Yes. Folsom allows ADUs on any parcel zoned for single-unit, two-unit or multi-unit housing that has an existing or proposed home (FMC 17.105.010, rewritten by Ord. 1361, adopted April 14, 2026, effective May 14, 2026). A detached ADU may reach 1,000 sq ft with two or more bedrooms (850 sq ft with one), 25 ft in height, and 4-ft side and rear setbacks; a new detached unit of 800 sq ft or less at state heights is a '66323 unit' that skips design review entirely. The permit is a ministerial building permit with a flat $4,852 fee ($2,329 for a JADU) under the July 1, 2026 schedule, a $400 design-review fee only for larger units, no city impact fees at 750 sq ft or less, and a 60-day decision clock with deemed approval. ADUs must rent for 30 days or longer and may be sold separately to a qualified buyer under Gov. Code 66341.
Zoning & Size Requirements [1][2][3][4][5]
Yes — Folsom allows ADUs. A detached ADU can typically be up to 1,000 sq ft under current California and Folsom zoning rules.
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| Allowed Zones | Any parcel zoned for single-unit, two-unit or multi-unit residential use with an existing or proposed primary dwelling (FMC 17.105.010(D)); JADUs only on single-unit parcels. Historic District parcels add objective architectural-style rules (17.105.200) unless the unit is a 66323 unit. |
| Max Size (Detached) | 1,000 sq ft with 2 or more bedrooms, 850 sq ft with 1 bedroom or fewer, measured as interior living space, minimum 150 sq ft (FMC 17.105.150(B)(2)). A new detached unit of 800 sq ft or less with 4-ft setbacks is a '66323 unit' exempt from design review, and no standard may preclude an 800 sq ft ADU (17.105.150(C)(2)). Detached ADUs on two-unit and multi-unit lots are capped at 800 sq ft (17.105.170(B)(2)). |
| Max Size (Attached) | 1,000 sq ft with 2 or more bedrooms or 850 sq ft with 1 bedroom or fewer, and no more than 50% of the existing primary dwelling's floor area (FMC 17.105.140(B)(2)). A conversion of space inside the house, plus up to 150 sq ft for an entrance, is a 66323 unit with no local size cap (17.105.140(A)). |
| Max Size (JADU) | 500 sq ft, entirely within the single-unit home, with its own exterior entrance and an efficiency kitchen; minimum 150 sq ft (FMC 17.105.160). A deed restriction on the city's template (Form CD-P515) is recorded before the building permit issues. |
| Max Height | Detached: 25 ft or the height of the main house, whichever is less, measured finished grade to peak (FMC 17.105.150(B)(5)); within 50 ft of a listed historic structure only the state heights apply. 66323 units: 16 ft, 18 ft within 1/2 mile of a major transit stop or where the roof pitch matches the house, 20 ft with both (city checklist CD-P214; Gov. Code 66321). Attached: the zone's height, but 25 ft for any part inside the primary dwelling's setback area (17.105.140(B)(5)). |
| Max Units | Single-unit lot: 1 attached or detached ADU + 1 conversion ADU (inside the house or an existing accessory building) + 1 JADU + 1 new detached 66323 ADU (FMC 17.105.120(A)(1)). Two-unit and multi-unit lots: conversions of non-livable space up to 25% of existing units, plus up to 2 detached ADUs with a proposed building or up to 8 detached with an existing building, never more than the number of existing units (17.105.120(A)(2)). Parcels from an SB 9 lot split: 2 units total. |
Setback Requirements [1][2][3][4][5]
Folsom requires a rear setback of about 4 ft for a detached ADU, and parking requirements vary by unit size or location. Owner-occupancy is not required — you can rent it out without living on the property.
