Home/Modular Homes by City/Caledon
Serving the Town of Caledon & Peel Region
Modular Homes & Garden Suites in Caledon, Ontario
Factory-direct modular homes and backyard suites for the Town of Caledon — Bolton, Caledon East, Mayfield West, Inglewood, and the rural villages. Big news for 2026: Caledon's town-wide 'Enabling More Homes' zoning update (fall 2025) replaced the old settlement-areas-only rule — a detached additional residential unit is now permitted as-of-right on urban, estate-rural, AND agricultural lots, including rural properties on well & septic (with a septic-capacity review). Here's what the new by-law allows, and the grants that help pay for it.
What you can build in Caledon
Full modular homes — from $175,696. 29 models from 560 to 1,405 sq ft, 1–3 bedrooms — factory-built to the Ontario Building Code and set on a permanent foundation (a real, permanent house, not a “trailer”).
Backyard suites (ADUs) — from $96,244. 7 compact models built for garden-suite and in-law-suite use, sized to fit what Caledon's by-law allows.
All homes are CSA-certified (A277 modular / Z240MH manufactured), finished in the factory, and delivered ready for foundation and hook-up. What's the difference between modular, manufactured, and mobile? →
Find your backyard suite — 3 quick questions
We'll narrow the models that fit a typical Caledon backyard allowance to the ones that fit your life. No email needed.
1 · Who's it for?
2 · What layout?
3 · What size feels right? (Caledon lots typically allow up to ~861 sq ft)
Caledon permits an 80 m² (≈861 sq ft) detached ARU in the urban residential zones — up to 110 m² (≈1,184 sq ft) on estate-rural (RE/RR) and agricultural lots, never larger than your home’s ground floor. Rural well-and-septic lots qualify with a septic-capacity review — check your address. Your exact lot may allow more or less — get the real number for your address in seconds.
Check your exact Caledon address →Can you put a garden suite (ADU) in your Caledon backyard?
Often, yes — Caledon permits a detached Additional Residential Unit on most serviced residential lots. The specifics, from Town of Caledon Comprehensive Zoning By-law 2006-50 §6.4 (town-wide ARU amendment RZ 25-0015, 2025; November 25, 2025 consolidation):
| Where allowed | Town-wide as-of-right: urban residential zones (R1, R2, RT, RM, RMD), estate-rural RE/RR, and agricultural A1–A3 — the old municipal-services-only gate was repealed in 2025 |
|---|---|
| Max size | 80 m² (≈861 sq ft) in the urban zones · up to 110 m² (≈1,184 sq ft) on RE/RR and agricultural lots · never larger than the main home’s ground floor |
| Max height | 4.5 m (≈15 ft) in the urban zones; on rural lots, no taller than the main house |
| Setbacks | Urban: 1.2 m (≈4 ft) side & rear · Rural: 3.0 m (≈10 ft) side, 4.5 m (≈15 ft) rear · 3.0 m from the main house · not in the front yard · rural suites must sit within 10–15 m of the house |
| Units per lot | Up to 3 ARUs; at most one detached |
| Parking | 1 space per ARU (waived for the first ARU near a transit stop in the urban zones), plus a 1.2 m clear path from the street |
| Servicing | Municipal services or private well & septic — rural lots must show enough well + septic capacity for the extra unit (OBC review); a Town grant covers the assessment |
| Conservation | Credit Valley Conservation or Toronto and Region CA by watershed; Oak Ridges Moraine, Greenbelt + Niagara Escarpment overlays can still limit ARUs |
Getting your building permit in Caledon
An eligible lot still needs a building permit before anything is delivered. Here's how Caledon's process actually works — verified against the Caledon building department's own pages.
How do you apply for an ADU building permit in Caledon?
Through Town of Caledon online building-permit submission (transitioning to a new ePlan platform from June 2026) (application portal ↗). Everything is submitted digitally — unsecured PDFs, max ARCH E (36"×48") pages, 30 MB per submission, forms signed electronically; a minimum non-refundable fee is due before review begins. Caledon's building-permit page ↗
- Confirm zoning eligibility for YOUR lot first — Caledon permits ARUs broadly but restricts or prohibits them in some areas (notably parts of the Oak Ridges Moraine), so a site-specific check precedes design
- Prepare the drawings: site plan, floor plans with smoke/CO alarm locations, elevations, construction details, mechanical/plumbing design — plus a septic design if not on municipal sewer
- Complete the forms: the provincial Application to Construct or Demolish, Schedule 1/Designer Information, Plumbing Data Form, Applicable Law Declaration, and the Land and Building Use Declaration once a property exceeds two units
- Submit the complete package online and pay the minimum non-refundable intake fee
- The Town reviews for Building Code, zoning, and applicable law (septic approval, conservation sign-off where they apply)
- The permit issues and construction begins — the sewage system must be complete before the unit can be occupied
- Register the ARU with the Town as required (registration mechanics were being finalized) and keep receipts if pursuing a Gentle Density CIP grant
What does a Caledon ADU permit application need?
