California Introduces New Legislation: Senate Bill 9 – What Is It? 

Posted on October 25, 2021. Filed under: Los Angeles Real Estate, Orange County Real Estate | Tags: , , |

Senate Bill 9 is a new California state law that would allow homeowners to divide their property into 2 lots and place up to 4 homes in areas that were previously only allowed one home, regardless of local zoning. You could use SB9 to split your lot (and sell that part of your yard), add a 2nd home to your lot, or both.


                     
Taking effect on January 1, 2022, SB9 intends to address the statewide housing crisis California is experiencing. The goal is to expand housing production as the continued housing crisis grows. The hope is that this bill will expand housing options for people of all incomes and expand the opportunities available for homeowners and renters. Two homes could be placed in what is now considered a single-family lot. The new lots would be required to contain 40 to 60 percent of the original lot space. 

What does this mean for homeowners and the real estate market? Two important things: 1) You could keep your current home but earn additional revenue by selling a part of your property to a new neighbor and 2) this bill could potentially add as many as 800,000 new units to the California market.                

SB9 would require cities and counties to approve of the housing development proposals if they meet the specified size and design standards. Some of the requirements considered for the proposed housing development include but not limited to: the area does not require demolition, ordinance, is not located within a historic district, is not included on the State Historic Resources Inventory, or is not within a site that is legally designated as a city or county landmark, historic property or district. If the identified requirements are met, the application for a housing development could be approved without a hearing. The new four-plexes would still need to follow local zoning rules and regulations in regards to things such as height and yard requirements. 

To learn more about the new legislation, here are some helpful links that provide additional detail: 

1) National Law ReviewIncludes a summary of SB8, SB9 and SB10. Key takeaways are also included for quick reference. 
2) CA Legislative Information The details of Senate Bill No. 9 and the proposed bill 

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