Lots of controversy on this one!
Because of the lack of inventory and the serious housing crisis, the State of California passed a new state law that allows homeowners to add an accessory (second) dwelling unit on their property. There has been considerable push back from certain communities but the law has mostly received praise as communities are reeling from the lack of housing. The downside, according to the movement against the law is two-fold. First there is a concern of higher density in some otherwise less populated areas that have R-1 zoning (only one housing unit per parcel). Second is the increased pressure on parking as it’s somewhat unclear about how the parking requirements are allowed. According to the LA County website the parking requirements (1 space per bedroom) can be waived if the property is within ½ mile to a bus or other transit location. That is welcome news as the City continues to become more transit friendly.
The upside for homeowners is considerable. Because land is expensive, the idea of building a second house to rent has a nice return on investment (ROI). The ROI does NOT include a land expense. Second you get rental income OR a place for extended family members to live.
Check out this link for more details.
Crissi Avila will teach you how to buy smart. We’ll look at location, development, and turnover so you can spot opportunities long before most even start considering them.