Loan ideas for Garage Conversion in Houston, TX

[Axel Norvell]

Can anyone recommend any good local Houston lending companies, credit unions or banks that could finance a garage ADU project? I think would need a long-term loan (15 - 30 yr) for around $200k to achieve what I'm trying to do.

Garage Apartment Addition:
- I have an existing 700 sqft garage that needs a new roof
- I want to add a 2nd story with 2 x 350 sqft studio units including kitchen, bed and bath
- or add 1 x 700 sqft unit (whichever the city will allow...)

BONUS (if money left over):
- landscaping
- new driveway
- new fence
- pool remodel

----
For this I want to leverage roughly $300k of equity I have built into the property. I want to avoid cash-out refinancing because I'm locked into a 2.99% rate for 30 years and I do not want to double my existing mortgage payment just to borrow $200k.

Has anyone done a project similar to this and can give any advice on how they financed the project?

With 2 additional units I would add roughly $3k / month in additional income for the property with minimum increase in expenses. $3k / month is based on what my other 350 sqft units in the area are currently achieving.

Thanks!