Salem

Marion County portion

ADU Pass helps homeowners in Salem, Marion County, Oregon navigate the permit paperwork for building an accessory dwelling unit. This area covers 7 ZIP codes.

7 ZIP codes

ADU details

ADU legality: allowed

Stateallowed (Oregon HB 2001 (2019), HB 2583 (2021), ORS 197.312 / ORS 197.758) — Salem is Oregon's capital and second-largest city; HB 2001 mandates apply with full force. Owner-occupancy and parking conditions struck statewide. Salem straddles the Marion/Polk County line at the Willamette River; this profile addresses the Marion County (east-side) majority.
Countyallowed (Marion County Zoning - applies in unincorporated areas only) — Marion County's ADU rules apply to unincorporated parcels. Inside Salem city limits the Salem Revised Code (SRC) 700.007 special-use standards control.
Cityallowed (Salem Revised Code (SRC) 700.007 - Accessory Dwelling Units (Special Use)) — SRC 700.007 treats ADUs as a special use - meaning no land-use application is required if the special-use standards are met (only a building permit). Maximum size 900 sqft or 75% of primary dwelling gross area, whichever is less. One ADU per lot, only accessory to detached single-family dwellings. As of 2022 implementation, no off-street parking required and no owner-occupancy condition (HB 2001 compliance, effective March 16, 2022).

Salem's special-use treatment is procedurally simpler than most: meet the standards, pull a building permit, no separate planning application needed. The city offers free Ready-Build Plans for detached ADUs under 600 sqft.

Cost scenarios

ScenarioSq ft PermitBuildTotal
minimum 400 $4,200 $132,000 $136,200
600 600 $6,500 $222,000 $228,500
midpoint 750 $7,800 $285,000 $292,800
900 900 $9,400 $351,000 $360,400
Fee breakdown (as of 2026-04)
Plan review$1,380
Building permit$1,850
Utility connection$3,200
Total$7,630

Permitting process

Typical duration38 days
Backlog8 days
  1. Special-use eligibility check (~4d)
    Confirm the proposed ADU meets every standard in SRC 700.007 (size, setback, height, accessory to single-family). If yes, no land-use application is required. Run water meter sizing worksheet to confirm pressure adequacy.
  2. Submit building permit (only) (~1d)
    Submit through the Salem online permit portal. ADU is a special use, so no separate land-use application required when standards are met. Site plan, floor plan, elevations, ORSC energy worksheet, structural plans required.
  3. Building plan review (~30d)
    Building Code, MEP, structural, and water/sewer review concurrently.
  4. Corrections cycle (~12d)
    Resubmit corrections; Ready-Build plans typically pass first review; custom plans 1-2 rounds.
  5. Permit issuance (~4d)
    Pay residual permit fees (city SDC waived). Permit issued within ~3-5 business days after payment.
  6. Construction & inspections
    Foundation, framing, MEP, insulation, drywall, final. Inspections via Salem online portal.
  7. Certificate of occupancy (~4d)
    Final inspection sign-off; ADU eligible for occupancy. Note: SRC explicitly prohibits short-term-rental use of the ADU.

Viability (permitted uses)

  • Long-term rental: yes (SRC 700.007; ORS 90 governs landlord-tenant) 30+day rental allowed; ADU is a permanent rental dwelling unit.
  • Short-term rental: no (SRC 700.007 / Salem FAQ - ADUs may not be used for short-term rentals) This is a notable Salem-specific constraint. Eugene, Springfield, and Portland allow ADUs as STRs (with conditions); Salem does not.
    • Salem's ADU code explicitly prohibits short-term-rental use of the ADU
    • Permanent housing only - rented or owner-use, but not vacation rental
    • STR license available for the primary dwelling under separate Chapter (not the ADU)
  • Office rental: no SRC 700.007 limits ADU to dwelling-unit use.
  • Home office: yes Home occupation permitted citywide; foot-traffic and signage limits apply.
  • Studio / workshop: yes Personal artist/maker studio is an allowed accessory residential use.
  • Agriculture: with-restrictions (SRC residential-district provisions - urban agriculture) Backyard agriculture and limited livestock allowed; ADU itself remains residential dwelling.
  • Relative support: yes Family-occupancy explicit use case; multigenerational housing supported.

Incentives

  • City of Salem ADU SDC Waiver — City-imposed System Development Charges waived for newly permitted ADUs. Saves approximately $4,000-$7,000 versus pre-waiver schedule. Salem-Keizer Parks SDC still applies.
  • Salem Free Ready-Build ADU Plans — City offers free Ready-Build pre-approved plan for detached ADUs under 600 sqft. Eliminates design fee for participants.

