ADUs in Long Beach: Your Secret Weapon for More Rental Income

Ever wish you could clone your property and double your income? Well, Long Beach homeowners, meet your new favorite acronym: ADU. That’s short for Accessory Dwelling Unit, but you can just call it a money-making mini-home.

Think of ADUs as the real estate version of “buy one, rent one free.” It’s like adding sprinkles to your rental income sundae. Only better. Because sprinkles can’t pay the mortgage.

Let’s see why building an ADU in Long Beach might be your smartest investment move yet.

First, what is an ADU?

An ADU is a smaller, independent residential unit located on the same lot as your main house. It can be a:

• Backyard cottage
• Garage conversion
• Basement studio
• Above-garage apartment
• Or even a sidekick unit attached to your main house
  

Basically, it’s the Robin to your Batman of real estate. And in a city like Long Beach, where space is tight and rent prices are high, adding an ADU is like hitting the housing jackpot.

Why Long Beach is ADU Gold

Here’s the scoop: Long Beach is booming with renters. Nearly 60% of households here are renter-occupied. And demand? Still climbing.

With coastal charm, a thriving job market, and a location that screams “California cool,” Long Beach is a magnet for young professionals, retirees, students, and remote workers who need a place to live but don’t want to empty their savings on rent.

That’s where your ADU comes in.

Add a stylish, comfy, and private space to your lot, and you’ve got a high-demand rental asset. Think steady cash flow without buying a second property.

But wait, can you actually build one?

Short answer: Probably yes.

Thanks to California’s ADU-friendly laws, cities like Long Beach are encouraging homeowners to build small but mighty second units. In fact, the city has streamlined the process to help meet its housing goals.

Here’s what you should know:

• You can build one ADU and one Junior ADU (JADU) on a single-family lot
• Maximum size for a detached ADU: up to 1,200 sq. ft.
• No minimum lot size required
• No extra parking required if you’re near public transit (which, in Long Beach, you probably are)
• ADUs can now be rented long-term (30+ days) legally
  

Translation: Building an ADU has never been easier, or smarter.

Show Me the Money: How Much Can You Make?

This is the part that’ll make your calculator purr.

Let’s say you spend $150,000 to build a sleek, 1-bedroom ADU in your backyard. The average rent for a one-bedroom in Long Beach hovers around $2,100/month.

Do the math: That’s $25,200 per year in rental income. In just 6 years, you’ve paid off the build. After that? It’s mostly gravy.

Bonus: Your property value increases, too. According to the Urban Land Institute, homes with ADUs can increase in value by 20–30%.

So, not only do you earn monthly rental income, but you also get a nice equity bump if you ever sell. That’s what we call a double dip return.

Who’s Renting These ADUs?

Not everyone wants (or can afford) a 3-bedroom house by the beach. ADUs offer the kind of flexibility today’s renters are craving.

Common tenants include:

• College students from CSULB
• Traveling nurses (yes, it’s a thing, and they pay well)
• Remote workers who want peace, quiet, and Wi-Fi
• Aging parents or boomerang kids (hello, multigenerational housing!)

It’s the sweet spot between affordability and privacy. Which is why they rarely sit vacant.

Common Misconceptions (and Why They’re Wrong)

“It’ll take forever to build.”
Actually, many ADUs can be built in 4 to 6 months, sometimes faster with prefab units.

“Permits are a nightmare.”
Long Beach has fast-tracked ADU approvals. Plus, you can hire pros who know the ropes.

“I don’t want a tiny home in my yard.”
Modern ADUs aren’t shoeboxes. They’re sleek, stylish, and often Instagram-worthy.

But what about the headaches?

Let’s be real. Renting out any unit, big or small, comes with some work. Finding tenants, fixing leaky faucets, chasing late rent… it can pile up.

That’s where CMC Realty & Property Management steps in. Here’s what we’ll do for you:

• Market your ADU like it’s the hottest property in town
• Screen tenants so you avoid the 2 a.m. party types
• Handle repairs, rent collection, and the boring-but-important stuff
• Keep your unit occupied and your income flowing
  

You built the ADU. Let them turn it into pure profit.

ADU: Your MVP for Passive Income

Let’s recap. With an ADU in Long Beach, you can:

• Boost your property value by 20–30%
• Pull in $25K+ per year in extra income
• Offer housing in a high-demand city
• Build equity without buying another property
  

And with a good property manager? You get all the perks without the headaches.

Ready to turn your backyard into a bank account? CMC Realty & PM can help you rent smarter, not harder.