Rent

Understand renting out your ADU | Consider affordable prices | Make a long-term plan

Project TIMELINE

Most ADU projects take 12-18 months to complete, but some extend to 24 months or more.

Renting FAQs

Here are a few of the most frequently asked questions about renting your ADU. See the content below and our ADU Guidebook for more guidance, resources, and tips for all steps of the process.

As soon as the final inspection is complete, your ADU is ready for occupants! If you’re renting it out, though, you’ll need to ensure you have utility services, an address established, and other preparations. See below for more responsibilities of being a landlord.
Renting an ADU comes with many responsibilities, including understanding local and state housing laws, executing a lease, finding and managing a tenant, and maintaining a rental property. It’s important to understand the laws as they may affect things like future rent increases, changing use over time, evicting tenants, and moving family into the unit.
See our Guidebook for resources on understanding rental laws, tenants’ rights, and more, and our Exercises for help with your lease terms.
No. Properties with ADUs and JADUs must file a deed restriction agreeing that the unit will not be used for short-term rentals (less than 31 days). The City discourages listing ADUs on websites like Airbnb and Vrbo in order to improve housing options for community members. More information about ADU deed restrictions can be found in the Guidebook.

Renting your ADU

After your final inspection, your ADU is ready for move-in! This might be you, a friend, a family member, or a tenant. There are many benefits to sharing your property with a tenant, but renting also comes with many responsibilities – make sure you have a good sense of the laws governing rental agreements and think about the issues that might arise from welcoming a new neighbor into your space.

BEFORE you begin

Confirm the new street address for your ADU with the Planning Division. You’ll need this street address to establish utility services and to set up your lease.

Complete Preliminary steps

Prepare to rent your unit by getting insurance, setting up utilities, and developing a plan to handle the finances.

Understand rental laws

You will need to understand all the laws related to being a landlord, especially with regard to discrimination. For an overview of California laws that regulate certain aspects of the rental housing market, review California Tenants: A Guide to Residential Tenants’ and Landlords’ Rights and Responsibilities, published by the California Department of Consumer Affairs. You should also talk to city staff about regulations that might apply.

The City of Upland works with the Inland Fair Housing and Mediation Board to provide fair housing resources for both property owners and tenants, including guidance on writing a lease agreement and managing disputes. Visit their website for more information.

California Tenants guide

Inland Fair Housing and Mediation Board

Set the rent

Maximizing the rent is often not the only consideration – setting a fair rent a bit under market rate will help you attract and keep good tenants. Consider pricing your unit so that it is affordable for the local workforce and families who may not be able to afford high rents in the city. A unit is considered affordable if a household is paying less than one third of their income on their housing costs; see the Income Guideline PDF on the City’s website. Many homeowners are motivated to rent their ADU affordably to community members because they serve essential roles and often have difficulty finding housing that meets their needs. If you financed your construction with a loan, consider the loan length, interest rate and any reserve funds you have as well.

City of Upland Housing Programs

Write your lease

Make sure your lease (or rental agreement if it is month-to-month) clearly identifies all the expectations for you and your future tenant. See our Exercises for help planning your lease.

ADU Exercises

Find your tenant

Research how to successfully advertise your unit and select a good tenant. Typical methods for advertising rentals in the City of Upland include posting to websites like Craigslist, Zillow, and other digital platforms. You can also post a “for rent” sign on your property, but keep it under six square feet and at least 10 feet back from the property line or you’ll have to get special approval.

Manage your rental unit

Think through a long-term plan for the care and upkeep of your ADU, how shared responsibilities will be split, and how to address any issues that might occur with your tenant.

Report your annual rent

The City of Upland requires ADU and JADU property owners to report rent charged for the ADU each calendar year. This report is due to the City by January 31 of the following year, so if you rented out your ADU during 2023 you would need to report the total amount of rent to the City by January 31, 2024. This can be reported with a signed letter submitted to the Planning Division.