The Accessory Dwelling Unit (ADU) Grant Program, managed by the California Housing Finance Agency (CalHFA), offers homeowners up to $40,000 to reimburse pre-development costs associated with the construction of an ADU. ADUs are extra living spaces on a property, and can be attached to the main unit, free-standing, or a converted space. These units provide an affordable and effective option for adding housing in California.
With $100 million available in funds, this program finances 2,500 potential ADUs. ADU Grant funds can be used towards pre-development and non-reoccurring closing costs associated with the construction of the ADU, including site prep, architectural designs, permits, soil tests, impact fees, property surveys, energy reports, and interest rate buy-downs.
ADUs can be built quickly on existing lots, and by providing the funds needed to develop these units, the ADU Grant allows homeowners to streamline the development of their property and ease the housing shortage.
Please note that the ADU Grant Program is not currently allocation additional funding or accepting applications.
Photos courtesy of CalHFA.