- Application for a Permit to Construct or Demolish (the provincial form) + Schedule 1 / Designer Information
- Site plan with lot lines, setbacks, parking, and driveway dimensions
- Floor plans (with smoke/CO alarm locations), elevations, and construction/structural details
- Mechanical and plumbing design (Plumbing Data Form) + Applicable Law Declaration
- Septic system design where the lot isn't on municipal sanitary sewer
- Land and Building Use Declaration Form once the property will have more than two dwelling units
How much does an ADU building permit cost in Caledon?
Expect roughly $800–$900 in base permit fees for a typical ~600 sq ft (56 m²) detached garden suite at the residential Service Index rate of $14.57 per m² (2025 by-law; confirm the current-year rate), plus the minimum non-refundable intake fee — an estimate, and development charges don't apply to ARUs.
| Permit fee | $14.57 per m² of floor area for residential occupancies (2025 Fees By-law rate — confirm the current year's Schedule B) |
|---|---|
| Intake fee | A minimum non-refundable fee is required before plan review begins |
| Gentle Density CIP (incentive, not a fee) | Forgivable-loan streams up to ~$30,000 for ARU construction/permit costs, plus a rural Servicing Review Grant up to $35,000 for septic/servicing studies — hard program dates apply |
Detached garden suites are exempt from Town of Caledon development charges under the provincial Bill-23 rules.
How long does an ADU building permit take in Caledon?
Ontario's Building Code requires a decision on a complete house-class application within 10 business days. Caledon publishes tiered review windows (10 business days residential, 15 for small buildings/accessory categories) that apply only to complete applications — resubmissions fall outside the timeline.
Registration: Caledon has stated that ALL ARUs — new or existing, rented or not — will require registration with the Town; the mechanics were still being finalized, so confirm the current process when applying.
Worth knowing before you apply
- Garden suites are prohibited on Oak Ridges Moraine lands designated Natural Core, Natural Linkage, or Countryside (By-law 2023-058) — and eligibility varies across Caledon's settlement vs. rural areas, so confirm your lot's framework with Planning before designing
- On rural septic lots, the septic capacity/design review is the real gate — the Town's own CIP includes a Servicing Review Grant (up to $35,000) precisely because this cost/timing barrier is real, and the sewage system must be complete before occupancy
- The Gentle Density CIP has hard dates: permits issued on/after November 25, 2025, construction started before December 31, 2028
- The Town offers FREE pre-approved building plans for detached ARUs (studio and one-bedroom models) — worth checking before commissioning custom drawings
- Parts of Caledon fall under TRCA, CVC, or NVCA jurisdiction — conservation sign-off is address-specific
Fees and timelines are estimates from Caledon's published schedules, verified July 4, 2026. Rates and processes change — always confirm current requirements with the building department before you apply.
Grants & financing in Caledon
Caledon Servicing Review Grant (Gentle Density CIP) — Up to $35,000 toward the servicing (well + septic) assessment a rural lot needs before adding an ARU. First-come, first-served — confirm current intake with the Town.
Caledon Affordable Unit Grant (Gentle Density CIP) — Up to $30,000 to create or legalize an ARU with an affordable-rental commitment. Confirm terms and current intake with the Town.
See every program → Ontario ADU Grants Directory
A modular or prefab home on a permanent foundation is financed like any house. CMHC Prefab Plus allows an insured mortgage with as little as 5% down on the first $500,000, with construction funds released in stages. How modular home financing works →
Thinking of the suite as a rental? Run the numbers →
Caledon modular homes — FAQ
Can you build a garden suite on a rural Caledon lot (well & septic)?
Yes — as of the fall-2025 town-wide zoning update, a detached additional residential unit is permitted as-of-right on estate-rural (RE/RR) and agricultural (A1–A3) lots, up to 110 m² (≈1,184 sq ft). The catch: you must demonstrate your well and septic system can handle the extra unit (an Ontario Building Code review), and the Town’s Gentle Density CIP offers up to $35,000 to fund exactly that assessment. Oak Ridges Moraine, Greenbelt, and Escarpment overlays can still limit some lots — check your address.
How big can a garden suite be in Bolton or Caledon East?
In the urban residential zones, up to 80 m² (≈861 sq ft) — never larger than your home’s ground floor — 4.5 m tall, set back 1.2 m from the side and rear, and 3 m from the main house. Check your address for the specifics.
Can you put a modular home in Caledon?
Yes. On land you own, a modular home on a permanent foundation is legal residential housing under the Ontario Building Code throughout Caledon, subject to standard zoning and permits.
How much does a modular home or backyard suite cost in Caledon?
Modular home models start at $175,696 and run to about $338,000 for the largest layouts; backyard ADU models start at $96,244. Site work, foundation, delivery, and permits are additional.
Can I get a mortgage on a modular home in Caledon?
Yes — on a permanent foundation it is financed as real property, including via CMHC Prefab Plus (5% down on the first $500,000).
Local rules summarized from Town of Caledon Comprehensive Zoning By-law 2006-50 §6.4 (town-wide ARU amendment RZ 25-0015, 2025; November 25, 2025 consolidation); verified by Modular Homes 400 and reviewed by James Clarke, REALTOR®. Always confirm current requirements with the City of Caledon before you build.