Frequently Asked Questions about ADUs in Salem

How is the accessory dwelling unit affordable?

The ordinance prohibits accessory dwelling units from be rented for more than 70 percent of the fair market rent limit for Salem, based on bedroom size, as determined by the United States Department of Housing and Urban Development (HUD); for ADU’s built with grant money the rent is capped at 50 percent of the fair market rent.  The fiscal year 2022 fair market rent and the rent maximum is shown in the table below.

Where can I find what the fair market rent is for Salem? How often is the fair market rent adjusted?

HUD adjusts the fair market rent annually. The current fair market rents can be found here: https://www.huduser.gov/portal/datasets/fmr.html.

What zones are ADUs allowed in?

The approved ordinance allow ADUs in the RC, R1, R2, R3 and the NRCC zoning districts.

Where on a lot is an ADU allowed?

There are a few options for where an ADU can be created.

  1. Within the primary home (e.g., a basement);

  2. Attached to the primary home (e.g., an addition to the home); or

  3. Within an existing detached accessory building (e.g., a detached garage) provided that the detached accessory structure was built prior to March, 2021.

Does an ADU have size limitations?

Yes, the ADU cannot exceed 900 square feet or 50% of the size of your home, whichever is smaller and per health code requirements must be at minimum 350 square feet.

Is a parking space required for the ADU?

No.

Can the ADU be rented?

Yes. However, short term rentals are prohibited. Also, the owner must live on the property. The owner could live in the primary home and rent the ADU, or the owner could live in the ADU and rent the primary home.

Could the ADU be turned into a condominium and be sold separate from the primary home?

No. The ADU can never be sold separately from the primary home. Also, utilities for ADU and primary home are required to be on a single service (electric, gas, water and sewer).

Can I receive a tax exemption for my ADU?

Yes! The application is available here: https://www.salemma.gov/assessors/pages/affordable-accessory-dwelling-unit