With the average house in San Jose costing more than $1 million, the city has jumped at implementing a new state law that could bring more homes to market.
San Jose is the first city in California to opt into a law passed by the state Legislature last year that allows residents to sell their accessory dwelling units (ADU), also known as in-law quarters and granny units. The city wants these ADUs to go on the market as condos. Its objective is to use these backyard homes to increase the city’s affordable housing stock, but unlike ADUs developed by nonprofits that come with an affordability restriction, other homeowners can sell their ADUs at market rate.
“We are hopeful that the smaller size of ADUs will make them somewhat more affordable by design than the traditional single family residence,” Martina Davis, division manager with San Jose Planning, Building and Code Enforcement, told San José Spotlight.
With more than 6,300 homeless people in the city, San Jose ranks as the fourth highest in the U.S. for number of homeless people per capita based on a recent survey. And for every one person that gets housed, nearly two become homeless in Santa Clara County as people are priced out of their homes.