Chino/Chino Hills ADU property taxes are assessed by San Bernardino County (not Riverside County) under the same Proposition 13 partial reassessment framework that applies statewide. A typical Chino Hills 1BR ADU adds $1,300–$1,900/year in property taxes. The two Chino-specific tax considerations: (1) San Bernardino County Assessor, not Riverside County — different assessor office, different contact; (2) The Preserve in both cities has CFD/Mello-Roos overlays that don't change with ADU construction, but should be understood before buying into the income projection.
San Bernardino County Assessment — Not Riverside
Both the City of Chino and the City of Chino Hills are in San Bernardino County. Property tax assessment is handled by the San Bernardino County Assessor-Recorder-County Clerk (ARC) office — not the Riverside County Assessor that serves Temecula, Norco, Perris, and Hemet. For homeowners who've gotten tax information from neighbors in Riverside County cities, the assessment process is identical in concept but uses San Bernardino County's cost tables and rate districts.
San Bernardino County's base property tax rate: 1.00% (same as Riverside County — it's the Prop 13 constitutional limit). Local overlays and bond levies bring the effective rate to approximately 1.15–1.35% in most Chino/Chino Hills residential areas.
Tax Calculation for a Chino Hills ADU
Example: City of Chino Hills 1BR detached ADU at 650 sf:
- Actual construction cost: $195,000 (includes Chapter 7A fire construction on VHFHSZ lot)
- San Bernardino County Assessor's estimated value: ~$155,000 (typically 75–85% of actual cost)
- Additional assessed value: $155,000
- Base tax increase: $155,000 × 1.00% = $1,550/year ($129/month)
- With Chino Hills bond overlay (~0.20–0.30%): total increase $1,860–$2,015/year
Against a 1BR rental income of $2,300/month ($27,600/year), the $1,900/year tax increase represents 6.9% of gross income — consistent with other Inland Empire markets.
Mello-Roos/CFD in The Preserve
The Preserve master-planned community has CFD special tax assessments in both the City of Chino and City of Chino Hills portions. Like Temecula's HOA-adjacent CFDs, The Preserve's CFD charges are parcel-level fixed assessments — ADU construction does NOT trigger a Mello-Roos reassessment or change your existing CFD obligation. The new ADU construction is assessed under Prop 13 base-rate methodology; the existing CFD charges remain unchanged.
Know your existing CFD charges before calculating net ADU income. The Preserve CFD charges range from $1,200–$2,800/year depending on lot type and which CFD district(s) apply to your parcel. This is a line item in the full income/expense analysis we run for each project.
Depreciation — Federal Income Tax Strategy
ADUs are eligible for federal income tax depreciation as residential rental property — 27.5-year straight-line depreciation on the structure value (not land). On a $195,000 ADU with approximately $165,000 attributed to structure: $165,000 ÷ 27.5 = $6,000/year in depreciation deductions. At a 24% marginal federal rate, this generates approximately $1,440/year in tax savings — potentially offsetting most or all of the property tax increase. Consult a qualified CPA for advice on your specific tax situation.
General information only. Tax laws are complex and subject to change. Consult a California-licensed CPA or tax professional. See our Disclaimer.
San Bernardino County assessment, The Preserve CFD charges, fire construction cost premiums, and rental income projections all factor into the return calculation. The free consultation walks through the complete picture for your specific parcel.
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