How New Hampshire pays for an ADU.
Four real paths, no mystery. Because every model has a published all-in price, your lender is underwriting a fixed number — not an open-ended guess. We'll connect you with the NH/ME lenders we work with for whichever path fits. Free, no obligation.
The four paths
Construction-to-Perm
~7.25% · 30-yr · 25% downStandard NH bank product — most common for new ADU builds.
Interest-only during the build, converts to a 30-year fixed at completion. One application, one close, one set of fees. Available from most NH and ME credit unions and community banks.
Best for: Most buyers — especially if you want one loan sized to the project itself rather than tapping home equity.
HELOC
~8.25% · 20-yr · no cash downHome Equity Line of Credit on your primary home.
Flexible draws as you need cash — permits, foundation, ADU itself, finishes. Variable rate that moves with prime. Best when you have 35%+ equity. Often the fastest path to close (2-4 weeks).
Best for: Owners with strong equity who want speed and draw-as-you-go flexibility, and can live with a variable rate.
Cash-out Refinance
~7% · 30-yr · no cash downRestructure your existing mortgage and pull cash for the build.
Makes sense if your current rate is already at or above market. One loan instead of two, no second monthly payment. Closing costs higher than HELOC (~3% of loan).
Best for: Owners whose existing mortgage rate is at or above today's market — one payment, one loan, done.
Home Equity Loan
~7.75% · 15-yr · no cash downFixed-rate lump sum against your home's equity.
Locked rate, predictable monthly payment, lump sum at close. Less flexible than a HELOC but no payment-shock risk if rates rise. Common for buyers who want certainty over flexibility.
Best for: Buyers who want a locked rate and a predictable payment, and don't need staged draws.
Rates are typical NH/ME market estimates and fully adjustable in the calculator on every model page — not a loan offer. Final terms vary by lender, credit, and equity.
What the payment actually looks like
Construction-to-perm at the printed defaults (25% down, 7.25%, 30-year), on real all-in prices:
| Model | All-in price | Down (25%) | Monthly payment |
|---|---|---|---|
| Barrington 384 sf · 1 bd | $184,000 | $46,000 | $941/mo |
| Newfield 600 sf · 1 bd | $244,000 | $61,000 | $1,248/mo |
| Shapleigh 800 sf · 2 bd | $313,000 | $78,250 | $1,601/mo |
Principal & interest only — estimates, not an offer. At typical NH rents, the rent usually covers the payment: see the full rental math → Or run your own numbers live on any model page.
Why lenders like our builds
Your all-in price is contractual — foundation, on-lot utilities, permits, design, and build. No cost-plus drift for a bank to worry about.
12–16 weeks sitework-to-keys with a contract-backed timeline — short interest-only periods keep construction-loan carrying costs down.
A brand-new permitted home on your land, from $184,000 all-in — with rental income potential lenders can see.
Financing questions, answered straight
How do most people finance an ADU in New Hampshire?
How much do I need down?
Do lenders like ADU projects?
Does the reservation deposit count toward my financing?
Can expected rent help me qualify?
Is NH ADU Experts a lender?
Tell us about your project and we'll connect you with the NH/ME lenders we work with — no fee, no pressure. The free zoning review comes with it.
NH ADU Experts is a builder, not a lender or broker. Nothing on this page is financial advice or a loan offer; rates and terms are set by your lender.