Exploring ADUs in Ontario’s Changing Real Estate Landscape

Josh Perez • November 4, 2024

Josh Perez here! Ontario’s real estate scene is evolving, with Accessory Dwelling Units (ADUs) creating new, exciting possibilities. For small-scale investors, ADUs are a powerful tool for property optimization, whether it’s converting a single-family home into a duplex or even a triplex. This shift reflects Ontario’s changing zoning and bylaw policies, which are now more supportive of higher density, enabling property owners to achieve that coveted “highest and best use” of their space.

"There's been no time that's better than now in all municipalities of Ontario to obtain the highest and best use because the cities, the city halls, the municipalities are so friendly towards it now. Zoning and bylaw regulations allow for this expansion density within the lot lines."

When discussing ADUs, I often think of two key groups. First, we have the investors, from acquisition-minded individuals to those with existing single or multi-unit properties. They’re actively looking to maximize property value, and with municipalities increasingly friendly toward density expansion, it’s never been easier to go from two units to three. There’s a palpable excitement among investors now, as Ontario’s regulatory environment has aligned perfectly to support these opportunities.



But it’s not just investors benefiting from ADUs. We’re also seeing many families, especially those looking for multi-generational living solutions. With economic shifts, rising interest rates, and affordability challenges, more families are embracing this European-inspired “multi-gen” model. Imagine grandparents, parents, and grandkids living on the same property, each with their own space, yet close enough to foster family connection. Building an ADU, like a backyard garden suite, offers privacy with the comfort of proximity. It’s practical and affordable, providing families with more options and even “built-in babysitters,” as we like to say!


The flexibility and affordability ADUs offer can make a real difference for both investors and families looking for innovative housing solutions. Interested in learning more about what ADUs could do for your property or family? I’d love to help you explore the possibilities and map out how to make the most of Ontario’s evolving ADU landscape. Let’s work together to unlock the full potential of your property!


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By Josh Perez July 8, 2026
If the title of this article caught your attention, chances are your family is growing. Congratulations. If you’re thinking now is the right time to move into a home that better fits your growing family—but you’re unsure how parental leave affects your ability to qualify for a mortgage—you’re in the right place. Here’s the good news. Qualifying for a mortgage while on parental leave is possible when it’s done correctly. When you work with an independent mortgage professional, lenders can often qualify you based on your return-to-work income , as long as you can provide documentation confirming you have guaranteed employment waiting for you. A word of caution If you walk into a bank branch and disclose that you’re currently on parental leave, there’s a chance the bank will only allow you to qualify using your parental leave income. That can significantly reduce your borrowing power. Parental leave income is typically limited to 55% of your previous earnings, up to a weekly maximum. Qualifying on that amount alone can restrict your options and impact the type of home you can purchase. Why lender choice matters One of the biggest advantages of working with an independent mortgage professional is choice . You’re not limited to one lender’s rules or products. Some lenders will allow you to qualify using 100% of your confirmed return-to-work income , which can make a meaningful difference in your approval amount and overall options. What you’ll need to qualify Most lenders will require an employment letter that includes: Employer name (preferably on company letterhead) Your job title Original start date (to confirm probation has been completed) Confirmed return-to-work date Guaranteed salary upon return Lenders want reassurance that your income will resume once parental leave ends. You may also be asked to provide income history from the past couple of years, which is standard for most mortgage applications. One important note Whether or not you actually return to work after parental leave is entirely your decision. From a mortgage perspective, qualification is based on having a confirmed position available to you at the time of approval. If you have questions about qualifying for a mortgage while on parental leave—or anything mortgage-related—please connect anytime. I’d be happy to walk you through your options and help you plan with confidence.
Suburban two-story house with a front porch, two-car garage, and a large tree-lined lawn.
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