Accessory dwelling units (ADUs) have taken center stage in Massachusetts’ effort to address its housing shortage. The passage of the Affordable Homes Act, championed by Governor Maura Healey, marks a pivotal moment for housing accessibility across the state. This legislation aims to increase housing options while offering homeowners new ways to maximize their property's value and utility.
What Are ADUs?
Accessory dwelling units, often referred to as "in-law apartments" or "granny flats," are smaller, independent living spaces built on the same lot as a single-family home. These units provide flexible housing options for aging family members, adult children, and even renters seeking more affordable housing options. Under the new Massachusetts law, ADUs up to 900 square feet are now permitted on most single-family lots statewide.
Why the Change?
Massachusetts faces a housing shortage of approximately 200,000 units, which has driven up prices and limited options for families, seniors, and individuals. The new ADU regulations aim to encourage the construction of 8,000 to 10,000 ADUs over the next decade, alleviating some of this demand while fostering multigenerational living and affordable housing opportunities.
Key Provisions of the New ADU Rules
The new rules establish clear guidelines on what municipalities can and cannot do to regulate ADUs. Here’s what’s changing:
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Elimination of Special Permits and Variances: Homeowners will no longer need to navigate the costly and time-consuming process of obtaining special permits or zoning variances to build an ADU on their property.
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Owner-Occupancy Requirements Removed: Towns can no longer mandate that a homeowner must live on-site to build or maintain an ADU. This opens up new possibilities for second-home owners and rental property investors.
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Parking Requirements Reduced: If the property is within a half-mile of a bus stop, train, or subway station, towns cannot require additional off-street parking. Outside these areas, towns can only mandate a maximum of one parking space per ADU.
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Restrictions on Use and Availability: Previously, some towns only allowed ADUs for seniors or required units to be rented at below-market rates. The new rules prevent municipalities from enforcing these restrictions, creating a more inclusive and accessible ADU market.
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No Town-Wide Caps or Density Limits: Towns can no longer impose limits on the total number of ADUs in a community or specific zoning district, encouraging greater development opportunities.
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Flexibility for Detached ADUs: Previously, some towns required that ADUs be attached to or carved out of an existing home. Now, standalone structures are permitted, offering more design freedom for homeowners.
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Streamlined Rules for Modular ADUs: Municipalities must adhere to the state building code when regulating modular ADUs. This creates a fair and predictable standard for builders and homeowners alike.
What Can Towns Still Regulate?
While towns must adhere to the new rules, they retain the authority to set "reasonable" design standards, setback rules, and other regulations, as long as they do not impose stricter guidelines than those that apply to single-family homes. Environmental rules related to sewer and septic capacity remain in effect, meaning ADUs must adhere to existing Title 5 laws.
What This Means for Homeowners
For homeowners, the new rules present an exciting opportunity to add value to their property and create new revenue streams. Whether it’s building a rental unit, creating space for a relative, or increasing home resale value, the possibilities have never been more accessible. Homeowners can now avoid costly permitting delays and take advantage of streamlined approvals for ADU construction.
Next Steps and Deadlines
The state is accepting public comments on the draft ADU rules from December 20 to January 10. The final version of the rules will take effect on February 2. Additionally, the state plans to release a model ADU zoning bylaw that municipalities can use to align their local regulations with state standards.
How Cape Cod Homeowners Can Benefit
Cape Cod’s unique real estate market, characterized by high property values and limited housing inventory, stands to benefit significantly from the new ADU rules. Homeowners on the Cape can now increase the value of their properties by adding ADUs, which can be used for short-term rentals, multigenerational living, or guest accommodations. Given the popularity of Cape Cod as a vacation destination, ADUs could also serve as lucrative seasonal rental units.
Additionally, Cape Cod’s tourism-driven economy means that workforce housing is always in demand. Allowing for more ADUs in the region could help meet this need while offering homeowners a chance to generate passive income.
Final Thoughts
The new ADU regulations represent a monumental shift in housing policy for Massachusetts, especially for Cape Cod homeowners looking to maximize their property’s potential. By simplifying the process, removing bureaucratic hurdles, and allowing for more flexibility, the state has made it easier than ever to create much-needed housing. If you’re considering building an ADU or want to learn more about how this change affects your property’s value, now is the time to explore the possibilities.
