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The Top 5 Reasons to Add an ADU to Your Home in California in 2022

While there are many reasons to add an ADU to your home, here are the top five reasons you should consider adding an ADU to your home in California in 2022.

1) State Property Tax Credit (New Under New Laws)
There are many reasons you might consider adding a granny unit (or another type of accessory dwelling unit) to your property. There is new legislation that will help make it easier for you. One major provision of the new law is that you’ll be able to qualify for a much larger state tax credit than before if you add an ADU. That’s because, under the new law, you’ll only need to live in one of the units, rather than both. That means more homeowners can take advantage of this generous program and contribute to solving our housing crisis!

2) No Parking Requirement
Many of the new laws passed in the 2020s have reduced the cost and time it takes to build a home. One such law, coming into effect as early as 2022, is that ADUs are now exempt from parking requirements. This will lower your housing costs by as much as $70,000-$100,000 and make your home more affordable for people who do not need a second car. The housing crisis in America has made it so that even if you can afford to buy a house, there’s nowhere left to live within driving distance. With so many large homes with big yards available on Craigslist or Zillow, why would anyone live in an urban apartment building when they could buy their own home?

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3) Easier Permits
To ease the housing crisis and make affordable housing more attainable, Governor Brown signed Assembly Bill 1807 which establishes standards for a local government review of certain applications for conditional use permits for residential development. This means that it is now easier to add a unit (ADU) to your property as long as you meet the eligibility requirements! Now anyone can apply to build an ADU and not just developers. Previously, homeowners were required to get approval from their city council before they could start construction. The law also streamlines the process of obtaining a permit. A lot of cities have specific conditions that must be met before approving the permit, but these conditions are often vague and hard to interpret. The new legislation sets some standard criteria so there’s less confusion about what’s allowed or not allowed.

4) Tighter Rental Restrictions (Under New Laws)
Rental restrictions for tenants are about to get stricter. Landlords will soon be required by law to offer a minimum of six-month lease terms as opposed to the three-month ones offered now. A prior eviction within the last three years is not allowed, meaning renters will have limited protection from landlords who try and pass off damaged apartments. Furthermore, landlords are prohibited from taking a tenant’s personal property without legal process or judicial review. If a landlord does so without legal process or judicial review, they may be liable for damages in excess of one thousand dollars per day.

5) Lower Construction Costs
Many people find that adding an accessory dwelling unit (ADU) to their existing property can be a cheaper option than purchasing a property with a detached home. Particularly, if you already own the property and are looking for an option that does not require hundreds of thousands of dollars for the purchase of a new home, or if you live in urban areas where homes tend to be very expensive. There is also more flexibility when adding on such units, as opposed to building from scratch. For example, ADUs may have less required space than a standard lot would allow for, meaning that some construction costs could potentially be avoided. Moreover, if your budget cannot afford this initial investment, there are many other options available: financial assistance programs from various government entities; friends and family who might contribute funds and loans at lower interest rates.

Looking to add an Accessory Dwelling Unit to your Home?

Step 1: Check if your property is eligible for an accessory dwelling unit using The ADU Guide free Property Report!


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