Ann Arbor requires owner-occupancy of an ADU property. UDC Section 5.16.4 mandates that the property owner reside in either the principal dwelling or the ADU as their primary residence. Only one of the two units may be rented to a non-owner. Both units must be registered under Ann Arbor Housing Code Chapter 105 if rented.
Owner-occupancy is the central restriction in Ann Arbor's ADU regime. UDC Section 5.16.4, as adopted by Ordinance 16-13 in 2016 and consolidated into the UDC, requires that the property owner occupy either the principal dwelling or the ADU as their primary residence. Only one of the two dwelling units on the property may be leased to a non-owner at any time; the other must be the owner's homestead. Compliance is documented by Principal Residence Exemption (PRE) status under MCL 211.7cc on the homestead unit. Whichever unit is rented is subject to Ann Arbor's Housing Code under City Code Chapter 105 — the Rental Housing Inspection Program — requiring registration with the Building Department, periodic inspections by Rental Housing Services, and a Certificate of Compliance before occupancy. Local Historic Districts (Old West Side, Old Fourth Ward, Division Street, Broadway, Cobblestone Farm, and others) add Historic District Commission review under Chapter 103 for any exterior alterations independent of the owner-occupancy rule. The owner-occupancy requirement has been politically contested in Council debates around the 2023-2024 Comprehensive Plan housing updates but remains in force.
Renting both the primary dwelling and the ADU to non-owners is a UDC violation, enforced as a municipal civil infraction under Chapter 110 with daily continuing-offense fines. Loss of Certificate of Compliance bars lawful occupancy and rent collection until restored. Rental of an unregistered unit triggers additional Housing Code citations.
Ann Arbor, MI
Ann Arbor prohibits storing abandoned, inoperable, or unregistered vehicles on public streets or visible on private property. Vehicles may be tagged and towe...
Ann Arbor, MI
Ann Arbor regulates electric vehicle charging infrastructure for residential and commercial properties. Building codes may require EV-ready parking in new co...
Ann Arbor, MI
Ann Arbor regulates overnight parking on public streets. Many areas restrict parking between certain hours or require permits for overnight street parking.
Ann Arbor, MI
Ann Arbor requires pool barriers meeting safety codes to prevent drowning. Fences must be at least 4 to 5 feet tall with self-closing, self-latching gates.
Ann Arbor, MI
Ann Arbor requires permits for retaining walls above a certain height, typically 4 feet. Engineering review may be required for taller walls.
Ann Arbor, MI
Ann Arbor restricts or prohibits intentional feeding of wildlife including deer, coyotes, and bears. Feeding wildlife creates public safety hazards and nuisa...
See how Ann Arbor's adu owner occupancy rules stack up against other locations.
Help us keep this page accurate. If you notice an error or outdated information, let us know.