Anchored Tiny Homes financing options.
Anchored Tiny Homes offers a variety of franchising options.

Financing Options

There are more options than you may think!

As you get closer to deciding whether or not you would like to build an ADU on your property, one of the biggest questions that many homeowners have is “can I finance this? And if so, what are the options?” This is exactly where we can help!

Here are each of the main options available to you, but if you would like to quickly see what would be the best fit for you and get an idea of payments and terms, reach out today and our financing team can walk you through options.

Home Equity Line of Credit (HELOC)

In the current economic climate, a Home Equity Line Of Credit (HELOC) is the most common financing option that our current customers are using. This is a line of credit taken out based on the equity you have and broken into two pay periods, a draw period, and a payback period, and you are only charged interest on the amount of the loan that you use which you can draw from to pay for your project during a specific period, typically around 10 years.

The payments on this type of loan still come in far lower than what you can often rent it out for or the cost of housing an aging parent in an apartment or assisted living facility making this an incredibly affordable option!

The Anchored ADU Bridge Loan

We’ve developed a loan specifically for those that just don’t quite have enough equity in their home without the new value of the ADU being put on.

With this option, you can have the money for your ADU lent to you upfront and once the unit is built you then pay off this loan using either a cash-out refinance or HELOC based on the NEW value of your property! And to make it even better, once you get the loan rates are locked in so it won’t change on you and there are no payments during the duration of the loan!

Cash-Out Refinance

A cash-out refinance is very similar to a HELOC in that it is based on your current equity, but rather than being secondary to your mortgage, a cash-out refinancing replaces your current mortgage and you can use the difference that goes to you in cash as a way to pay for your ADU.

This is a great option if you have a lot of equity in your home and if your current interest rate is similar to or higher than the current going rate!

Renovation or Construction Loan

Unlike loans based on existing equity, a renovation/construction loan does not use your home as collateral so if you are wanting to avoid that or don’t have much equity then this may be a great option.

However, this does often have more strict credit and income requirements as well as a higher interest rate typically, making the monthly payment often higher than with other options.

Alternative Options

Beyond these traditional loans there are still a few other options that you can look into, including:

  • A personal loan or line of credit
  • Use of retirement accounts or personal investment
  • Sale of another home or property
  • Borrowing from family and friends
  • Private money loans
  • And more

Ultimately there are most likely many more options than you would realize as well as dozens of different lenders with different terms to help you get approved for the payments that work best for you and your goals!

Anchored Tiny Homes offers a variety of franchising options.

Financing Options

There are more options than you may think!

As you get closer to deciding whether or not you would like to build an ADU on your property, one of the biggest questions that many homeowners have is “can I finance this? And if so, what are the options?” This is exactly where we can help!

Here are each of the main options available to you, but if you would like to quickly see what would be the best fit for you and get an idea of payments and terms, reach out today and our financing team can walk you through options.

Home Equity Line of Credit (HELOC)

In the current economic climate, a Home Equity Line Of Credit (HELOC) is the most common financing option that our current customers are using. This is a line of credit taken out based on the equity you have and broken into two pay periods, a draw period, and a payback period, and you are only charged interest on the amount of the loan that you use which you can draw from to pay for your project during a specific period, typically around 10 years.

The payments on this type of loan still come in far lower than what you can often rent it out for or the cost of housing an aging parent in an apartment or assisted living facility making this an incredibly affordable option!

The Anchored ADU Bridge Loan

We’ve developed a loan specifically for those that just don’t quite have enough equity in their home without the new value of the ADU being put on.

With this option, you can have the money for your ADU lent to you upfront and once the unit is built you then pay off this loan using either a cash-out refinance or HELOC based on the NEW value of your property! And to make it even better, once you get the loan rates are locked in so it won’t change on you and there are no payments during the duration of the loan!

Cash-Out Refinance

A cash-out refinance is very similar to a HELOC in that it is based on your current equity, but rather than being secondary to your mortgage, a cash-out refinancing replaces your current mortgage and you can use the difference that goes to you in cash as a way to pay for your ADU.

This is a great option if you have a lot of equity in your home and if your current interest rate is similar to or higher than the current going rate!

Renovation or Construction Loan

Unlike loans based on existing equity, a renovation/construction loan does not use your home as collateral so if you are wanting to avoid that or don’t have much equity then this may be a great option.

However, this does often have more strict credit and income requirements as well as a higher interest rate typically, making the monthly payment often higher than with other options.

Alternative Options

Beyond these traditional loans there are still a few other options that you can look into, including:

  • A personal loan or line of credit
  • Use of retirement accounts or personal investment
  • Sale of another home or property
  • Borrowing from family and friends
  • Private money loans
  • And more

Ultimately there are most likely many more options than you would realize as well as dozens of different lenders with different terms to help you get approved for the payments that work best for you and your goals!

Contact us to learn more about financing options

Ready to See if You Qualify?

Are you ready to see what financing options you qualify for and what the payments would look like so that you can get an idea of what would be the best fit for you?

Request a FREE property analysis and estimate TODAY and we will be able to go over more details with you as well as connect you with our financing team once we have analyzed your property and given you a firm estimate at no cost. This way you can have complete clarity on what the cost is and how that would break down into your payments.

