Start with the reframe: almost nobody pays for a suite or a multiplex in cash. These projects are financed — and when they're structured well, the rent services the debt. The question isn't "do I have $300k?" — it's "does the project's income support the borrowing?"
The equity ladder
- Home equity (HELOC or refinance) — the most common starting point. If you've owned for a while, your equity often covers a basement or garden suite outright.
- Construction / improvement financing — lenders advance funds in draws as the build progresses. More paperwork, but it means you don't need all the capital up front.
- Refinance on completion — the quiet superpower of these projects. Once built, your property is worth more and produces income. Refinancing against the once-built value frequently repays the construction borrowing.
Government-backed programs
CMHC-supported, insured financing can meaningfully improve terms — longer amortizations, better rates, lower down-payment requirements — especially for purpose-built rental. Larger rental projects (5+ units) can access dedicated programs with the most favourable terms. Eligibility is project-specific, which is why the report maps programs to your plan rather than a generic list.
What lenders actually look at
- Your equity and income — the conventional stuff still matters.
- The project's income — realistic rent, vacancy assumptions, operating costs. Lenders increasingly count projected rental income toward qualification.
- Legality — an unpermitted suite's income often doesn't count. A legal one does.
- A credible plan — real drawings, real budget, real timeline. This is where an accountable team pays for itself at the bank.
How HouseLyft fits
We're not a lender and we don't sell mortgages. What we do: model your project's financing realistically in the free report, structure the plan so it's bankable, and coordinate with your lender or broker so the financing closes when the project needs it.
Your free report models the financed scenario for your address — realistic costs, rents and the lending path.