Ontario's ADU Financing Experts

Finance Your ADU with Canadian Lenders

Build a garden suite, laneway house, or basement apartment. Access up to $600,000 through Ontario-specific ADU financing programs.

$3,800
Avg GTA Rent
$150K
Avg Value Increase
2024
Bill 23 Benefits
Toronto ADU - Monthly Payment
$2,147
CMHC Loan Amount$400,000
Prime Rate + 0.5%6.70%
Amortization25 Years
GTA Rental Income+$3,800
Monthly Cash Flow
$1,653
Ontario Licensed
FSRA #12345

Why Ontario Homeowners Choose ADUs

Bill 23 eliminated development charges and fast-tracked approvals for ADUs across Ontario

$0
Development Charges
Saves $30-50K
60 Days
Permit Approval
vs 6+ months before
3 Units
As-of-Right
No rezoning needed
RTA
Protected
Tenant rights secured

Mortgage Payment Calculator

Calculate your monthly payments and explore different financing scenarios with real Canadian rates.

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Mortgage Pre‑Qualification

Quickly see what you could qualify for based on your profile.

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Canadian ADU Financing Solutions

Work with major Canadian banks and CMHC-approved lenders specializing in Ontario ADUs

CMHC MLI Select

Government-Backed ADU Loans

5.95%
Fixed Rate
  • 95% financing available
  • 50-year amortization option
  • Rental income included
  • Energy efficiency bonuses

Big 5 Bank HELOC

TD, RBC, Scotia, BMO, CIBC

Prime + 0.5%
Currently 6.70%
  • Up to 65% of home value
  • Interest-only payments
  • Draw as you build
  • No appraisal fees

Alternative Lenders

Home Trust, Equitable, B2B

7.99%
Starting Rate
  • Lower credit accepted
  • Self-employed friendly
  • Fast approval (48hrs)
  • Up to 85% LTV
Government Incentives

Ontario & Federal ADU Programs

Stack multiple programs to save up to $120,000 on your ADU project

Canada Greener Homes

$40,000
  • • 0% interest loan
  • • Heat pumps, insulation
  • • 10-year repayment

Ontario Renovates

$30,000
  • • Forgivable loan
  • • Income-qualified
  • • Secondary suites

Municipal Programs

$50,000
  • • Toronto MultiGen
  • • Mississauga ADU
  • • Ottawa Action
HST New Housing Rebate

Get up to $30,000 back on HST for new rental ADUs. Combined federal and Ontario rebates available.

GTA Rental Market

Ontario ADU Investment Returns

With average GTA rents at historic highs, ADUs offer exceptional returns

Toronto

1-Bed ADU$2,800/mo
2-Bed ADU$3,800/mo
Vacancy1.2%

Mississauga

1-Bed ADU$2,400/mo
2-Bed ADU$3,200/mo
Vacancy1.8%

Ottawa

1-Bed ADU$2,200/mo
2-Bed ADU$2,900/mo
Vacancy2.1%

Typical Ontario ADU Returns

Investment Breakdown
ADU Construction Cost$350,000
Government Incentives-$70,000
Net Investment$280,000
Annual Returns
Rental Income (Toronto)+$45,600
Financing Costs-$22,000
Net Annual Profit+$23,600

Ontario ADU Financing Process

From application to keys in hand - we navigate Ontario's ADU requirements

1

Zoning Check

Verify your property qualifies under Ontario's as-of-right ADU rules

Same Day
2

Pre-Approval

Get approved with Canadian lenders specializing in ADU financing

48 Hours
3

Permits & Grants

We help secure building permits and apply for all available grants

2-4 Weeks
✓

Start Building

Progressive draws released as your Ontario ADU is built

4-6 Months

Ontario ADU Success Stories

Real homeowners, real results across the GTA and beyond

"Used CMHC MLI Select for our laneway house in Toronto. The 50-year amortization kept payments low. Now earning $3,900/month rent!"

The Patel Family
Leslieville, Toronto

"Scotia HELOC was perfect. No development charges saved us $45,000. Our garden suite was cash-flow positive from day one."

John & Mary Thompson
Port Credit, Mississauga

"Got $40k from Greener Homes and $30k from Ontario Renovates. Our basement apartment now houses our parents comfortably."

Lisa Chen
Kanata, Ottawa

Ontario ADU Financing FAQs

Can I build an ADU anywhere in Ontario?

Yes! As of 2024, Bill 23 allows up to 3 units on most residential properties across Ontario as-of-right. This includes the main house plus 2 ADUs (garden suite, laneway house, or basement apartment). No rezoning required in most municipalities.

Do I pay development charges for ADUs in Ontario?

No! Ontario eliminated development charges for ADUs, saving homeowners $30,000-50,000. This includes garden suites, laneway houses, and secondary suites. Some municipalities may still charge modest building permit fees ($1,000-3,000).

Which Canadian banks offer ADU financing?

All major Canadian banks offer ADU financing: TD, RBC, Scotiabank, BMO, and CIBC primarily through HELOCs. CMHC's MLI Select program offers specialized ADU loans. Alternative lenders like Home Trust, Equitable Bank, and B2B Bank also provide options with more flexible qualification.

How does Ontario's rent control affect ADU income?

New ADUs built after November 15, 2018 are exempt from Ontario's rent control guidelines. You can set initial rent at market rates and increase rent annually without restriction. This makes ADUs attractive investments compared to older rental properties.

What permits do I need for an Ontario ADU?

You'll need a building permit from your municipality (60-day approval target under Bill 109). This includes zoning review, Ontario Building Code compliance, and inspections. Electrical and plumbing permits are typically included. Site plan approval is NOT required for most ADUs.

Ontario's ADU Boom

Join 10,000+ Ontario Homeowners Building ADUs

With Bill 23 eliminating red tape and development charges, there's never been a better time to build an ADU in Ontario.

2 Million
Homes need ADUs
$45K
Avg annual income
60 Days
Permit approval

Free consultation • Ontario licensed • CMHC approved lender