| Rear Setback | 4 ft minimum (FMC 17.105.150(B)(3)); the city recommends 5 ft to avoid extra Fire Code construction requirements. No setback change for a conversion of an existing house or accessory building, or for an ADU built on top of an existing accessory building that already sits closer than 4 ft. |
| Side Setback | 4 ft minimum, 5 ft recommended by the Building Division to avoid Fire Code upgrades; none for conversions of existing space. A detached ADU must be at least 6 ft from the house and from any other accessory building other than a fence or wall (FMC 17.105.150(B)(3)). |
| Front Setback | Attached units use the zone's front setback (FMC 17.105.140(B)(3)); a detached ADU may not break the front plane of the primary dwelling (17.105.150(B)(3)). The ADU may cover no more than 40% of the rear yard and the zone's lot-coverage limit applies, except for 66323 units of 800 sq ft or less, which are also exempt from required open space (17.105.150(B)(4), 17.105.130(D)). |
| Parking Required | 1 space per ADU or per bedroom, whichever is less; a driveway or tandem space counts (FMC 17.105.180(A)). Not required within 1/2 mile walking distance of public transit, in the Historic District, for a unit inside the house or an existing accessory building, near a car-share vehicle, or when permitted with a new home; no replacement parking when a garage is converted (17.105.180(B)-(C)). The city publishes an ADU Parking Requirement Map. |
| Owner Occupancy | Not required for ADUs. JADUs: required only when the JADU shares a bathroom with the main house (FMC 17.105.160(B)(4), matching Gov. Code 66333 as amended by AB 1154, effective Jan 1, 2026); a JADU with its own bathroom has no owner-occupancy rule. |
| Min Lot Size | No minimum lot size anywhere in FMC 17.105; the zone's lot-coverage and pervious-surface standards still apply to units that are not 66323 units (17.105.150(B)(4)). |
Permit Process & Fees [6][7][8][9][10]
An ADU permit in Folsom goes through a ministerial, by-right review. Typical timeline: Completeness notice within 15 business days; decision within 60 days of a complete application, deemed approved if the city misses it (FMC 17.105.050; Gov. Code 66317). The city says merged design review saves an estimated 3-4 weeks and a pre-reviewed Master Plan about 30 days more. Permit fees: Flat building permit fee of $4,852 per detached or attached ADU and $2,329 per JADU, covering plan review and inspections (Res. 11481, effective July 1, 2026), plus an $81 processing fee and state surcharges; design review for a non-66323 unit adds $400 (Director level).
| Approval Process | Ministerial building permit filed in the Folsom ePermit Center under permit type 'ADU – Accessory Dwelling Unit' with the Residential Projects Checklist (Form B210) and the optional zoning checklist for your ADU type (Forms CD-P213/214/215). Units that are not 66323 units get a concurrent ministerial design review by the Community Development Director inside the building permit (FMC 17.105.110, 17.06.045); no Planning or Historic District Commission hearing. Planning assigns the ADU's address after issuance. |
| Review Timeline | Completeness notice within 15 business days; decision within 60 days of a complete application, deemed approved if the city misses it (FMC 17.105.050; Gov. Code 66317). The city says merged design review saves an estimated 3-4 weeks and a pre-reviewed Master Plan about 30 days more. |
| Permit Fees | Flat building permit fee of $4,852 per detached or attached ADU and $2,329 per JADU, covering plan review and inspections (Res. 11481, effective July 1, 2026), plus an $81 processing fee and state surcharges; design review for a non-66323 unit adds $400 (Director level). |
| Impact Fees | No city impact fees for an ADU of 750 sq ft or less or a JADU of 500 sq ft or less (FMC 17.105.060(C)); above 750 sq ft each city fee is prorated by ADU floor area divided by primary-dwelling floor area. Water and sewer connection or capacity charges are not charged unless the ADU is built with a new house (17.105.060(B)). The July 1, 2026 North of 50 schedule totals about $26,200 in city impact fees for a new single-family home (roads $9,903, park equipment $8,532, general $1,936, fire $1,316, drainage $1,257, water $1,194, light rail $878, police $728, smaller items), so a 1,000 sq ft ADU behind a 2,000 sq ft house would owe roughly half; the Folsom Plan Area south of Hwy 50 has its own higher schedule. School district fees are collected separately. |
| Plan Check | Plan check is bundled into the flat ADU permit fee and covers up to three review cycles; a fourth cycle, revisions and deferred submittals bill at $194 per hour and expedited review costs 1.5x (Res. 11481, Building Fees Sec. D). Side or rear setbacks under 5 ft trigger extra Fire Code construction requirements; retaining walls over 4 ft or grading over 50 cubic yards need separate permits; work on a protected tree needs a Tree Permit. |
| Pre-Approved Plans | Not available yet — Folsom launched an ADU Master Plan program under Gov. Code 65852.27 (designers submit detached ADU plans for pre-review; a homeowner using one, with no deviations, cuts permit time by an estimated 30 days), but the city's approved-plan gallery listed no plans as of Sept 20, 2026. |
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Construction Costs [11][12][13][14]
Building an ADU in Folsom typically costs $170,000-$400,000 ($250-$500 per sq ft); a garage conversion runs $90,000-$200,000.
