SAN DIEGO (FOX5/KUSI) — San Diego County homeowners with an ADU on their property will soon be able to sell it separately from the main property.
The County Board of Supervisors passed an ordinance that aligns the county with Assembly Bill 1033, which promotes homeownership by allowing California homeowners to sell their ADUs like they would a condo. Homeowners could start doing that as early as next month.
“I know some of my colleagues are excited about it, but I’m apprehensive and not interested in it because there is complexity when it comes to the lender, right? I have a loan on this property and my lender would need to have a partial release of collateral in order for me to sell something, right?” said Matt Davies, a real estate broker and investor.
Davies owns several ADUs, some in the North Park neighborhood. He thinks the new ordinance is more idealistic than realistic.
“If we’re going to adopt an ordinance, I want it to be as flexible as possible to give homeowners or homebuilders room to make their projects work. So, although it’s not a perfect solution—being allowed to sell ADUs to gather more housing is a step in the right direction,” said Supervisor Jim Desmond who represents District 5.
“My main concern is that investors will buy ADUs and they will continue to rent them out,” said District 4 Supervisor Monica Montgomery-Steppe.
The board unanimously voted to approve the ordinance without added regulations, which falls in line with AB 1033. It allows the sale of ADUs in hopes of promoting homeownership.
“I just don’t see people getting to the finish line in a meaningful way. I think it’s idealistic, but there is a lot more that goes into that from every perspective,” said Davies.
He thinks it’ll be expensive to create homeowners associations to split bills and could open the door to legal claims from builders and others. However, the discussion isn’t over. The board could add to the ordinance.
In June, the board will hear options to promote first-time homeownership, which includes giving renters priority when the ADU goes up for sale and owner occupancy required for the first-year or longer.
The ordinance is expected to take effect at the beginning of April.
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