Financing for an ADU?

[Zach Matson]

Does anyone know of a financing option for somebody that wants to build an ADU on an existing property?

The tricky part to this transaction is the house was just purchased this year with a VA loan, so there is no equity. There will be equity(but not a lot), and cashflow, when the ADU is finished, but there doesn't seem to be any construction loan options that take 2nd position.

Is anyone aware of anything? Or is private money basically the only option?