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| Average Build Cost | $170,000-$400,000 |
| Cost per Sq Ft | $250-$500 |
| Garage Conversion | $90,000-$200,000 |
| Prefab ADU (Installed) | $170,000-$340,000 |
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Rental Income Potential [15][16]
A 2-bedroom ADU in Folsom rents for around $2,200-$2,950/mo, an estimated 7-14% gross rental yield on a $250,000-$400,000 detached build renting at $2,200-$2,950/mo; a $90,000-$200,000 garage conversion at $1,650-$2,400/mo can gross 10-25% (estimates before taxes, vacancy and financing).
| Avg Rent (1 Bedroom) | $1,650-$2,400/mo |
| Avg Rent (2 Bedroom) | $2,200-$2,950/mo |
| Short-Term Rental | No — an ADU or JADU may be rented only for 30 days or longer (FMC 17.105.070(A)), and the city's ADU page states ADUs cannot be used as vacation rentals. |
| Est. Annual ROI | 7-14% gross rental yield on a $250,000-$400,000 detached build renting at $2,200-$2,950/mo; a $90,000-$200,000 garage conversion at $1,650-$2,400/mo can gross 10-25% (estimates before taxes, vacancy and financing) |
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Recent Law Changes
What's Changed Recently
- Sept 20, 2026 re-verification: every standard re-read against FMC 17.105 as codified (current through Ord. 1369, April 28, 2026), Ord. 1361, the July 1, 2026 fee schedule (Res. 11481) and the city's May 14, 2026 checklists; flat $4,852 permit fee, $400 design-review fee, the empty Master Plan program, the 800 sq ft multi-unit cap and the 5-ft Fire Code recommendation added
- Ord. 1361 (introduced March 24, adopted April 14 by a 5-0 vote, effective May 14, 2026) repealed and re-enacted FMC Chapter 17.105 to conform with Gov. Code 66310-66342; design review merged into the building permit and Commission hearings for ADUs ended
- July 1, 2026: Resolution 11481 set flat ADU permit fees ($4,852 ADU, $2,329 JADU) and a $400 Director-level design-review fee for non-exempt ADUs; North of 50 and Plan Area impact fee schedules (dated July 21, 2026) restate $0 for ADUs of 750 sq ft or less
- ADU Master Plan program under Gov. Code 65852.27 launched with a 30-day estimated time saving; the approved-plan gallery was still empty in September 2026
- AB 1154 codified: JADU owner-occupancy applies only where the JADU shares a bathroom with the primary dwelling (FMC 17.105.160(B)(4)); a new 'Carriage House' above-garage style was added for the Historic District
Tips for Building an ADU in Folsom
- Keep a new detached ADU at 800 sq ft or less with 4-ft setbacks and a 16-ft peak (18-20 ft near a major transit stop or with a matching roof pitch) to qualify as a 66323 unit: no design review, no $400 review fee, no Historic District style rules, and the lot-coverage and open-space limits do not apply
- Stay at 750 sq ft or less to owe $0 city impact fees; every square foot above that prorates the full single-family fee package (about $26,200 north of Hwy 50 on the 2026 schedule) by ADU-to-house floor area, so a 1,000 sq ft ADU behind a 2,000 sq ft house owes roughly $13,000
- Budget about $5,200 in city fees for a design-review-exempt ADU: the $4,852 flat permit, the $81 processing fee, the 5% General Plan surcharge on the permit fee and a few dollars of state SMI and SB 1473 fees; the city's Impact Fee Estimate Data Sheet gives a written estimate if you go over 750 sq ft
- Draw side and rear setbacks at 5 ft rather than the 4-ft minimum: the city's Master Plan page says 4 ft triggers extra Fire Code construction requirements, and a detached unit must also sit 6 ft from the house and any other structure