Pre-approved plans Salem Free Ready-Build ADU Plans · 1 free designs · 25% plan-review fee waiver · saves ~4 weeks

Contacts

Staff: Permit Application Center (Building permit intake and counter), Planning Division (Land use & special-use questions), Public Works Engineering (Water, sewer, stormwater, ROW)

Utilities

  • Water: City of Salem - Public Works (Salem-Keizer water service area) · 22d connect · $2,200
  • Sewer: City of Salem - Public Works Wastewater · 18d connect · $1,000
    City wastewater SDC waived for ADUs; physical connection labor still owner cost.
  • Electric: Portland General Electric (PGE) - serves most of Salem; small Pacific Power overlap on edges · 35d connect · $1,850
  • Gas: NW Natural · 30d connect · $1,450

Property values & taxes

Median value$415,000
Median tax$4,350/yr
Effective rate1.1%

Market rent by ADU size

Sq ftRent
400$1,180/mo
600$1,525/mo
800$1,850/mo
900$2,000/mo

Construction timeline

Detached build22 weeks
Conversion11 weeks
Contractor lead4 months

Realistic total: best 7mo · typical 11mo · worst 17mo

Capital-city steady demand; PNW wet season extends framing/dry-in. Ideabox modular factory sits inside Salem city limits which keeps modular options unusually quick.

Modular pathway Oregon BCD Manufactured Structures Program · inspectors are frequent with modular · 22 modular permits (last 24mo)

Ideabox factory inside Salem city limits drives unusually high modular permit count; Capitol Mall area and downtown narrow streets restrict module width on tight lots.

Financing

Typical HELOC8.6%
Cash-out refi avg7.5%
Fannie Mae ADUeligible

State ADU loans:

Insurance impact

Annual premium delta$460
Landlord policyrecommended
Umbrella threshold$1M umbrella for long-term rental (no STR exposure - prohibited)

STR prohibition removes one liability vector compared to other Oregon cities. Mill Creek floodplain parcels face elevated NFIP premiums.

HOA prevalence & preemption

% parcels under HOA11%
State HOA preemptionyes
Preemption citationORS 94.776

Salem HOA prevalence is moderate; older neighborhoods near Capitol predominate. State law voids ADU bans in covenants.

Regulatory overlays (5)

  • historic-district — Court-Chemeketa Residential Historic District, Gaiety Hill / Bush's Pasture Park, Capitol Mall vicinity, Grant Neighborhood · +25d · +9% cost
    Salem Historic Landmarks Commission reviews exterior design changes visible from public ROW; capital-area neighborhoods have an unusually large historic footprint. (map)
  • wui-fire-zone — South Salem hills (Skyline Rd, Croisan Creek), West Salem (over the river in Polk County) edges · +10d · +6% cost
    Defensible space and ignition-resistant assemblies on hill-zone parcels. (map)
  • flood-zone — FEMA SFHA Zone AE along Willamette River (downtown to Minto-Brown Island), Mill Creek, Pringle Creek, Battle Creek · +14d · +7% cost
    Finished-floor elevation 1 ft above BFE; flood vents required; Mill Creek and Pringle Creek floodplains affect substantial swaths of central Salem. (map)
  • seismic-retrofit-zone — Cascadia Subduction Zone (regional) · +7d · +3% cost
    Seismic Design Category D1; ORSC 2023 hold-down standards apply. Capital Mall and adjacent state buildings sit on liquefiable soils per DOGAMI mapping. (map)
  • other — Capitol Mall / South Capitol Mall design standards · +14d · +5% cost
    ADUs near State Capitol may face additional scenic and design-review considerations under area plans. (map)
Technical envelope (climate & building code)

Climate & energy code

IECC climate zone4C
Heating degree days4,400
Cooling degree days380
Design low / high23°F / 92°F
Frost depth12"
Design snow load25 psf
Wind design speed95 mph
Seismic design cat.D1
Annual rainfall41"
Wildfire exposureModerate
Energy codeOregon Residential Specialty Code (ORSC)
Version / adopted2023 / 2024-04-01

Building code

Base codeOregon Residential Specialty Code (ORSC, IRC-based)
Version year2,023
Adopted2024-04-01
Fire sprinklersize-trigger
Egress window5.7 sqft min
Min ceiling7 ft
Attic R-valueR-49 min
Wall R-valueR-21 min

Amendments:

Contractor market (aggregate)

Licensed residential GCs720
ADU-specialist GCs42
Laborer median wage$26/hr

Known issues (1)

  • policy-constraint (since 2018-04) — Salem's blanket prohibition on ADU short-term rental eliminates ~25% of the rental-economic upside available in Eugene/Portland. Investor calculations should price LTR-only. (source)
Marion County — county ADU rules and overlays

