Legal Suite ROI Calculator

How This Calculator Works

This ROI calculator uses your inputs to project the financial returns of building a legal secondary suite in your Calgary home. The calculations are based on straightforward math. No hidden assumptions or inflated projections.

Key Assumptions

• Rental income is gross. Before vacancy, maintenance, and insurance costs which are captured in the expenses slider
• SSIP grant. The City of Calgary Secondary Suite Incentive Program provides up to $10,000 for qualifying projects. Not all projects qualify. Use our SSIP Eligibility Checker to find out
• Property value increase. Calgary homes with legal suites typically sell for 10 to 20 percent more than comparable homes without. The default 15% is a conservative mid-range estimate
• Expenses at 15%. Industry standard for a well-maintained suite. Includes vacancy allowance (typically 1 month per year in Calgary), minor repairs, and insurance premium increase
• Savings comparison. Uses a 4% annual return compounded, representing a high-interest savings account or GIC

What Affects Your Actual ROI

Several factors can push your real-world returns higher or lower than these estimates:

• Location. Suites in inner-city Calgary neighbourhoods command higher rents than suburban areas
• Suite quality. Premium finishes and separate entrances attract better tenants and higher rents
• Tenant management. Vacancy rates vary. Good tenant screening and maintenance reduce turnover
• Market conditions. Calgary rental rates have been climbing since 2023, but future rates are not guaranteed
• Tax implications. Rental income is taxable. Consult an accountant for your specific situation

Ready for Real Numbers?

This calculator provides estimates based on Calgary market averages. For a precise, fixed-price quote for your legal suite project, get a free quote with OAF Construction. We will assess your specific home, provide a detailed cost breakdown, and help you understand the true ROI for your property.