What to Do if Your ADU Was Built Without a Permit in California

 Table of Content
 1. What is an ADU?
2. Benefits of Building a Permitted ADU in California
 3. The Risks of an Unpermitted ADU
 4.  Steps to Legalize an Unpermitted ADU in California
 5. New California Laws That Help
6. FAQ

As housing costs continue to rise in California, many homeowners have turned to Accessory Dwelling Units (ADUs) to create extra living space or generate rental income. But in some cases, these units were built without proper permits—either out of urgency, lack of awareness, or to save costs.


If your ADU was constructed without a permit, you’re not alone—and you’re not stuck. California has introduced pathways to help homeowners legalize unpermitted ADUs, especially as the state pushes for more affordable housing options.


Here’s what you need to know to protect your investment, avoid fines, and bring your ADU into compliance.

Accessory Dwelling Unit

What is an ADU?

An Accessory Dwelling Unit (ADU) is a secondary housing unit located on the same lot as a single-family or multi-family home. Common ADU types include:
- Detached ADUs (backyard homes)
- Attached ADUs
- Garage conversions
- Basement or attic units
- Junior ADUs (JADUs)—units under 500 sq. ft. using existing space

🌟 Benefits of Building a Permitted ADU

While unpermitted units may offer short-term cost savings, building a permitted ADU ensures you enjoy long-term benefits:

  • ✔️ Legal rental income opportunities

  • ✔️ Increase in property value

  • ✔️ Avoidance of penalties or forced removal

  • ✔️ Safety and code compliance

  • ✔️ Eligible for future resale or refinancing


⚠️ The Risks of an Unpermitted ADU

Building or owning an unpermitted ADU can carry serious consequences:

  • 🔧 Code enforcement violations

  • 💸 Fines and penalties

  • 🚫 Inability to legally rent the unit

  • 📉 Lower resale value

  • 🏚️ Potential demolition orders


Fortunately, legalization is possible, especially under updated California housing laws designed to encourage safe, affordable ADU development.


✅ Steps to Legalize an Unpermitted ADU in California

1. Conduct a Property Assessment

Start by evaluating your current ADU structure:

  • Is it up to building and safety codes?

  • Does it comply with zoning and setback rules?

  • Is it structurally sound and habitable?

🛠️ Tip: Hire a licensed contractor or architect to conduct an inspection and give an estimate for necessary upgrades.


2. Gather All Documentation

Prepare any available documents, such as:

  • Original construction plans (if available)

  • Photos of the construction process

  • Utility records or previous permits

  • Property surveys

This can help prove good faith or support your case for retroactive approval.


3. Apply for a Retroactive Building Permit

Most cities and counties in California allow you to legalize an existing ADU retroactively. You’ll need to:

  • Submit architectural drawings

  • Schedule inspections

  • Pay applicable fees (may include penalty fees)

  • Make any required upgrades to meet code

🚨 Note: Some jurisdictions offer amnesty programs that waive penalties if you come forward voluntarily.


4. Bring the Unit Up to Code

You may be required to upgrade:

  • Electrical, plumbing, or HVAC systems

  • Fire safety features (e.g., smoke detectors, egress windows)

  • Insulation and soundproofing

  • Accessibility requirements

🏗️ These upgrades are essential to ensure the space is safe and legally habitable.


5. Pass Final Inspection

Once all corrections are made and fees are paid, your ADU must pass a final inspection by the local building department. Upon approval, you'll receive an official Certificate of Occupancy.


Check How to Get an ADU Permit in California


🏘️ New California Laws That Help

California has taken steps to support ADU legalization:

  • SB 13 prevents cities from requiring owner-occupancy and limits impact fees for small ADUs.

  • AB 1033 allows cities to let homeowners sell ADUs separately, increasing their long-term value.

  • Local amnesty programs (in places like Los Angeles, San Jose, and San Diego) offer temporary windows to legalize ADUs without harsh penalties.


FAQ

Is it illegal to live in an unpermitted ADU?

Yes. In most cases, it's illegal to live in or rent an unpermitted unit. You may face code violations or eviction orders.

Can I bHow much does it cost to legalize an ADU in California?uild more than one ADU on my property?

Costs vary but can range from $5,000 to $50,000, depending on the upgrades required. However, this is often less expensive than fines or rebuilding.

What happens if I sell my home with an unpermitted ADU?

An unpermitted ADU can lower your property value, complicate financing, or delay the sale. It’s best to legalize before listing.

Can I legalize a garage conversion that was done without a permit?

Yes, garage conversions are one of the most commonly retroactively permitted ADUs. However, the structure must meet current fire and building codes.