Define the work
A written scope, contractor quotes and timing help establish the funding requirement. Include contingency and any permits or inspections.
Plan when money is available
Some financing is advanced only when work is completed or verified. Ask how holdbacks and reimbursement affect your cash needs.
Compare the structure
Match the useful life and cost of the improvement to the repayment plan. Include borrowing and legal costs before deciding whether to refinance.
A useful starting checklist
- Detailed quotes and scope of work
- Property details
- Mortgage and income documents
- Timeline and contingency budget
Continue your planning
Read the related mortgage guideFocus the first conversation
A secondary suite can be financed in several ways. CMHC Refinance is one current insured refinancing option for eligible project costs, while a conventional refinance, home equity line of credit or purchase improvement program may fit a different situation.
| Your situation | What to discuss |
|---|---|
| Project scope | Plans, quotes, permits and a clear description of the proposed self-contained suite |
| Property and occupancy | Current ownership, who will occupy the property and how the new unit will be used |
| Funding schedule | When deposits, contractor payments, inspections and any mortgage advances are expected |
A practical starting example
Planning a basement suite or laneway unit? Start with the legal use, preliminary plans, contractor budget and contingency. Then compare the funding schedule with the dates when your contractor expects payment.
Common questions
Is CMHC Refinance an automatic loan approval?
No. CMHC provides mortgage loan insurance to approved lenders. The lender still reviews the borrower, property, project, costs and documentation under the applicable rules.
What should I confirm before starting construction?
Check municipal zoning and permit requirements, obtain a detailed scope and budget, and ask when financing can be advanced. Do not assume every project cost will be funded before work begins.
Can I compare more than one financing route?
Yes. Compare the amount available, rate, fees, repayment structure, legal costs, appraisal requirements and timing. The right route depends on your current mortgage, equity, qualification and project.
Public reference, checked September 28, 2026: CMHC Refinance for building a secondary suite. Program rules differ. This page is general planning information.
Discuss your renovation or secondary suite
Share your goal, location and timing. Send financial documents only through the secure application channel.