San Jose has become the first city in California to embrace a new state law that makes it legal for homeowners to sell accessory dwelling units (ADUs)—also known as Granny Flats, usually small backyard cottages—as condos separate from the primary house on the property.

San Jose has the final say on whether to allow its homeowners to deploy the new law, which is known as AB 1033 and went into effect in January. AB 1033 gives cities and counties the option of permitting ADU sales.

San Jose's ordinance allowing homeowners to buy and sell ADUs separately from their primary homes will take effect on July 18, according to a report in the Mercury News.

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