Q: How did you finance your project?

Sarah: At the time, there weren’t really any ADU-specific financing options available. Fortunately, I had a connection at Libro Credit Union who helped me secure construction financing. Once the build was complete, we refinanced the loan into a regular mortgage.

That said, the financing process came with hurdles. My contract with my employer had ended, so proving income was tricky. While the credit union was initially hesitant to include projected rental income in their calculations, they ultimately did—which made a big difference in moving things forward. I also had savings that covered over 50% of the project, which helped reassure them and strengthened my overall application.

Want to explore your financing options? Visit our Financing Options page.

Q: What were your biggest challenges?

Sarah: The biggest hurdles came right at the beginning. Getting pre-approved was tough—especially trying to convince the lender to factor in future rental income when my contract with my employer had just ended. I had to lean heavily on my savings to keep things moving, which was stressful at the time, but ultimately gave the lender confidence in the project.

Once that piece fell into place, things started to flow. Acting as my own general contractor was a steep learning curve, but it helped me stay hands-on and keep costs down.

That said, I did benefit from starting the project before supply chain disruptions really took hold. Costs have gone up since then, so it’s important for anyone starting today to get a clear estimate early on and build in a healthy buffer. With the right planning and support, it’s still very possible to make the numbers work.

Need tools to manage your project timeline and budget? Check out our Resource Directory.

Q: How has your ADU impacted your life?

Sarah: It has been amazing! It felt a bit risky at first, but now gives me a high degree of financial security, as I have a cash-flowing unit that supplements my housing costs. It’s also been great to build a relationship with my tenant and feel supported beyond just the financial aspect.

After five years, I am now looking at doing another one at a second property. One thing people often miss is the community it creates. I now share a courtyard with my tenant—it’s been such a positive experience having someone else on the property who helps look after things and has become part of our day-to-day life.

That experience inspired me to help others navigate the complex and often overwhelming process of building an ADU. I went on to build Resimate, a platform that simplifies the process of designing, permitting, and building ADUs—removing barriers that typically lengthen timelines and drive up costs. It’s designed to help homeowners across Canada better understand what’s possible on their property and move forward with confidence.

‍

Q: What are your top two tips for others considering an ADU?

Sarah:

1. Do your homework – Make sure you know what’s allowed on your lot before investing heavily in drawings or consultations. Confirm zoning and building code requirements upfront.
   
2. Run the numbers – Estimate your total project cost and check whether your projected rent will cover monthly payments, especially after refinancing. That kind of planning gave me peace of mind.

Inspired by Sarah’s story? Learn more with our Step-by-Step Guide to explore what’s possible on your own lot.

‍