SB 9 – ADU Owner-Occupancy Requirements Eliminated

SB 9 – ADU Owner-Occupancy Requirements Eliminated

More flexibility, fewer restrictions—and more housing

SB 9 builds on California’s push to expand backyard housing by eliminating owner-occupancy requirements for ADUs, whether they’re newly built or already in place. This means you no longer have to live on the property to build, maintain, or rent out an ADU.

And it’s not just forward-looking—the change is retroactive, lifting restrictions on previously built ADUs as well. This is a major win for both homeowners and small-scale housing providers who want to unlock the value of their land without regulatory roadblocks.

What This Means for You

Before SB 9, many cities required the property owner to live in either the main house or the ADU—limiting the ability to:

  • Build ADUs on rental properties,

  • Keep ADUs after moving or inheriting a property,

  • Or use the property purely for long-term housing production.

Now, those barriers are gone.

Key Benefits:

  • No owner-occupancy requirement—you don’t have to live on the property,

  • Applies retroactively—previous ADUs are also free from this rule,

  • Expands rental potential for homeowners and small developers,

  • Makes ADUs more attractive as part of long-term investment strategies,

  • Reduces compliance complexity and avoids the risk of violating outdated deed restrictions.

Whether you’re building a new ADU or already own one, this law gives you more freedom and flexibility to use your property as you see fit.

How New Avenue Homes Can Help

At New Avenue, we’ve helped hundreds of clients build ADUs that add long-term value to their properties—and we’ve worked through the challenges that owner-occupancy rules used to create.

With SB 9 in effect, the process is simpler than ever—and we’re here to help you make the most of it.

Here’s what we offer:

  • Expert guidance on zoning and permitting—now without owner-occupancy red tape,

  • Design services tailored to rental income or multigenerational living,

  • Full-service project delivery—we manage everything from idea to move-in,

  • Strategic planning for homeowners, investors, and small developers who want to scale ADU development responsibly and efficiently.

Whether you’re looking to add rental income, house family, or create long-term value, we’ll help you do it without unnecessary limitations.

Ready to Build Without Being Tied to the Property?

Schedule your free consultation today and learn how SB 9—and New Avenue’s proven process—can help you build smarter, rent flexibly, and unlock the full potential of your property.

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SB 543 – Bigger ADUs Through Smarter Math

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AB 1154 – No Parking Required for Small ADUs