County ADU ordinance

Marion County (state-capital county; ~348,000 residents — northwestern Oregon Willamette Valley; encompassing Salem partial — most of Salem is in Marion County, with portions in Polk County — plus Keizer, Woodburn, Silverton, Stayton, Aumsville, Aurora, Donald, Gervais, Hubbard, Jefferson, Mount Angel, Scotts Mills, St. Paul, Sublimity, Turner, and substantial unincorporated tracts in the Willamette Valley and the Cascade foothills) regulates land use in unincorporated areas through the Marion County Rural Zoning Ordinance, administered by the Marion County Planning Division. Oregon has the strongest statewide ADU framework in the country: Oregon HB 2001 (2019, codified at ORS 197.312-197.314) preempts cities and counties of population 2,500+ to allow at least one ADU on residential lots in single-family zones; HB 4001 (2024) added further refinements. Marion County's Rural Zoning Ordinance permits 'accessory dwelling units' in rural residential and exclusive farm use (EFU) zones consistent with state law — but Oregon's strict statewide land-use planning framework (Senate Bill 100, 1973; Statewide Planning Goals 3 and 14) caps rural ADU development to protect farm and forest land. Most rural Marion County parcels are in EFU or Forest zones where ADUs are limited to farm-help dwellings, replacement dwellings, and certain narrowly-defined accessory residential uses.

County regulatory overlays

Oregon state — ADU law and programs

State ADU law

Oregon has the most comprehensive statewide ADU preemption framework in the country after California. House Bill 2001 (2019), codified principally at ORS 197.312(5), requires every Oregon city of more than 2,500 residents inside an urban growth boundary, and every Oregon county with population over 15,000, to allow at least one accessory dwelling unit (interior, attached, or detached) by right for each existing or newly-constructed single-family detached dwelling on residentially-zoned lots. Local jurisdictions may impose 'reasonable regulations' on siting and design but may NOT require owner-occupancy of either the primary or accessory unit and may NOT require additional off-street parking. Senate Bill 458 (2021), codified at ORS 92.031, authorizes 'middle housing land divisions' that allow each unit of a duplex / triplex / quadplex / townhouse / cottage cluster to be partitioned onto its own lot for fee-simple sale via an expedited land-division process; SB 458 does not directly add an ADU mandate but interacts with HB 2001 because an existing ADU can be split off onto its own lot under SB 458's expedited process (although a new ADU cannot be created after a SB 458 division). HB 2001 also separately preempts single-family-only zoning in cities over 25,000 by mandating duplexes statewide (and triplexes, quadplexes, townhouses, and cottage clusters in larger cities), which is the 'middle housing' provision discussed alongside ADUs in DLCD guidance.

State housing programs

Oregon's state-level ADU policy infrastructure is concentrated in the Department of Land Conservation and Development (DLCD), which publishes guidance documents for cities and counties implementing ORS 197.312(5) and ORS 197.758, runs the Housing Choice and Middle Housing technical-assistance programs, and audits municipal compliance with HB 2001. Oregon does not currently maintain a statewide pre-approved ADU plan catalog (those exist at the city level, e.g. Portland's pre-approved ADU plans), and there is no statewide impact-fee waiver, no statewide streamlined-review timeline floor beyond the reasonable-regulation requirement of ORS 197.312(5), and no state ADU rebate program.

  • DLCD ADU implementation guidance — Statewide guidance to local governments on what 'reasonable regulations' on ADU siting and design under ORS 197.312(5) means in practice. Updated September 2019 to coincide with HB 2001 enactment.
  • DLCD Housing Choice / Middle Housing technical assistance — Ongoing TA program that supports cities and counties in updating development regulations to comply with HB 2001 (ADUs and middle housing) and SB 458 (middle housing land divisions).
Federal (United States) — ADU-relevant rules and programs

Federal ADU law

The United States has no federal statute that directly regulates accessory dwelling unit entitlement or design. Land-use authority over ADUs resides with states and local governments under the traditional police power. Federal engagement is limited to financing (Fannie/Freddie/FHA/VA/USDA), flood insurance (FEMA/NFIP), and discretionary housing programs (HUD), which are recorded in sibling sections of this file.

Federal financing programs

Federal housing-finance agencies and GSEs set nationwide underwriting rules that govern whether an ADU can be financed, appraised, and counted toward mortgage qualifying income. The relevant actors are Fannie Mae, Freddie Mac, FHA (HUD), VA, and USDA Rural Development.

Federal tax credits

There is no ADU-specific federal tax credit. ADUs may incidentally qualify for existing federal energy-efficiency and clean-energy tax credits when the ADU construction includes qualifying measures.

Federal housing programs

HUD administers several discretionary programs that can fund ADU-related activity at the grantee's election, but none is an ADU-specific program.

ZIP Codes

  • 97301
  • 97302
  • 97303
  • 97305
  • 97306
  • 97317
  • 97392

Post Office

  • 1050 25th St SE, 97301
  • 1050 Sunnyview Rd NE, 97301
  • 2222 Claxter Rd NE, 97301
  • 3284 Lancaster Dr NE Ste C, 97305
  • 3624 Commercial St SE, 97302
  • 5000 Brooklake Rd NE, 97305

Locale Names