary home is a positive step forward, it is important to ensure that the implementation is carried out effectively. Local governments will play a crucial role in regulating and overseeing the conversion and sale of ADUs. They will need to establish clear guidelines and processes to ensure that the development of ADUs aligns with the needs and character of the community.

Overall, the reinstatement of ADU sales separate from the primary home in California is a significant development in addressing the housing crisis. It provides homeowners with more options to utilize their properties while increasing the availability of affordable housing. By embracing ADUs, California is taking a proactive approach towards creating a more sustainable and inclusive housing market.




120 Newport Center Dr

Newport Beach, CA 92660