Supporting Legislation

SB 1470

Status: Assigned to Committee

Historically, ownership condominiums have played a major role in providing affordable “starter homes” for first-time homebuyers. Condominiums are on average 2.7 times less expensive than a typical, single-family home.

But current legal practices in settling disputes over construction defects in new condominiums have had the unintended impact of practically ending the development of new ownership condos in California: Only 3% of new homes in California between 2011 and 2021 were condos. 

Gaps in existing state law has led to a condition where fear of litigation has forced most condo developers to exit the market entirely, and thereby denying hundreds of thousands of Californians the opportunity for affordable home ownership.. 

SB 1470 clarifies existing law regarding construction defects in new condominiums, allowing builders a window of time to correct any defects before legal action can be taken against them. The bill also raises standards for repair work to ensure that the builder’s obligations to condominium buyers are met.

SB 1470 will increase homeownership opportunities, particularly for middle-income families and communities of color, by reducing barriers to condo development, while upholding protections to ensure home buyers receive safe, code-compliant home repairs when needed.

Updates: SB 1470 has been referred to Senate Judiciary.

Author: Glazer (D, SD 7)

Co-Authors: Allen (D, SD 24), Cortese (D, SD 15)

Supporters: California YIMBY, SPUR, Mayor of San Jose Matt Mahan