Expand home choice

What does it mean to expand home choice?

Since the 1950s, Oregon cities have restricted the construction of needed small-home options—duplexes, triplexes, and quadplexes—by outright banning them or by creating secondary design requirements that make them difficult or impossible to build.

In the past decade, Oregon has passed several laws to allow accessory dwelling units (ADUs) and duplexes in residential areas of small towns (population 2,500-25,000) as well as triplexes, quadplexes, townhomes, and cottage clusters in residential areas of larger cities (population 25,000+), Portland Metro area cities, and communities in Tillamook County.

These laws represent a critical step toward expanding home options for all Oregonians. However, unnecessary barriers still exist to building diverse homes in many Oregon cities. Advocates, policymakers, and homebuilders can identify these problems and work together to create more options in all communities.

 

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Success story: La Grande expanded home choice without changing neighborhood character

By allowing more cottage clusters and duplexes, this Eastern Oregon city of 13,000 created new housing options for working families and longtime residents—proving that small-scale housing can fit seamlessly into existing neighborhoods.

This cottage cluster provides much-needed affordable homes and community for veterans in Eastern Oregon.

 

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Current laws that expand home choice

The Oregon legislature has passed several laws requiring cities to allow more types of housing and creating a more streamlined housing permitting and production process.

Accessory Dwelling Units (2018)

Requires cities over 2,500 in population to allow the development of at least one accessory dwelling unit (ADU) on any property zoned residential that allows single dwellings.

Middle Housing (2019, 2023, 2025)

Ends exclusionary single-family zoning and allows for more diversity of housing choices. Requires cities over 2,500 in population to allow duplexes, and cities over 25,000 in population, Portland Metro area cities, and some Tillamook county communities to also allow triplexes, quads, and cottage clusters on all lots in residential zones that allow single dwellings.

Climate Friendly and Equitable Communities Program (2020)

Requires all cities of any size that are located within a metropolitan region with a population over 50,000 to identify climate-friendly areas where residents can meet most of their needs without driving a car, and increase housing production in those areas. It also requires cities to remove barriers to diverse housing production and affordability, such as by reducing parking mandates and road expansions.

Oregon Housing Needs Analysis (2023)

Creates a comprehensive framework and strategy for addressing each city’s housing needs, with state coordination and support.

 

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Success story: Bend unlocked incremental homebuilding by legalizing detached townhomes

By updating its code to legalize detached townhomes, this city of 104,000 allowed builders to finance townhomes one at a time, using the sale of one home to fund the next. This incremental approach reduces risk, lowers financing barriers, and makes it easier for local builders to deliver more affordable homes, especially during times of financial uncertainty.

(Note: Image does not depict Bend; it is an example of townhomes of this type.)

 

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What can your city do?

To have more diverse home options, cities must ensure that it is legal and practical to build new diverse homes and to convert existing housing into more homes. Cities can enact policies and practices to make this possible.

As part of the Oregon Housing Needs Analysis (OHNA) process, all cities with populations over 10,000 are required to analyze their housing needs and develop a set of strategies to meet those needs. Policies to expand home choice should be integrated into each city’s housing production strategy. Examples include:

  1. Code audit: Review the city’s development code to identify and remove barriers. Making homebuilding more flexible through changes to the zoning code and comprehensive plan can enable diverse homes.

    A variety of barriers might be preventing diverse homes in your city, including:

    Large minimum lot sizes or square foot requirements: If lots or homes are required to be of a certain minimum size, that means fewer homes can be built in an area and those that are built might be larger than most people need. Larger lots and homes usually also means they are less affordable.

    Design standards or codes that are too strict: Unnecessarily strict or arbitrary design standards can limit the ability to build on a lot, increase the time and difficulty of building, and drive up the cost of new homes.

    Large parking space requirements: Nearly 1 in 3 Oregonians cannot or does not drive, yet minimum offstreet parking requirements continue to take up space in urban areas that could be used for homes and drive up the cost of homes.

    Definitions that need to be updated or clarified: Confusing or out-of-date codes can make homebuilding less accessible to small-scale developers and those trying to create more diverse options in their communities.

    By removing these and other barriers, cities can reduce the cost of homes and encourage the production of more diverse home choices.

  2. Model codes: Oregon's Department of Land Conservation and Development (DLCD) produces a variety of model codes related to land use matters, including housing development. Cities have the option to adopt these model codes, which can create more convenience and consistency for those trying to build diverse homes in your city.

    Prefabricated and Modular Housing Model Code and Audit Workbook​​: A tool that local governments may use to update their development codes to facilitate prefabricated housing development.

    Diverse Housing Model Codes: These tools provide standardized regulatory standards for multiple housing types in small, medium, and large cities: Small Cities Middle Housing Model Code, Medium Cities Middle Housing Model Code, Large Cities Middle Housing Model Code, and ADU Model Code.

  3. Permit-ready plans: Adopt pre-approved floor plans for diverse homes, such as ADUs, middle housing, and accessible homes. This reduces the cost and time of new homes.

    The City of Eugene and the City of Medford have both adopted several pre-approved accessory dwelling unit (ADU) floorplans—which are available online, ready to use, and do not require additional review in those cities. Other cities should consider adopting similar programs.

    DLCD is in the process of expanding its library of free permit-ready house plans. Currently, there is a free plan available for an exterior deck, which is usable in any city.

  4. Educate homebuilders: Provide information about which types of housing are both legal under local rules and needed for meeting community housing goals. This helps more people participate in small-scale housing development.

 

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Success story: Stanfield turned creative code interpretation into 100+ new homes

In this town of 2,000 people, builders wanted to construct affordable townhomes—but residents preferred detached homes. Working with planning staff, they found an innovative solution: Homes with shared foundations below ground and detached walls above. The result? More than 100 lower-cost homes and a powerful example of how small towns can use flexibility to unlock housing and economic opportunity.

Middle Housing, ADUs, and other traditional homes

Middle housing, also known as “missing middle” housing due to its lack of availability in most communities, is an essential component of the housing spectrum. Middle housing refers to the homes in the middle of the housing spectrum between single detached homes and multistory, multiunit buildings—it includes duplexes, triplexes, quadplexes, cottage clusters, and townhouses. Different scales of middle housing can fit seamlessly into rural and urban neighborhoods, providing housing options for people of all income levels and stages of life.

Accessory dwelling units (ADUs) are small homes that exist on the same lot as a single detached residence. They come in many shapes and styles, and have increasingly become a popular option for young adults, seniors, people with support needs, and others at various stages of their lives.

Resources

  • All about ADUs (n.d.): This extensive resource library by AARP offers everything from policy resources to virtual tours to building guides.
  • Character-Compatible, Space-Efficient Housing Options for Single-Dwelling Neighborhoods (2026): Provides information and policy recommendations for cottage clusters, ADUs, corner duplexes, and internal division of larger homes. These options are legal in all residential areas of all Oregon cities with populations larger than 2,500.
  • Traditional Housing Choices Guide Book (2024): Provides specific descriptions and real-world examples of diverse housing types, including townhomes, narrow lot homes, cottages, cottage clusters, ADUs, plexes (duplexes, triplexes, etc.), courtyard apartments, upper story apartments, and multi-dwelling buildings.

 

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