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Accessory dwelling units (ADUs) have become a key housing solution five years after being approved in Los Angeles as wildfires rage across California, destroying more than 9,000 homes and displacing thousands of residents. surfaced.
An ADU, also known as a granny flat, in-law apartment, or casita, is a separate living space attached to or on the same property as a single-family home. According to Zillow, they can take many forms, including freestanding structures, home additions, and basement or garage conversions.
These units have become an important alternative source of housing stock, especially in times of crisis.
California’s wildfire crisis began last Tuesday due to a combination of drought, strong Santa Ana winds and months of rain, said Cal Fire Advisor Alison Deak.
Deke explained the unusual timing of these situations: Don’t let it happen. ”
The fire started in the Pacific Palisades and spread to multiple areas, including Eaton, Hearst, Lydia, Kenneth, and Sunset. The Sunset Fire has been extinguished, but firefighters are still battling other blazes.
The wildfire crisis also exacerbated California’s existing housing shortage. Shelton Wilder, a Los Angeles-based luxury real estate agent, described the dire situation:
“Thousands of people are homeless and in need of a place to live. There is already a housing shortage and many are now unable to live.
“This is apocalyptic. We’ve never seen anything like this before,” Wilder said.
In response to the devastation, many displaced people are seeking shelter in ADUs, even though authorities have set up temporary shelters.
ADUs can offer many benefits to homeowners, offering the potential to generate rental income, maximize property value, and create alternative housing solutions, especially during emergencies, such as the current crisis.
Law changes pave the way for more ADUs in California
Kendyl Young, a California-based broker-owner, author and speaker on ADUs, says these units represent the largest segment of residential real estate approved in the past two years. speak Young believes this is due to a number of factors, including new ADU rules and increased demand due to rising home prices and reduced supply.
According to California architecture firm EZ Plans, recent legislative changes have made it easier to both construct and utilize ADUS.
Unpermitted ADUs will be approved if they meet health and safety standards. Local agencies must provide a checklist of necessary repairs and cannot charge penalties, impact fees, or connection fees if new utility connections are not required. Property owners can build up to eight single-family ADUs on multifamily land, provided they do not exceed the number of residential units and meet setback and height requirements. Can be built on uncovered parking lots without the need for alternative parking. The California Coastal Commission plans to provide guidelines to streamline the ADU permitting process in coastal areas by July 1, 2026.
These reforms build on previous legislation in 2019, which led to an 88% increase in ADU permits between 2019 and 2022, increasing the number of units from 5,852 to 17,460, according to the Cato Institute.
Young said this is likely because rents are likely to rise due to the wildfires and it will take more time for the Los Angeles County Department of Buildings (and all related agencies) to approve new construction to replace destroyed homes. He said the situation would continue for several years.
While ADUs are a practical solution, the cost to build them can be significant. For example, a custom single-family unit in San Jose, California may cost $250,000, while renovating an existing space can range from $80,000 to $150,000. Fixed costs such as excavation and foundation work are a factor in the price increase.
Homeowners have financing options such as FHA-backed loans, cash-out refinances, second mortgages, and home equity lines of credit.
According to Young, ADUs were initially expected to serve the “missing middle class,” offering lower-cost rentals in more expensive areas. However, due to increased demand, these prices may increase.
“The wildfires will likely cause a surge in demand for all rental housing, including ADUs, until prices peak,” Young said.
“I’m exhausted and heartbroken,” Young continued. “My home is safe, but I know too many clients, friends, and colleagues who have lost their homes.”
Mr. Wilder’s team, Shelton Wilder Group, works tirelessly to introduce 30 to 40 clients. Wilder said the team has been sharing resources even when they can’t help clients directly.
Wilder himself moved from Brentwood, where the flames are still burning. Support from friends and customers helped her get through the crisis.
Meanwhile, President Joe Biden’s major disaster declaration freed up federal resources to assist affected communities.
Deke emphasizes the importance of advance emergency planning for those living in areas not yet directly affected by wildfires.
Stay up to date on weather conditions Avoid activities that can generate sparks, such as smoking in dry areas Sign up for mobile alerts Pack essentials in your on-the-go bag
“There will be fires in Southern California,” Deak said. “Think about what you can do to prepare for these events.”
Email Richelle Hamiel