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What Our Customers Say About Us

  • Rodrigo Vega
    From the initial phone call to completed Project. Anchored Tiny homes has always been very easy to communicate with, and has exceeded all of my expectations for a contractor. They helped me finalize ADU and completed the installation with high attention to quality. James walked me walked me through the whole process and was always very patient as I was asking questions. I’d highly recommend working with this company!
  • Andrew Gonzalez
    Jim and his team at Anchored Tiny Homes are absolute professionals and i highly recommend them. From the time you fill out the request to bid, to the day you take ownership, you will feel informed and confident in the entire process. You can have other tiny home builders compete, and you'll find that Anchored stands above the rest. I have full confidence recommending Anchored Tiny Homes to anyone I know. I love them
  • Mike Meduri
    Steve and his team took the time to assist with my inquiry of building a potential 2B/1B ADU with a 2 car garage. Steve went above and beyond to call the planning and zoning department to see if this was possible, provided me 3D modeling plot plans and was quick to respond to all my questions. Ultimately, the town would not approve the proposed project. Despite the unfortunate outcome, Steve and his team left me impressed with their professionalism and I would recommend their services.Thank you.
  • nikki roberto
    Dylan is very easy to work with & put a lot of hard work into our home project to make sure it was everything I had envisioned.
  • Amy Mondello
    Jess and Mark are the best in the business! You won’t find a more knowledgeable and dedicated team. I couldn’t recommend them highly enough.
  • Sarah Green
    Jessica answered any and all of my questions with the utmost respect and urgency. I appreciated her honesty and felt valued from start to finish.
  • Rianna Redig
    Jess's passion and desire to help others shines through in her work. She is detail oriented, hard working, knowledgeable and has attention to detail. I would recommend her to anyone!
  • Audrey Thorne
    I’ve known Jessica for a couple of years now, and can speak to the integrity of her work. She’s an excellent communicator, gets things done quickly and efficiently, and always with a smile. I’ve used her on past projects with great success. You’ll be happy you chose her and her team for your tiny home!
  • dball913
    The project initially commenced with standard expectations, yet encountered numerous challenges and setbacks along the way. Despite an anticipated completion timeframe of 6-8 months, the endeavor extended nearly two years. Communication emerged as a prominent issue, with prolonged periods of inactivity lasting up to three weeks at a time. Additionally, the project underwent managerial transitions on seven separate occasions, further complicating matters. However, the introduction of Martin Schafer marked a pivotal turning point. Martin’s proactive approach and exceptional dedication revitalized project dynamics. His unwavering commitment and efforts transcended expectations, significantly improving project outcomes. The resultant work achieved commendable standards, garnering praise from observers for its exceptional quality. Acknowledging the transitional challenges faced by the company, it is imperative to recognize Martin's instrumental role in salvaging the project. Without his exemplary leadership, the project's overall rating would have undoubtedly suffered.
  • nona dadash
    It was about a year ago that we signed the contract with ATH and our ADU is in its final stages. Along the way in the building of my ADU, there have been bumps in the road; rainy weather, construction delays, lack of communication, designer and project manager changes, but let's be real I don't think you can have a construction project that you don't run into challenges, delays, and problems. ATH Is no exception to this fact unless you have expert and caring people on your team. I was lucky enough to have some of these people on my team; Rick Manzanares as my ADU specialist and Bob Brecht as my project manager. Rick has been my go-to person since day one; he is transparent, caring, knowledgeable, honest, and helpful. Bob is my 2nd project manager who came to save my project when I was not happy with the progress of my project; he did his best to keep things moving quickly, communicated almost daily, and managed the contractor and workers as best he could.; I'm so grateful for his good attitude, responsibility, and work ethics. My ADU looks beautiful so far and I can't wait to see the finished work. I will take a pic and post it here later.
  • Lila Wochna
    It's clear that Jessica and her team take immense pride in their work. Highly recommend for any construction project.
  • Tom Earley
    Such a great experience! Many thanks to Jess, Mark and the entire Achor team for a smooth project!
  • Amy Padilla
    I had the pleasure of meeting with Anchored Tiny Homes to scope out a potential ADU project. Matthew and Nathan were very knowledgeable and kind. They explained things in a way I could understand and so could my mom. They listened to our needs and provided multiple options. They were not pushy and were obviously focused on our needs and making us happy. This is obviously something they love doing and it shows in their work. If you have the interest in having an ADU built or aren't sure if it's for you I strongly recommend Anchored Tiny Homes. They are a no pressure, kind, knowledgeable and passionate team.
  • Vicky Davies
    ATH Portland showed dedication, knowledge, and thoroughness with our project. Their commitment to assessing the client's needs is commendable.
  • Jensen Yancey
    Zach and the rest of the team were phenomenal to work with. The prices are extremely reasonable, and they were only ever helpful and informative, they never pressed with a hard sell. Would highly recommend this team if you're interested in an ADU.
  • Rose Disney
    I signed with ATH three years ago when they were a new and rapidly growing business, so there've been some...growing pains. That said, although ATH isn't the first contractor we've run into that couldn't deliver on 100% of their promises, they are the ONLY contractor I've ever worked with that has shown a consistent and long-term willingness to try. In my opinion, my project manager Martin is the shining star of ATH. He clearly puts all of himself into his job. He's super responsive and helpful and goes above and beyond to make sure everything meets the expectations set back when my contract was first signed with the company. I'm truly grateful to have him as my point of contact.
  • Joe Manzo
    The process of getting the unit built took longer than expected but it was exceptionally handled by our Project Manager Martin Schafer. Throughout the project Martin worked extremely hard to make sure things went as smooth as possible. He made several attempts and had success in getting the project completed. Should you decide to have a unit built, ask for Martin to be your Project Manager. You will be happy you did!
  • Giuliana Rovedo
    Just met with Steve, so excited to start the construction of my tiny home! So far the service has been impeccable. Highly recommend.
  • Melissa Wilkins
    Duran is attentive and has excellent customer service.
  • Ava R
    Very organized information and easy to navigate website. Catalog easily downloaded. Only cons is pricing.
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