A new single-family home (or duplex) will be built.

Following the lot split, we generally expect the value of your existing property will decrease 5% to 10%. As part of the Yardsworth process, an independent appraisal is conducted to determine your home’s new value. Learn more here.

Because it wasn’t possible until now. Senate Bill 9 (SB9) – also known as the California H.O.M.E. Act – was signed into state law in 2022, giving homeowners the ability to split off and sell backyard land (in order to create much-needed housing). Here is a great overview from the California Senate.

Your property must be zoned single-family, be relatively flat, and have enough space for a new, small home to be built – usually about 30 feet between your home and the back property line. If you’re not sure if you qualify, just ask us!

First, we assess the feasibility of a lot split on your property. This includes site conditions, city requirements, and seeking approval with your lender (if you have one). If everything checks out, we then coordinate specialists (e.g. civil engineer, surveyor, etc), fill out the required documentation, and submit a Lot Split application on your behalf so the land can legally be sold (it cannot be sold until after the Lot Split). We handle – and pay for – everything.

We give you the best market-rate offer we can. The offer is based on a variety of factors including but not limited to backyard size, location, shape, site access, and comparable land listings.

Fast. Typically between 24 – 48 hours of submitting a request for an offer.

Functionally, you give up 1,500 square feet of backyard space, meaning your back fence will come in about 30 feet and you’ll still have plenty of backyard and side yard space.

Technically, under California law, the land that is to be split and sold must be 40% of the existing lot size and requires “frontage” – access to the street. The shape of the lot that is split off usually looks like a flag and flag pole, with the flag being the rear yard space and the flag pole being a path on the side of the home to the front of the property.

Yardsworth or our developer partner will either sell the new home to an interested buyer or rent it out to a tenant. Your original lot, remaining yard, and all structures on that part of your property are still owned by you.

Your life, your home, and your property value should be minimally impacted. You still own 100% of your home, will still have backyard space to enjoy, and you’ll retain full use of your driveway! If a future resident on the rear lot has a car, it will be parked on the street.

Your land has an assessed tax value (and so does your house, separately). When you sell a portion of your land, it is considered a “return of basis” from a tax perspective, meaning there is no taxable gain – and therefore no tax. In some cases, where the land assessed tax value is low, a portion of the sale may be taxed.

Disclaimer: Yardsworth does not provide tax and accounting services and makes no guarantees. Please speak with a tax and/or land assessment professional.