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

  • Alyssa Scavetta
    We got a small 10x10 ADU built in our backyard to use as an office space for myself. When we first talked to Duran, we also wanted something that could double as a guest room. Duran worked with the best in the business to take this tiny ADU to the next level. We're talking vaulted ceilings, a doggie door in the side of the house, recessed lightning, nice modern wood floors, and plenty of light. Plus, I got to have stucco walls to match the exact paint color of our house, and roof shingles to match as well! Duran and Anchored Tiny Homes left no stone unturned. And they did it all in 2 months. I am so so pleased with the results of this project. I would highly recommend Anchored Tiny Homes to anyone in Central Texas looking for an affordable, custom, high quality ADU built on their land!
  • Sunny Lombardi
    I am kicking off an ADU build with ATH any day now…well down the path and will add to this initial review later. I did want to share what my experience has been to date with ATH. I was super fortunate to meet Lawrence Kao of ATH first. As a sales professional myself I can’t help but not only think about the product but also the salesperson style. Lawrence has been an easily accessible and responsive pro. He has been able to answer any question I have had with ease and has instilled the kind of trust that causes one to feel great to work with the business and person representing it. Can’t wait for next steps and am stoked the project kicked off with Mr. Kao!
  • Brian Negri
    Lawrence Kao has been a colleague and mentor of mine. He is the consummate professional and a true expert in the ADU world. When considering an ADU, you want a good partner and that's what Lawrence brings to your project.
  • Alicia Smith
    Lawrence has been an incredible resource in assisting us in strategies in developing on our properties. His wealth of knowledge on ADUs specifically on the investment side is incredible. We look forward to partnering with Anchored Tiny Homes on our further investment endeavors.
  • Robert Fox
    Amazing to work with
  • Terilyn Dorvall
    Very knowledgeable and helpful every step of the way!
  • A little bit of everything with MamaCruz
    Great reliable service. Wouldn’t use anyone else.
  • Quesson’Tyme Johnson
    Great people, hard workers!!
  • Luis Garcia
    Very knowledgeable, professional and very reasonable would use them again for sure.
  • heather smith
    Great experience, everyone was very nice and helpful. Would definitely recommend .
  • Daniel Pearce
    Great Value beautiful
  • Jessica Lopez
    Love love love
  • Jessica Correia
    Very professional! Extremely knowledgeable, they answered all of my questions. I love working with them!
  • Jimmy Laprey
    I called Anchored Tiny Homes to come out to my house for a quote. They were very knowledgeable, on time, professional, they really know how to treat their customers!
  • Gabby Agliata
    Super responsive and knowledgeable!
  • Dina Mahshi
    I recently had the pleasure of working with Anchored Tiny Homes in Sacramento to build a one-bedroom unit for my mother, and I must say the experience was exceptional. One of the standout aspects of my interaction with Anchored was the transparency and clarity regarding project costs. The agreed-upon project cost and payment schedule were adhered to without any deviation. It was a relief to have no hidden fees or unexpected additional costs, which can often be a concern in construction projects. The coordination with the city for permits and inspections was another commendable aspect. Anchored Tiny Homes demonstrated efficiency in navigating the bureaucratic process, ensuring that permits were obtained, and inspections were carried out promptly. This streamlined approach made the overall process simple and hassle-free. I cannot speak highly enough about our project manager, Martin. His professionalism, kindness, and honesty made the entire experience enjoyable. What stood out the most was Martin's proactive approach to problem-solving. Rather than just presenting issues, he always came prepared with viable solutions, making decision-making easy and efficient. Although the project timeline extended slightly beyond the initially promised timeframe due to a delay in building materials, the crew's efficiency was evident once they broke ground. Despite this minor delay, we successfully moved my mother into her new home on Mother's Day, creating a memorable and special moment for our family. Moreover, the after-sales service from Anchored Tiny Homes has been outstanding. Any concerns or issues with the unit are promptly addressed without pushback, demonstrating their commitment to customer satisfaction. Anchored Tiny Homes commitment to transparency, efficient project management, and excellent customer service, especially through Martin, made the process smooth and resulted in a beautiful and beloved home for my mother. I highly recommend Anchored Tiny Homes for anyone considering a tiny home construction project. Call Martin today for a free estimate and tell him I sent you to get $2500 off your project price.
  • Chantall Walton
    "Working with Roman Sandoval was an absolute game-changer for our construction project. He stepped in at a critical moment, taking over from previous contractors who had failed to deliver. His approach was nothing short of exceptional. Roman not only completed the tasks at hand but went above and beyond to ensure customer satisfaction. His dedication to doing the job right was evident in every aspect of his work. Without his timely intervention, our dream home would still be an incomplete project. We are immensely grateful for Roman's extraordinary efforts and unwavering support. He is, without doubt, the best contractor we have ever worked with. Thank you, Roman Sandoval! Here’s 5 stars that are well deserved! 🙏🏼
  • Mary Ann Ballesteros
    I had an idea of what I wanted for my 3 bedroom ADU to replace my mini basketball court in my backyard ... Colton and Anchored Tiny Homes took my vision: ATH, the designers, Roman Sandoval and APC made it all happen... they made my vision come to life! Along the way in the building of my ADU, there were road bumps, permit delays, the stormy weather, construction delays to name a few.... but this is where I would be so proud to say ... "T'was late but worth the wait!!!"!!! My ADU looks absolutely beautiful and amazing! The quality of work, the workmanship is truly exceptional! Shout out to Dee (ATH miracle staff), Roman (ATH project manager) and Armando (Absolute Precision) for making this project smooth sailing.... I was completely amazed by the way ATH handled my issues with transparency and a positive approach towards making things right. . . And yes, ATH made it happen! Thank you from the bottom of my heart ❤️!!!
  • Peter Rizzo
    Great website
  • M W
    Anchored Tiny Homes just completed a wonderful backyard home office for us. We love our office and had a great experience with Anchored and their subs. They came in with a very fair price and worked with us throughout the process to make sure we got what we wanted and needed out of the design and final product. We have already recommended them to multiple friends and neighbors. Thank you Jordan especially!