Loan Options and Financing
Detailed guide on financing options available for ADU projects in Boston:
The Boston Home Center (BHC) Additional Dwelling Unit (ADU) Loan Program offers gap funding to eligible Boston homeowners of 1–3-unit properties who wish to build an ADU—a new residential living unit providing complete independent living facilities.
- The loan can fund interior improvements, additions, or detached structures to create an ADU.
- The loans are interest-free and offer gap funding up to $50,000. The loan amount is determined by the estimated cost of the project.
- The loan has no monthly payments and does not become due until the owner sells, transfers ownership, or undertakes a cash-out refinance of the home.
For more program information, including eligibility, we created a fact sheet: Add Here.
Information on grants, loans, and financial assistance specifically for ADU development:
- Massachusetts grants, loans, and financial assistance (TBD).
- Local retail banking loan program (TBD).
Contact form for free financial consultation:
- Created by the web designer.
Steps to Apply for the Adu Loan:
- Check to see if you are eligible for the ADU loan program. See program eligibility in the fact sheet. Contact us, REALBoston Corp, if you have questions.
- Create preliminary designs for your ADU. Contact us if you need help designing the best ADU for your property.
- Get a cost estimate from us REALBoston Corp view tips for hiring a contractor in our Blog.
- Gather the required documents. View the list of required documents here.
- COMPLETE THE APPLICATION FOR THE ADU LOAN PROGRAM and submit the required documentation.
NOTE: You will need to get a building permit before you can close on your ADU loan. We, as licensed contractors, usually obtain a building permit from the City’s Inspection Services Department.