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Updated about 3 years ago on . Most recent reply
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New California Law on 1/1/2022 for homeowners add 3 housing units
A new California law takes effect on January 1, 2022. It allows every homeowner to split their single-family home lot into two and develop 3 more units. For instance, a homeowner keeps the home on one lot and purs a duplex on the new lot. Or, demolishes the home and put a duplex x on each lot for 4 units.
I just published a 2,000-word article about California's new laws SB 9 and SB 10 which begin on January 1, 2022.
I wrote the article for the WeLease Blog (a San Diego Property Mgmt. Company).
I can't post the URL link here (not allowed) but can send it to anyone who wants to read it.
Steven Rich, MBA
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@Matt Devincenzo The giant law firm Gibson and Dunn (5 offices in California) recently published their legal opinion about SB 9 and made these conclusions:
The SB 9, California Housing Opportunity and More Efficiency (“HOME”) Act allows homeowners to subdivide their current residential lot or build a duplex.
Split lots: A housing project under SB 9 qualifies to split a lot under these requirements:
- Lot size minimum: Each parcel cannot be lesser than 40% of the original lot size; Each parcel must be no less than 1,200 square feet unless a local ordinance permits a smaller size;
- Residential use: The parcel can only be used as a residence;
- Prior subdivision: The homeowner didn’t subdivide an adjacent lot into a lot split under SB 9; and
- Applicants must sign an affidavit stating the intention to live in one of the units as the principal residence for at least three years after approval of the split.
Faster project process: Administrative approval of duplex residential development on a single-family lot without discretionary review or hearings.
Again, I can't include non-Bigger Pockets URL links here, but you will find it on their website. It looks pretty clear that many California homeowners can meet these requirements.
According to the U.C. Berkeley Terner Center report (July 2021) showing every California County, in L.A. County 127,000 lots qualify for a split and development as market feasible, and 54,500 lots in San Diego County too. You can Google the Terner Center report which is very informative.
I didn't add up all the counties in California, as I wrote my article for a San Diego property mgmt. company. But, it looks like hundreds of thousands of lots are market feasible.