As of January 1, 2025, California has introduced several groundbreaking laws to make building Accessory Dwelling Units (ADUs) easier and more profitable for homeowners and investors.
Property owners with multi-family buildings can now build up to **8 detached ADUs** on their lot, provided it doesn't exceed the number of existing units on the property. This is a massive increase from the previous limit of two.
The requirement for a property owner to live on-site while renting out an ADU has been permanently removed. You can now rent both the main house and the ADU simultaneously, maximizing your rental income potential.
Cities are now mandated to approve or deny ADU applications within **60 days**. If your local building department takes more than 30 days for an inspection, you may now hire private professional inspectors to move the project forward.
In participating cities like Sacramento, homeowners can now sell their ADUs separately from the main house as individual condominiums. This allows for a much faster return on investment than long-term renting.
If you have an unpermitted ADU built before 2020, you can now apply for a permit without the risk of automatic rejection or harsh penalties, provided the unit meets basic safety standards.