Gone are the days when a granny flat was simply a quick garage or shed conversion.
These days it’s not uncommon to find granny flats so lavishly built they are described as ‘mini-houses’. In the last five years, their popularity has dramatically increased as investors are keen to double their rental yields and homeowners wish to have family live within reach.
The NSW Department of Planning and Environment data shows that 4,818 new granny flats were built last year, nearly double the 2,867 built the previous year and three times more than the 1,511 built in 2010.
Michael Antoun, co-founder of Granny Flat Solutions, said a key reason driving the increase in granny flats was the lack of affordable housing in Sydney. “Granny flats give an opportunity for investors to increase their borrowing capacity by turning those money bleeding, negatively geared properties, into a positive, money making machine, ”Mr Antoun said. “Sydney’s rental return for granny flats can be between $300 and $700-plus per week depending on regions.”
To build a granny flat in NSW, homeowners are required to lodge a development application with their local council. The local council then assesses whether the application meets the NSW Government’s State Environmental Planning Policy (Affordable Rental Housing). This process can take between 10 to 20 days. There are various considerations but the minimum requirements include having a property size of 450sqm and a maximum floor space of 60sqm for a granny flat.
“Once our customers have their council’s approval, we can construct them a custom made granny flat in 10-12 weeks,” Mr Antoun said. Mr Antoun explained that granny flats typically have an open-plan kitchen and lounge, two bedrooms and one bathroom. “We start at $108,000 and can go up in price depending on our customer’s wants, budget and block.”
Granny Flat Solutions has built over 500 granny flats in three years, and when asked what advice he had for those wanting one of their own, Mr Antoun stressed how important it is to do your research, “get a detailed on-site inspection, make sure the builder is up-front about pricing, ask to see their past projects and speak with past customers to ensure they delivered on what was promised.”
Granny Flat Solutions is equipped with a team of architects, designers, builders and project managers and offer a tailored end-to-end solution. Those interested in attending open-homes of past projects for real customers should contact on (02) 9418 7443 or go to www.grannyflatsolutions.com.au. These open homes run weekly, in locations all across Sydney.
We are the Granny Flat specialists and take care of the whole project for you, from your obligation free onsite evaluation, right through the design, approval and construction of your Granny Flat.