If you’re looking for a trusted, experienced, and knowledgeable Regina mortgage broker to help a first-time home buyer, I am here to help. No matter what stage you are in the mortgage process, I can assist you in securing financing to get the home of your dreams. I also understand that all those mortgage rules and regulations surrounding the process can be confusing. My team and I are here to answer all your mortgage questions and help you achieve home ownership. In my latest article, I explain whether you’re a first-time buyer trying to offset your mortgage, a homeowner thinking about adding rental income, or an investor building long-term wealth; secondary suites are one of the smartest moves you can make in today’s market. And the good news? Financing one is a lot more accessible than most people think.
How to Finance a Home with a Secondary Suite in Saskatchewan
Here’s what you need to know.
Buying a Home That Already Has a Suite
If you’ve found a property with an existing legal secondary suite, you’re already ahead of the game. Many lenders will allow a portion of the rental income (current or projected) to count toward your mortgage qualification. That means the suite income works for you before you even collect a dollar of rent, lowering your debt-to-income ratio and potentially qualifying you for a larger mortgage than you’d get on your income alone.
A few things to keep in mind:
Down payment: If you plan to live in one unit and rent the other, you can qualify for an insured mortgage with as little as 5% down. If the property has 3-4 self-contained units, lenders will require 10% down.
Owner occupancy: For CMHC-insured mortgages, you must occupy one of the units.
Suite legality matters: Whether a suite is legal, legal non-conforming, or entirely unpermitted will affect which lenders and programs you can access. This is one of those details worth sorting out early, and something I can help you navigate, as it can be challenging to determine.
Buying a Fixer-Upper to Add a Suite
Found a great house, but no suite? That doesn’t mean you have to wait. A Purchase Plus Improvements mortgage lets you roll the cost of renovations directly into your mortgage at the time of purchase, so you’re not scrambling to find a second loan or drain your savings.
Here’s how it works: before closing, you get contractor quotes for the renovation. The lender adds that cost to your mortgage (typically up to 10 to 20% of the purchase price, sometimes more). The renovation funds are held in trust and released in draws as the work is completed and inspected.
You can still put as little as 5% down on the combined purchase-plus-improvement amount. It’s a genuinely smart way to get into a home and create rental income from day one.
Adding a Suite to a Home You Already Own
Already a homeowner? A secondary suite might be more within reach than you realize. Under current Canadian mortgage rules, you can refinance up to 90% of your home’s post-renovation value to fund suite construction. That “as-improved” appraisal is key: the lender looks at what your home will be worth once the suite is built, not just what it’s worth today.
The refined amount can be amortized over up to 30 years, keeping your payments manageable. The requirements are similar: at least one unit must be owner-occupied, and the suite cannot be used as a short-term rental (think Airbnb).
Don’t forget local rules. In Regina and across Saskatchewan, your suite needs to meet building codes and zoning requirements before lenders will move forward. Getting the right permits upfront saves a lot of headaches later.
New Federal Support: The Canada Secondary Suite Loan Program
As of early 2025, there’s a federal program worth knowing about. Eligible homeowners can access loans of up to $80,000 at 2% interest to build or legalize a secondary suite. It’s a low-cost option that pairs well with refinancing strategies depending on your equity position. Ask me whether it fits your situation.
Saskatchewan-Specific: The SSI Grant Program
If you’re building in Saskatchewan, there’s a provincial grant that deserves its own mention. The Saskatchewan Secondary Suite Incentive (SSI) Grant Program covers 35% of your total construction costs, up to a maximum of $35,000, for a new qualifying suite at your primary residence.
The program has recently been extended. Eligible construction costs must be incurred by March 31, 2027, and construction must be complete with applications submitted by December 31, 2027, so there’s still a solid window to take advantage of it.
To qualify, the suite needs to be brand new (renovating an existing suite doesn’t count), have a full kitchen, full bathroom, and a separate entrance, and meet all applicable building codes and permit requirements. Eligible suites include basement suites, laneway homes, garden suites, and garage suites.
Eligible costs cover a wide range: engineering and architectural services, materials, contract labour, electrical, plumbing, mechanical work, and even standard appliances up to $5,000.
This grant can be stacked alongside other Saskatchewan incentives, including the PST Rebate for New Home Construction, which makes it one of the better deals available to Saskatchewan homeowners right now.
For full details and the application form, visit the Government of Saskatchewan SSI Grant Program page.
Why Talk to Me?
Suite financing has a lot of moving parts. The income inclusion rules, appraisal approach, suite legality, and down payment requirements all interact in ways that can significantly affect what you qualify for and which lender is the right fit. A quick conversation costs you nothing and can save you from leaving money on the table or choosing the wrong product for your goals.
Whether you’re in Regina or anywhere across Saskatchewan, I’m here to help you figure out which path makes the most sense for you.
Ready to explore your options? Get in touch today.
PLEASE NOTE:
Mortgage rules and lender policies change all the time. Because Ryan has access to many lenders and has specialized expertise in structuring mortgage applications, he can determine the optimal way to structure your application to maximize the utilization of things like employment income, self-employment income, Canada Child Benefit income, disability income, maternity leave, down payment sources, credit issues, debt ratios, etc. The choice of lenders, combined with his experience, can make the difference in qualifying for and/or securing the amount you want. It’s not just about the best rate; it’s about flexibility and choices.
