Financing for ADU Los Angeles

[Clayton J.]

Hello,

I have a single family home in LA and I want to add a back ADU. I can most likely qualify for $70-80K but from my research I could really use around $150k. Do I have any other options than using a HELOC? 40-43% max debt to income? Can I get a loan that would count my extra $1500-1700 projected rental income? I already have 5+ years of rental income on my tax return from my house in MD.

Also no way to count future equity? My house is worth around $600k and I owe $380 currently. That only gives me $100k if you count 80% equity as most banks seem to max out on. 

Thanks for any ideas. 

Clayton