Because your (prospective) neighbors are worried you're building a Section 8 slum that's going to crash the value of their own properties. The house is usually a family's biggest investment, so it's not really surprising people get testy when they see a potential threat.
You can get pretty rural pretty quickly west of I-280 in San Mateo and Santa Clara counties, and of course Santa Cruz County further south. Head 10 minutes west of I-280 via Sand Hill Road, and you're at Skyline at Alice's restaurant, which marks the limit of the town of Woodside's boundary. Anything north, west, or southwest of that point is unincorporated.
As a practical matter if you're in a rural unincorporated area you're going to have to deal with septic tanks, and finding a place in the bay area where you can dig seven (and counting) different leach fields with possible space for expansion, not on >35% slopes, not near streams, etc. is going to be tricky. Further out you may have problems getting water; are you going to dig a well? How many GPM? Check out the problems that mutual water companies in the hills have had during previous droughts. On the other side of the ridge things are even worse; there's La Honda's rationing and talk of trucking in water: http://www.hmbreview.com/news/cuesta-la-honda-guild-keeps-ra...
On a more positive note, if you can get the structure and finance down, why not build a ~3000 ft^2 conventional house with external power/water/septic hookups? Those hookups are where you'd place your friends' tiny-homes-on-trailers. They wouldn't be permanent structures, so perhaps that would pass legal muster. Or buy 7 acres and subdivide? Again, I like your idea and wish you the best.
It does seem to be that one of the least-friction approaches is to permit property as an RV park and have everyone move into tinyhomes-on-wheels instead of small permanent structures. We may end up taking that approach, although it would probably change the composition of our consortium somewhat.
There are some "special planning areas" in the delta (Sac county) that look very permissive, but they bring other issues (flood risk and flood construction requirements, mainly). On the other hand, hey, water :-)
Two hours covers a lot of counties, but none with ordinances that permit rural compound housing. I don't know how far you'd have to go. I don't think there are any in CA.
http://en.wikipedia.org/wiki/List_of_American_Utopian_commun...
While no openings, I do plan to write up what I have learned when it is safe to do so. It would be great to have neighbor communities. Talk to your friends now and plant the seed; it may take years to germinate, but you can use that time to save money.
Back in university I lived in a large co-op house with 38 other people and it was the best living arrangement I could possibly hope for. I'd love to do it again as an adult (though perhaps with less people and more privacy), but unfortunately I just don't know that many people who would be up for it!
In other words, anywhere you want to do this, you're opposed by people who already live there, who usually have quite a bit to say about the area.
And anyone who wants to take away that influence from incumbent homeowners or tenants will be marked as someone who is destroying a long standing community for the sake of outsiders who want to take it over.
It is indeed a shame as I'm personally a big fan of small homes and at one point tried to get a new housing project off the ground.
But I'm seeing in some places slow consideration for new ways of living. From turning office buildings who've struggled to reach 25% occupancy in places where living rents are skyrocketing into homes, to microhomes.
In any case, it's not an easy issue. In some ways, small housing shares similarities with minimum wage: just because the economy is such that without a legal minimum wage, adults would still be willing to work for $4, doesn't mean we ought to allow it and let the market figure it out. People will get exploited. Similarly, the government needs to set building standards, including the minimum space a home ought to have, in my opinion (I just happen to think it can be quite small, if properly built, for certain people). If you don't have these standards, I would be the least surprised if we suddenly found large groups of students, young adults and struggling working poor living like they do as the 'Rat Tribe' in Beijing. [0] And again, like minimum wage, we don't want that.
But yeah then we're talking, really really small. <500 sq ft should really not be an issue. I live with my girlfriend on a little over 400 at the moment and it's great.
[0] http://projects.aljazeera.com/2015/01/underground-beijing/
California certainly has some ecovillages, but most have buildings sized like typical houses.
That said, some counties are apparently friendlier to this idea than others. And it is our fallback plan.
It might be possible to get variances or special permits from friendly planning departments, but it's hard to convince a group of people to make large $ investments in dreams which could be destroyed arbitrarily by changing political winds. We may take the risk anyways, but our problem has gone from practical matters of structure and finance to a fundamentally political one.
This is really a shame. I suspect that a lot of people, like us, would be perfectly happy in low-footprint small (<500 sq ft) homes as long as they had easy access to a fancy kitchen, home theater, storage, etc in a space shared with a dozen of their friends. I always wondered why this isn't common - and the answer is, at least in California, it's effectively illegal.