It is getting easier to obtain permits for Accessory Dwelling Units (ADUs). Hundreds have been approved in both the City and County. Restrictions are stronger in the City than in the County. Owner occupancy is required in at least one unit in the City. The County allows both units to be rented. More than 90 percent of applications are for owner occupied even in the County.
Accessory Dwelling Units are found in middle and lower priced neighborhoods, with few in luxury areas. The majority are owners legalizing existing rentals and most use the rentals to supplement their income while living on the property. Most are created through conversions of garages or other structures on the property,or they are found inside existing homes. Few are newly built.
The “development fees” some governments charge are a contentious issue. Goleta charges $15,000 per ADU permit and the County charges a $6,500 “development fee.” Fees can stop people from even applying.
In Coastal Zone areas of both the City (the Mesa below Cliff Drive), and County, the liberal state regulations are the only applicable rules. Neither the City or the County can regulate ADUs in the coastal zone; it may take years until the Coastal Commission passes regulations. Until then, local jurisdictions cannot control ADUs in the Coastal Zones.
The normal Floor Area Ratios (FARs) that determine how large a house can be do not apply to ADUs. So, the 1,200 square feet (maximum size) of an ADU do not need to be included in the calculations of the main dwelling.
The City has reduced the required minimum open space for ADUs to only 500 square feet. The County has no restrictions on ADUs in high fire zones. The City only restricts them in the Extreme Foothill Fire Zone. Despite a clear state mandate to allow parking in the front yard setback, the County does not allow it. The County did away with restrictions from being on a septic system, as long as you show that the septic system is big enough to handle the addition.
Mesa Market Report
Changes to Short Term Rentals
Most local locations still restrict Short Term Rentals (STRs). STRs are accepted and regulated in both San Luis Obispo and Ventura counties. They are also regulated in Goleta with methods for neighbor complaints to end a rental. They are allowed in the coastal zone areas of the County of Santa Barbara. However, they are not legal in the coastal zone in the City of Santa Barbara—primarily the Mesa between Cliff Drive and the ocean.
Legal STRs on the Mesa could change soon. A lawsuit to allow STRs in the Mesa Coastal Zone goes to court on February 1 with a ruling expected within 30 days. There may be restrictions on the number of rentals allowed, or the City may get its way and STRs will remain banned throughout the Coastal Zone.
Many locations inside the City of Santa Barbara actually allow STRs right now. These are zoned R-4 (multi-family residential) or C-2 (commercial) because they allow hotel uses. Not everyone can acquire a STR permit even if the property is zoned correctly. A recent lawsuit asking the City for more lenience in granting STR permits lost in court.
The County allows “Homestays.” Homeowners can rent up to three bedrooms in their home for “Homestays” to allow short term visitors.This provides much higher income than just renting rooms by the month. You cannot do “Homestays” for less than 30 days in the City.
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