ADUROI Blog

California ADU Housing Laws 2021

November 16, 2020

AB 3182 Ting ADUROI

In September 2020, Governor Newsom vetoed Assembly Bill 69 that would have addressed the limited construction loan market. In other words, it would have helped homeowners qualify for construction loans specific to ADU’s.

The veto stated ADUs as a “critical tool for increasing housing supply in California,” but stated that AB 69 would harm the California Housing Finance Agency’s credit ratings and therefore negatively impact affordable housing production generally. The governor directed the Business, Consumer Services and Housing Agency to continue departmental efforts to increase access to capital markets for ADU applicants.

While we are unsure exactly what that means, we know it will take time for our government to figure it out. We are continuing down the road of no specific financing for ADU’s.

AB 3182 also specifies that if a local agency has not acted upon a completed ADU application within 60 days, the application shall be deemed approved.

Wow! That is some fantastic news. We all know how long the city permitting process can take so this is definitely a positive.

There you have it - the bad, the good and well hopefully more good news to come in 2021!


Written by the ADUROI Team, to help you understand if an ADU makes financial sense.

© 2020