All Forum Posts by: Kevin Walsh

@David Gutierrez, best of luck to you. It's sounds like you are on the right track but I cannot answer your question with confidence. I know having it permitted as a single family residence is different than an ADU because ADUs have restrictions that other units do not and I am told ADUs can present challenges with obtaining traditional financing where other units do not.

My question for you is, since you are in a multifamily zone, why not build units instead of ADUs? It seems to me that would be preferable if it's allowed. And maybe it's not allowed so that is why you are pursuing ADUs.

Another question, for my benefit: do you know that a property with two physically separate homes is allowed to have two ADUs? And is that because you are in a multifamily zone or would that apply to an R-1 zone as well? And how did you learn this? I have two permitted physically separate homes on a lot that is now R-1 single family. My read of the state ADU law is that any single family home can have an ADU and that a single family home is defined by the structure being separate, not the property. So I think I can build two ADUs but I am not confident as the law is rather obtuse (as usual).

@Nicole C., pretty much any reasonable value add will pay for itself in the long run. Bathrooms are more expensive to add relative to the forced appreciation and income they yield but probably still worth it if you can make it work. I tend to look for stuff like a formal living room or dining room that can be made into a bedroom or contribute to a JADU for really high forced appreciation relative to expenditure.

I don't know your situation but we could not afford a single family home in LA but we could afford two. Sounds odd but it's true: you can find low or no money down financing as a first time owner occupant buyer and having tenants pay your mortgage really helps with affordability. We are cash flow positive while living in a 3/2 separate home on our property.

@Dan H. thank you. I emailed them. They just responded with the code and a link which I had already been reviewing. I reiterated my specific question and interpretation of the law but have not heard back in 4 days now.

Yes, I think owner occupancy is required to build a JADU but I wonder if continued owner occupancy is required to keep the JADU legal.

CA's foreclosure moratorium will last through August last I heard and I would not be surprised it gets extended even if it's allowed to expire initially. It could be a long while.

Wow, thank you, @Gavin D., for the thorough response and tips. How did you find that LA county lis pendens that you linked to at the end?

Find an underutilized property, something with enormous square footage and garages. California allows creating a JADU (junior accessory dwelling unit) up to 500sf carved out of the existing house and a separate ADU up to 1200sf that can be a garage conversion. So any single family home can legally be turned into a triplex anywhere in California, even R-1 zones. If zoned multifamily, even better.

As for when to buy, I'd say if you can find a great project that you can make work today, do it. Give yourself plenty of cushion so you can withstand issues that come up. It seems there is an inevitable buyer's market in the future due to all the unemployment but there's lots of uncertainty there. Foreclosure moratoriums can be extended or brought back if they do expire and as other options become less attractive, more wealth may get parked in RE and keep prices up.

I am looking for a real estate lawyer who has knowledge of ADU (accessory dwelling unit) law in California. I'd appreciate recommendations.

My question: Is the city of Hawthorne required to allow an existing 450sf JADU (junior accessory dwelling unit) on a property with two single family homes that has since been downgraded to R1 single family? The houses were built in 1978, the R-1 down-zoning happened some time after, and the JADU was built unpermitted in 2016.

I think they might be required to allow the JADU based on new state laws encouraging ADUs but I am having trouble being sure about that for this particular situation. In my ideal interpretation, I would be allowed a JADU and ADU for each of the separate homes because they are physically separate and so not considered multifamily under the law. I could also interpret that a JADU is allowed but not an ADU since there is already a separate home on the property.

Does anyone have ADU experience in Hawthorne? Do they require ongoing owner-occupancy for the JADU as some cities do?

Can you still apply for forbearance on your mortgage? Ask your lender. That could buy you time.

@Justin Hammond any state will do as an example if you're willing. If not, no worries.

@Justin Hammond, I love that. Even if it turns out that paying an aggregator is more reliable than a VA, I like knowing where all the data is coming from and understanding how it all works. I have tried to do just that with Orange and Los Angeles Counties in California but I cannot find where all this info is posted. If you are willing, do you have an example county that you can point to where each public data source is as an example?