Waco, TX Accessory Structures: ADU Owner Occupancy (2026)

Owner occupancy is a routine condition Waco City Council attaches to Special Use Permits (SUPs) for accessory dwelling units under Waco Code Chapter 28 (Zoning). The property owner must use either the principal dwelling or the ADU as their permanent residence. The recorded deed restriction must be filed with the McLennan County Clerk before the Certificate of Occupancy issues. The restriction runs with the land and binds future owners. Evidence of owner occupancy includes Texas driver's license, voter registration, and homestead exemption tied to the property address. Texas state law has not preempted local owner-occupancy rules (unlike California's AB 976), so Waco retains full authority under Texas Local Government Code Chapter 211. This rule is enforced particularly carefully in neighborhoods near Baylor University, where investor purchases of single-family homes for student rental have raised concerns about unrelated-occupant overcrowding. If the owner ceases occupancy, the ADU loses its legal status and faces code enforcement through Municipal Court. LLC or trust-owned properties face additional scrutiny because corporate entities cannot personally occupy a property — typically the SUP requires the principal member or trustee residing on-site to sign a residency affidavit. Both the principal dwelling and the ADU cannot be rented to non-owners simultaneously in single-family districts because this would trigger duplex/two-family reclassification.