SB9 Lot Splits - Los Gatos
SB9 Lot Splits: What Buyers Need to Know Before Making an Offer
If you're house hunting in Los Gatos, Saratoga, or Monte Sereno and keep coming across the term "SB9 potential" in listings, you're not alone. Senate Bill 9 has become one of the most talked-about tools in California real estate — and for buyers, it can mean serious upside if you know what you're actually looking at.
I'm Lee Ann Wade, a realtor with Sereno Group here in Los Gatos. I also happen to be married to a general contractor, and together we've completed our own SB9 lot split from start to finish. That combination — knowing what makes a listing agent's "SB9 opportunity!" claim real versus wishful thinking — is exactly what I bring to buyers exploring this space.
What SB9 Actually Allows
SB9 lets owners of many single-family zoned lots split their property into two parcels and build up to two units on each — up to four homes total where one stood before, without a rezone. For buyers, that can mean acquiring a property with room to build a second home to live in, rent out, or sell — or simply buying land with built-in future value.
What Buyers Should Actually Check Before Assuming a Lot Qualifies
Not every lot marketed as "SB9-eligible" truly is. Before you get attached to a property, verify:
Minimum lot size and dimensions — most jurisdictions require the resulting parcels to meet minimum size and width standards after the split.
Zoning designation — SB9 applies to single-family residential zones; a lot zoned differently won't qualify regardless of size.
Owner-occupancy requirements — some SB9 splits require the owner to live in one of the units for a period after approval.
Existing structures and easements — utility easements, setbacks, or an existing home footprint can all limit what's actually buildable.
Local ordinance nuances — Los Gatos, Saratoga, and Monte Sereno each apply their own layer of requirements on top of the state law, particularly around design review and tree protection.
This is where a lot of buyers get burned — a listing can technically sit on a large enough lot without actually being a feasible split once you factor in setbacks, slope, or tree ordinances.
Why the Construction Side Matters as Much as the Real Estate Side
An SB9 split isn't just a real estate transaction — it's a construction project waiting to happen. Before you make an offer based on split potential, it helps to have a realistic sense of:
What the permitting timeline actually looks like in your target city
What a second unit would realistically cost to build
Whether the site's slope, soil, or access would drive up construction costs
Because Wade Construction handles design-build work throughout the South Bay — and because we've walked this exact process ourselves — I can loop in that perspective early, before you're under contract, rather than after you've already committed.
Buying Smart in SB9 Territory
If you're looking at properties with lot-split potential, the right approach is to verify feasibility before falling in love with the number of units you could theoretically add. I can help you evaluate a listing's real SB9 potential, pull in construction-side insight on cost and timeline, and make sure you're bidding on what's actually there — not just what the listing description implies.
Thinking about a property with SB9 potential? Contact me and let's talk through whether it actually pencils out.