Accessory Dwelling Units (ADUs)

Making More Space Just Got Even Easier.

Accessory dwelling units (ADUs) are small, self-contained living spaces added to or built on an existing property—like in-law apartments, backyard cottages, or garage conversions. They offer a flexible way to create housing for a family, generate rental income, or can increase your home’s long-term value.

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MA ADU Information

How Does it Work?

RCB’s ADU Construction-to-Permanent Loan is designed to make building an ADU simpler.

One loan closing—no need to refinance once construction is finished
Allows eligible homeowners to finance an ADU without refinancing their existing first mortgage

ADUs provide flexible living space that can support multigenerational living, caregiver housing, or long-term rental opportunities*. With new statewide rules making ADUs more accessible, they’re becoming a smart option for Massachusetts homeowners looking to support family or generate extra rental income.

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*The loan is available for the construction of an ADU on an owner-occupied single-family residence. Only one ADU may be built on a single lot. A minimum credit score of 640 (subject to underwriting), full income verification, and an “as-completed” appraised value of the ADU are required. DTI must be under 45%. A licensed contractor is required. ADUs are intended for long-term renting and living (31 days or more) and cannot be used as short-term or vacation rentals. All loans are subject to credit approval, collateral valuation, and underwriting requirements. Third-party fees (appraisal, title, recording, etc.) apply. Terms and conditions are subject to change without notice. Not all applicants will qualify. Additional conditions may apply.

Types of ADUs

An ADU is any dwelling built on your property that is self-contained and has its own private entrance, not through the home’s main entrance.
ADUs can be categorized into three types: internal, attached, and detached.

Internal ADUs

A self-contained unit built within the existing home, like a basement or upper level apartment.

Attached ADUs

A self-contained unit attached to the existing home with a dedicated external entrance.

Detached ADUs

A standalone structure on the main property.

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