10 Things To Consider Before Building A Granny Flat
You’re looking to build a granny flat. Great idea! Granny flats are a great way to keep family close together, downsize and save money, or earn extra money from a rental property. But you probably already knew that. In fact, these perks are likely why you’re interested in building a granny flat.
You’re reading this article because you want to know if following through on your idea is a good idea. You want to cover your bases, and get a handle on what to expect from the granny flat building preparation before you commit. Read on. Things are about to become clarion.
1. There’s more than one type of Flat.
Granny flats do not have to be a completely separate dwelling. They can be attached to the main residence, or they can be incorporated into an existing space in your main dwelling.
2. You need approval.
Before you can build, you need to get approval from local council. In some Australian states, this will be more difficult than in others. This said, in TAS, ACT, NT, NSW and WA, new legislation has been put into effect to bolster the availability of affordable housing, so approval can be quite streamline.
3. Approval is not immediate.
If you want to break ground in a couple of days, you’re going to have to cool your heels. Council generally takes anywhere from just over a week to 8 weeks to approval constriction. That’s in the states where they are trying to encourage more affordable housing. In jurisdictions where there more strict building restrictions due to lack of space or resources, the process could take upwards of a year.
4. Size matters.
Granny flats are secondary dwellings inder 60m2. No more. You may be able to tack on a patio or garage in some states, which can be additional to the 60m2, but be sure to verify this with your local council before you become to besotted with your blueprints.
5. Know your land requirements.
You obviously need enough space to build the flat. Not just the flat, either — you can’t cram them onto the property. While exact land requirements vary from locality to locality, having 450m2 is a good rule of thumb.
6. Granny Flats are in High demand.
With the cost of housing skyrocketing, the availability of affordable housing is diminishing. This makes granny flats hugely popular for young professionals and retirees looking to live well on a budget.
7. You can use your Granny flat to make Money.
We’ve already touched on this: granny flats make excellent investment opportunities. In a year, you can make up to $21,000 in rental income, meaning in a few years, the granny flat will have paid for itself.
8. You have options. Many options!
Granny flats aren’t only available in all-inclusive kits: you can actually entrust your granny flat construction with a professional granny flat builder. These pros will give you a spread of architecturally stunning and still affordable options from which to choose.
9. There’s no subdivision needed.
One of the biggest fears for people looking to build a granny flat is that they will have to subdivide their property. While you will be able to enjoy separate mailing addresses and utility accounts, you won’t have to — and likely won’t be able to — subdivide the land.
10. Granny flats are easy to Finance.
Granny flats are almost as easy to finance as just about any other property. These secondary dwelling are growing in popularity and more financial institutions are becoming more comfortable and fluent in funding these flats. The most common ways to finance a granny flat include using equity in your property or applying for a construction loan.
So, do you think you’re ready to start seriously considering a granny flat? You’ve read this list, and should have most of your questions answered. Your next step: get in touch with your local council to troubleshoot any challenges, and then looking into your financing options. After this, the decisions are simple!