ADU · Financing
How to Finance Your ADU in the Inland Empire
Building an ADU is a major investment. Here are the most common financing options available to IE homeowners.
Financing Options
Five ways to fund your build.
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01
Home Equity Line of Credit (HELOC)
Most common option. Borrow against your home's equity. Interest only during the draw period. Rates vary with the market.
Best for
Homeowners with significant equity
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02
Cash-Out Refinance
Refinance your mortgage for more than you owe and take the difference in cash.
Best for
Homeowners who can get a lower rate than their current mortgage
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03
Construction Loan
Short-term loan specifically for building. Converts to a permanent mortgage after construction. Requires detailed plans.
Best for
Larger projects, less home equity
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04
ADU-Specific Loans
Some lenders offer ADU-specific products based on the projected rental income of the new unit.
Best for
Investment-focused ADU projects
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05
CalHFA ADU Grant Program
When funded, covers up to $40,000 in pre-development costs. Check current availability at calhfa.ca.gov.
Best for
Owner-occupants, income limits apply
Tips
Smart financing moves.
- ✓Get pre-approved before finalizing your plans
- ✓Factor in rental income when qualifying
- ✓ADUs typically increase property value 20–30% — improving your equity position
- ✓Some cities offer local fee waivers
Enhancify
Flexible financing through Enhancify.
Construction Station offers flexible financing through Enhancify. Apply in minutes and know your budget before your consultation.
Explore FinancingReady to start?
Know your budget before you build.
Book a free ADU consultation and we’ll help you map financing to a build plan that fits your property and your goals.