CalHFA ADU Grant Program

California Housing Finance Agency (CalHFA)

Closed Home Repair

About This Program

CalHFA's ADU Grant Program provided up to $40,000 to reimburse pre-development and non-recurring closing costs (permits, site prep, soil tests, architectural design, impact fees, energy reports) for building an Accessory Dwelling Unit. The program was fully allocated as of December 2023 but may receive new state funding in future budget cycles. San José homeowners should monitor for new rounds.

Maximum grant when program is funded

Record set last reviewed 2026-04-03. How we verify our data.

Other published resources for San Jose, CA, are listed below. Review each separately and ask the administrators whether they can coordinate funding for the same work:

Key Details

  • CURRENTLY PAUSED, funding fully allocated
  • Up to $40,000 for ADU pre-development costs when active
  • Covers permits, designs, soil tests, impact fees
  • Monitor calhfa.ca.gov for new funding rounds
  • Call 877-922-5432 to ask about current availability

How to Apply

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Program phone: 877-922-5432

Some programs require contractor estimates, licenses, or inspections. A cited link may be general, so confirm the current rules with the administrator before hiring; a directory match does not guarantee contractor eligibility or funding.

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Some programs for this project type ask for a license, inspection, or written estimate. Confirm the rule before contacting a contractor in San Jose.

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Our record classifies the structure as a reimbursement. Confirm eligible costs, whether payment is required upfront, and when reimbursement is processed.

Each administrator sets its contractor rules. Confirm exact requirements directly; the cited URL may be a general agency page.

Your application paperwork

The CalHFA ADU Grant reimburses up to 40,000 dollars of the predevelopment and non-recurring closing costs of building an accessory dwelling unit, such as site prep, architectural designs, permits, soil tests, impact fees, and surveys. You apply through a CalHFA-approved ADU lender or participant. Funding is released in rounds, so confirm a round is currently open before you count on it.

Steps to apply

  1. Confirm you own and occupy the property and meet the income limit for the current grant round.
  2. Develop your ADU plans (scope of work and budget).
  3. Contact a CalHFA-approved ADU participant or lender to start the application.
  4. Submit your ADU plans and income documentation; the grant reimburses eligible predevelopment costs.

Documents you will likely need

  • Proof you own and occupy the property.
  • Income documentation (pay stubs, W-2s, tax returns).
  • ADU plans: scope of work and budget.
  • Itemized predevelopment cost documents (designs, permits, soil tests, surveys).

Requirements vary by program and locality. Confirm the exact rules and application route with the administrator. We can help you prepare your paperwork, but you submit it yourself.

Deadline: Currently paused, fully allocated; monitor calhfa.ca.gov for new rounds

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Find More Programs in San Jose, CA

This is one of several kinds of assistance that may be available. Review other programs separately and confirm whether their administrators allow coordination for the same work.

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