Yes, you can rent out an ADU in Santa Clarita, but only for terms longer than 30 days. State law and the City of Santa Clarita both bar short-term rentals of ADUs. In August 2026, Santa Clarita 1-bedroom rentals averaged about $2,190 a month and 2-bedrooms about $2,740, which is the market a new ADU competes in.
This is general information, not legal or tax advice. Landlord rules change, so confirm before you sign a lease.
What rental rules apply to ADUs here?
- Long-term rentals are allowed. The ADU can have its own lease, separate from the main house.
- No rentals of 30 days or less. State law requires ADU and JADU rentals to be longer than 30 days, and the city’s ADU handout says the same.
- The ADU can’t be sold separately from the home.
- Junior ADUs: if the JADU shares a bathroom with the house, the owner must live in the house or the JADU.
- HOA rules: some HOAs have rental rules, such as minimum lease terms. State law limits HOA control over building an ADU, but read your CC&Rs on renting.
Do rent caps and just-cause rules apply?
California’s Tenant Protection Act (AB 1482) caps annual rent increases and requires just cause for many evictions, but it has exemptions. Housing built within the last 15 years is generally exempt, which covers a new ADU. An owner-occupied single-family home that rents out no more than two units, such as an ADU or JADU, is also exempt from the just-cause rules. These rules are technical, so check with a landlord-tenant attorney for your situation.
How much can you charge for a security deposit?
Since July 1, 2024, California generally limits security deposits to one month’s rent. Some small landlords who own no more than two residential properties with four or fewer total units can charge up to two months.
What do ADUs rent for in Santa Clarita?
| Unit type | Average Santa Clarita rent, August 2026 |
|---|---|
| Studio | about $1,590 |
| 1 bedroom | about $2,190 |
| 2 bedroom | about $2,740 |
These averages cover all property types. A new ADU with in-unit laundry, good light, and private outdoor space can price toward the top of its size class. Check current local listings before you set rent.
Does the rental math work?
Here’s an example with stated assumptions. Your numbers will differ.
- A $200,000 ADU financed at 7.5% over 30 years costs about $1,400 a month in principal and interest. Over 20 years it’s about $1,610.
- Property tax on the added value and insurance can add roughly $200 to $300 a month.
- That puts the new monthly cost at roughly $1,600 to $1,900.
- At $2,200 rent, setting aside 15% for vacancy and maintenance leaves about $1,870.
In that example, the ADU roughly breaks even to modestly positive before income taxes. It works better with a lower build cost, more cash down, or higher rent. The test before you build: monthly rent minus 15% should exceed the new monthly payment, taxes, and insurance.
What landlord habits prevent problems?
- Screen every applicant with a written application, credit and background checks, income verification, and landlord references. Apply the same criteria to everyone, as fair housing laws require.
- Use a written lease that covers rent, deposit, utilities, parking, yard use, guests, and maintenance.
- Decide utilities up front. Submeter, split by a written formula, or include utilities in rent.
- Set shared-space rules for yard, parking, trash, and noise before move-in.
- Never use self-help eviction, such as changing locks or shutting off utilities. It’s illegal in California.
What about taxes?
Rental income is taxable. Landlords can generally deduct expenses such as mortgage interest on the ADU’s financing, insurance, repairs, and depreciation on the ADU structure. Talk to a CPA about your situation.
Ready to build a rental ADU?
Call (661) 486-8393. If no one answers, leave a voicemail with your name, phone number, address, and the type of ADU you want. You can also use the contact form. We’ll pass your details to a local ADU contractor, who will follow up with you directly. There’s no obligation to hire.
ADU rental FAQs
Can I put my ADU on Airbnb in Santa Clarita?
Not for short stays. ADU rentals must be longer than 30 days under state law and the city’s rules.
Can I live in the ADU and rent out the main house?
Yes, for a standard ADU, since there’s no owner-occupancy requirement. For a Junior ADU that shares a bathroom with the house, the owner must live in either the house or the JADU.
How much rent can an ADU bring in?
It depends on size, finishes, and location. In August 2026, Santa Clarita averages were about $2,190 for a 1-bedroom and $2,740 for a 2-bedroom.
Does AB 1482 apply to my ADU?
A newly built ADU is generally exempt from the statewide rent cap for 15 years, and other exemptions may apply. Confirm with a landlord-tenant attorney.
Sources
- Rentometer: average rent in Santa Clarita, CA (August 2026)
- City of Santa Clarita Planning Division: ADU handout (2026)
- Best Best & Krieger: AB 1154 and the 30-day rental rule
- California Civil Code 1946.2 (just cause eviction rules and exemptions)
- California Civil Code 1947.12 (rent cap and exemptions)
- California Civil Code 1950.5 (security deposits)