A second home at the back of your lot, built to earn
Laneway houses have become one of the most popular ways for homeowners in Vancouver and Burnaby to add rental income, family space, or long-term property value, without touching the main house.
Licensed BC builder · 2-5-10 new home warranty · Based in Burnaby
What is a laneway house?
A laneway house is a separate, detached home built at the rear of your property, with its own entrance facing the lane. Like any new home, it needs its own building permit and is built to the same code as any other residential dwelling.
In Vancouver, laneway houses are typically limited to around 900 square feet, one to two storeys, with defined setbacks from the main house and property lines. Exact limits depend on your specific lot, so a feasibility review is the right first step.
Independent dwelling
Fully separate from the main house, with its own kitchen, bathroom, and entrance.
Rear-lane access
Positioned at the back of the lot facing the lane, leaving the front of the property unchanged.
Sized to the lot
Floor area, height, and setbacks are set by zoning and vary from property to property.
Why homeowners build one
A laneway house is one of the most direct ways to put an underused backyard to work.
Rental income
A self-contained unit that can be rented out, helping offset a mortgage or generate ongoing income.
Space for family
A private space for parents, adult children, or guests, close by but fully independent.
Added property value
A second dwelling on the lot adds functional space and long-term value to the property.
Laneway house or secondary suite?
These two options are often confused, but they're built quite differently.
Laneway house
A standalone building at the rear of the lot, with its own entrance, address, and utility connections. Best suited to lots with rear-lane access.
Secondary suite
A self-contained unit inside the main house, such as a basement suite, sharing the same structure but with its own entrance and living space.
Many properties can support both under current zoning, giving homeowners more than one way to add income or space.
How the process works
Feasibility and lot review
We confirm lot eligibility, setbacks, and the maximum size available to you.
Design and permitting
Layouts are developed within size and setback limits, then submitted for permit approval.
Construction
Foundation through framing, finishing, and independent utility connections.
Completion and handover
Final inspections and occupancy, ready to move in or rent out.
Where we build
Xerox Builders is based in Burnaby, BC, and all of our laneway home and secondary suite projects are built in Vancouver and Burnaby.
Laneway homes we've built
We build laneway houses both as standalone projects and together with a new main house, so the whole lot is planned, permitted and built by one team.
East 49th Avenue Residence
Vancouver, BC
A main house with 4 bedrooms and a legal 2-bedroom suite, plus a separate 4-bedroom laneway house.
East 64th Avenue Residence
Vancouver, BC
A 4-bedroom main house with a legal 4-bedroom suite, plus a 4-bedroom laneway house.
Windsor Street Laneway House
Vancouver, BC
A laneway house currently under construction in Vancouver.
Laneway house builder in Vancouver and Burnaby
Every city sets its own rules for laneway and backyard homes, from maximum size and height to parking, servicing and permit steps. We check your specific lot against the current rules before any design work starts.
Vancouver
Most of our laneway homes are in Vancouver, where laneway houses are well established on lots with rear-lane access. We regularly build a laneway house together with a new main house and a legal suite.
Burnaby
Burnaby is our home base: our head office is on Warren Street, and we have built several custom homes across the city. Burnaby permits laneway homes on many single-family lots, and we know its permit process well.
What affects cost and timeline
No two laneway homes cost the same. The biggest factors are the size and height of the home, site conditions such as access, soil and trees, the cost of connecting water, sewer and power, and the level of finishes you choose. Permit time also varies a lot by city.
Site and servicing
Lane access, excavation, drainage and new utility connections can move the budget more than the building itself.
Design and finishes
Two storeys versus one, the number of bedrooms, and finish level all change the price per square foot.
Permits and schedule
Permit approval can take a few months or longer depending on the city. We give you a realistic schedule once we've reviewed your lot.
For a detailed breakdown, read our guide: Laneway House Cost in Vancouver: What Actually Drives Your Budget.
Laneway house questions
Can I build a laneway house on my lot?
It depends on your lot size, lane access, zoning and the city's current rules. We start with a free feasibility review to confirm what's possible and the largest size you can build.
Can I rent out a laneway house?
Yes. A laneway house is a fully self-contained home with its own kitchen, bathroom and entrance, so it can be rented to help with your mortgage or generate ongoing income.
Do I need a separate permit?
Yes. A laneway house needs its own building permit and is built to the same code as any other home. We coordinate the drawings, consultants and permit application for you.
Can you build the laneway house and a new main house together?
Yes, and it's often the most efficient approach. Several of our Vancouver projects include a new main house, a legal suite and a laneway house built as one project.
How do I get started?
Send us your address through our free quote form or call 604-786-7000. We'll review your lot and explain your options.
What does a laneway house cost?
Most laneway homes we build (about 1,000 sq ft) fall in this range, plus our fixed construction management fee. Every quote is itemized, so you see exactly where your money goes.
📞 Call for a free estimateConstruction cost only. Site work, city fees, warranty, insurance and landscaping are quoted separately for your property.
Related pages
- Laneway home builder in Burnaby
- Surrey laneway & duplex builder
- BC’s new zoning rules explained
- Building permits & approvals
Ready to talk about your project? Request a free quote.