ADU Financing

How to choose an ADU lender: use an eight-question scorecard, a weighted score and an apples-to-apples test for prefab builder offers.

ADU rental income can help you qualify for a loan, with limits. See how Freddie Mac, FHA and Fannie Mae treat it, with worked examples.

A home equity investment often costs more than a HELOC for an ADU. See a hypothetical $80,000 example and the risks the CFPB highlights.

How much equity to build an ADU? Use the CLTV formula, see three hypothetical owners and learn what lenders check before they approve.

ADU loan payments on $150,000 compared by loan type: 30-year, 15-year, HELOC and personal loan, with rates as of Oct 1, 2026.

ADU grants in California: the state grant is closed. Here are the local loans, rebates and fee waivers we verified as of October 2026.

ADU property tax in California: only the new construction is reassessed. See how it works, with a hypothetical example and sources.

How to finance an ADU: compare 7 options, from cash and HELOCs to renovation loans, with worked examples and rates as of Oct 1, 2026.

HELOC for an ADU: pros, cons and how payments work, with worked examples built on the 7.00% prime rate as of the week ending Oct 2, 2026.

Cash-out refinance vs HELOC for an ADU: compare monthly payments, five-year cost and a break-even rate, using rates as of Oct 1, 2026.