- In the Historic District a non-exempt ADU must follow one of the prescribed styles for its subarea (Queen Anne, Delta, Italianate, Spanish Eclectic, Craftsman, Carriage House; 1950s Ranch in Persifer-Dean); the Carriage House style is for above-garage units and caps the garage at 800 sq ft
- Cost basis: Sacramento-region 2026 contractor guides (Good Life Construction, Apr 28, 2026; Upside ADU, Jun 12, 2026; ADU Wizard 2026; Result Construction 2026) put detached builds at $250-$500 per sq ft and garage conversions at $90,000-$200,000; rents run from Zumper's Folsom listing medians (Sept 20, 2026: 1BR $1,645, 2BR $2,195) to HUD's FY2026-FY2027 Small Area FMRs for ZIP 95630 (1BR $2,380-$2,450, 2BR $2,920-$3,010, gross rent including utilities)
- Separate sale: FMC 17.105.070(B) lets an ADU be sold to a qualified buyer separately from the house under Gov. Code 66341; a JADU cannot be sold separately (17.105.160(B)(3))
- Cost basis (2026-09-20 re-verification): short term allowed: No — an ADU or JADU may be rented only for 30 days or longer (FMC 17.105.070(A)), and the city's ADU page states ADUs cannot be used as vacation rentals. An ADU (not a JADU) may be sold separately to a qualified buyer under Gov. Code 66341 (17.105.070(B)).
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Sources & References
All data on this page is sourced from official government records and verified market data. View our full methodology.
- FMC Chapter 17.105 Accessory Dwelling Units (Ord. 1361 § 2, 2026; code current through Ord. 1369, April 28, 2026) Municipal Code — Accessed 2026-09-20
- Ordinance No. 1361 — Repeal and Re-enactment of Chapter 17.105 (adopted April 14, 2026) ordinance — Accessed 2026-09-20
- Accessory Dwelling Units | City of Folsom Planning Department — Accessed 2026-09-20
- Detached ADU Requirements Checklist, Form CD-P214 (rev. 5-14-26) Planning Department — Accessed 2026-09-20
- Gov. Code 66321 (as amended by SB 543, effective January 1, 2026) state_statute — Accessed 2026-09-20
- Community Development Department User Fees effective July 1, 2026 (Resolution No. 11481) fee_schedule — Accessed 2026-09-20
- North of 50 Development Impact Fees and Permit Fees, effective July 1, 2026 (dated 7/21/2026) fee_schedule — Accessed 2026-09-20
- Folsom Plan Area Development Impact Fees and Permit Fees, effective July 1, 2026 (dated 7/21/2026) fee_schedule — Accessed 2026-09-20
- City Updates and Streamlines Requirements for ADUs | City of Folsom News (May 22, 2026) Planning Department — Accessed 2026-09-20
- ADU Master Plan Program – Approved Master Plan Options | City of Folsom Planning Department — Accessed 2026-09-20
- How Much Does It Cost to Build an ADU in Sacramento (updated April 28, 2026) | Good Life Construction industry — Accessed 2026-09-19
- How Much Does an ADU Cost in Sacramento? (updated June 12, 2026) | Upside ADU industry — Accessed 2026-09-19
- How Much Does an ADU Cost in Sacramento in 2026? | ADU Wizard industry — Accessed 2026-09-19
- Garage Conversion ADU in Sacramento: Complete 2026 Guide | Result Construction industry — Accessed 2026-09-19
- HUD Small Area Fair Market Rents FY2026 and FY2027, ZIP 95630 (Sacramento--Roseville--Arden-Arcade HUD Metro FMR Area) Government Data — Accessed 2026-09-20
- Average Rent in Folsom, CA (updated September 20, 2026) | Zumper Market Data — Accessed 2026-09-20
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