Same as our garden and laneway suites — but designed, sized, and finished specifically for rental yield. We build the suite around the math, not the math around the suite.
A garden suite designed for an in-law has different optimization than one built for monthly cash flow. Different finishes, different layout, different durability. The investment-grade suite isn't lower quality — it's tuned for a different objective: maximum reliable rent per dollar invested, minimum ongoing maintenance, and minimum vacancy risk.
This is the service line we recommend when the question isn't "where will mom live?" but "what's the best use of this lot?"
A well-built 700–900 sq ft garden rental suite in the GTA currently rents for $2,500–$3,500/month, depending on location and finish. With all-in build costs of $365K–$525K, that produces gross rental yields of 6–11% per year, with the upper end in central Toronto markets. After typical expenses (property tax bump, insurance, maintenance reserves, utility costs), net yield typically lands at 4.5–8% — significantly above most other passive investment vehicles available to GTA homeowners.
And that's before factoring in the federal $80,000 Secondary Suite Loan at low interest, Toronto's 20-year interest-free DC deferral, and the long-term capital appreciation of adding a legal income-generating dwelling to the property.
Before any commitment, we always recommend running your specific scenario through our ROI calculator or modeling it during the free assessment. The variables that matter most: build cost (which depends on your lot and design), expected rent (we provide comparables for your specific neighbourhood), and financing structure (whether you tap the $80K federal loan, refinance, or use cash).
Designed for yield, not for personal occupancy. Lower customization, optimized for return.
The gross yields shown (6–13%) are based on actual 2025–2026 GTA rental data and Bull Homes' delivered project costs. Net yields run 25–35% lower after property tax increases, insurance, vacancy reserves (we model 1 month per year), and ongoing maintenance. We provide a full pro forma with realistic assumptions — not optimistic ones — for every project we quote.
Significantly. The Canada Secondary Suite Loan offers up to $80,000 at low interest (currently below market mortgage rates). On a $425K project, that means $80K of your build is financed cheaply, reducing your effective cash investment to roughly $345K — which immediately improves your cash-on-cash return on the project. We file the application as part of every project.
Ontario's RTA applies to all rental units, including secondary suites. Rent control caps annual increases at the provincial guideline (1.7% for 2026). However, units in buildings first occupied after November 2018 are exempt from rent control on initial vacancy — meaning when a tenant leaves, you can reset rent to market. We can connect you with a residential property lawyer for full RTA guidance.
Based on our delivered projects, garden suite tenants tend to be: young professional couples, downsizing empty nesters who want to stay in a known neighborhood, postdoctoral researchers, and visiting professionals on 12–24 month contracts. Vacancy rates in central Toronto for well-built garden suites have run below 3% over the last 24 months. Suburb vacancy is slightly higher.
Currently, no — garden and laneway suites are accessory dwellings on the same legal property as the main house. Toronto has been studying severance pathways but hasn't enacted them. The investment exits today are: continued rental cash flow, refinance to extract built equity, or sale of the property as a whole (with the secondary suite typically adding $200K–$400K to the main home's market value).
Realistic ongoing costs: property tax bump ($1,500–$3,000/year on the assessed value increase), landlord insurance rider ($400–$700/year), 1 month/year vacancy reserve, $50–$100/month maintenance reserve, and turnover costs every 18–36 months ($1,500–$3,000 per turnover). Most investors net 4.5–8% after all of this, depending on tier and location.
Try our ROI calculator first, then book a free site assessment. We'll model your specific lot, finance structure, and rental scenario — and give you a fixed-price build quote.
Book a Free Site Assessment