1. Home
  3. Learn About ADUs
  5. What is the California AB 68?

What is the California AB 68?

Are you a California homeowner curious about maximizing your property's value and potentially generating extra income? California Assembly Bill 68 (AB 68) is a key piece of legislation making this possible. Let's break down what this bill means for you.

TODO

Purpose Of AB 68

AB 68, passed in 2019, is the law that opened the door for homeowners across California to build ADUs. Think of ADUs as small, independent homes that can be built on your existing property, alongside or even within your current house. These aren't just sheds; they are fully functional living spaces, often referred to as "Granny Flats," "in-law suites," or "backyard cottages."

AB 68 also legalized junior ADUs (JADUs). These are even smaller, up to 500 square feet, and must be created within the existing house. A key feature of both ADUs and JADUs is that they must have their own kitchen and bathroom, making them independent living spaces.

Why Was AB 68 Necessary?

Before AB 68, building ADUs in California was often a bureaucratic nightmare. Cities had numerous rules and regulations that made it difficult and expensive to get approval. These obstacles included:

  • Lengthy Permit Times: Waiting for permits could drag on for months.
  • Restrictive Local Ordinances: Many cities had rules about minimum lot sizes or building sizes that effectively banned ADUs in many areas.
  • Parking Requirements: Converting a garage into an ADU sometimes required building a brand-new parking space to replace it.

How Did AB 68 Change Things For Homeowners?

AB 68 swept away many of these barriers, making it significantly easier and faster to build an ADU:

  • Faster Permits: Cities now have a maximum of 60 days to approve ADU permits, down from 120 days. This speeds up the entire process considerably.
  • No More Banning ADUs: AB 68 eliminated local rules that prevented ADU construction, such as excessive minimum lot sizes or strict building size limits relative to the lot.
  • Parking Flexibility: If you convert your garage into an ADU, cities can no longer require you to build a new parking space to replace the lost garage parking.
  • Streamlined Approval: Both ADUs and JADUs are now eligible for "by-right approval." This means a much simpler and faster permitting process, cutting through much red tape.
  • Rental Freedom: Cities cannot prevent you from renting out your legally approved ADU for short terms (like vacation rentals).
  • State Oversight: The state government now has the power to check whether local city ADU rules comply with state law, ensuring everyone plays by the same ADU-friendly rules.

The Potential Is Huge

Experts estimate California could see 1.8 million new ADUs on existing single-family properties. For homeowners, this represents a significant opportunity. Building an ADU can:

  • Increase Property Value: Adding another living unit to your property can substantially boost its market value.
  • Generate Rental Income: Whether you rent it out long-term or short-term, an ADU can provide a steady income stream.
  • Create Flexible Living Space: ADUs can be used for family members, aging parents, adult children, or simply as guest houses.

Is An ADU Right For You?

If you're a homeowner in California with extra space on your property, AB 68 has made it easier to explore the possibility of building an ADU. Whether you want to increase your property's value, generate income, or create more living space, it's worth investigating how AB 68 can help you unlock your backyard's potential.

To learn more, contact us to understand the specific ADU guidelines in your area. California's Department of Housing and Community Development is also a valuable resource for understanding state ADU laws.

Related Articles