Advantages of Building a Granny Flat
A granny flat has the advantage of leveraging unutilized real estate space so that it not only increases the overall value of your property in the long-term; in the short-term if leased, it could bring in handsome monthly rentals (upwards of $400/week in major cities).
Let’s start at the beginning – What is a ‘Granny Flat’ anyway?
A granny flat is a smaller (no more than 90 square meters) secondary dwelling on the property that already has a home built on it. A granny flat may be attached to the main house or independent of it.
A granny flat could be a complete home on its own – usually meant for senior folks wanting their own independence and yet near to their kids (no marks for guessing why these units were called “granny” flats). Of course, these days instead of seniors, it could be growing kids wanting privacy and independence. A granny flat could be used as an office or hobby storage and work area. However, when it comes to adding value, having a miniature home in the form of a granny flat is better than just four walls meant as hobby storage and work space.
Being small and focused primarily on functionality, these granny flats can be built quite quickly and you could have one ready in as little as 3 months provided of course, your property is in a residential-zone and you fulfil other conditions that might be stipulated by the local council.
Financial advantage to building a Granny Flat canberra
1. For a relatively small sum, you could have a granny flat construction company build you a granny flat. This flat if leased, could help (say) pay the mortgage on the main house thereby easing the financial strangle-hold.
In fact, we know of one old lady who preferred to stay in the granny flat while leasing out the main house. The rent income from the lease of the main home provided her a nice monthly financial income.
2. It adds value to your property because at the time of sale, your property will fetch a much higher price than one without the granny flat.
3. If you run a business, you could use it as an office and in doing so, save yourself a great deal of money on commercial rent.
4. Create a financial life-boat – depending on a single source of income is always risky. Leasing out a granny flat provides an alternate source of income.
5. Avail of applicable tax depreciation.
Excited about the prospects of adding value to your property?
The best place to start is at your local granny flat builder’s office. First off, they could tell you within a few minutes as to the legal feasibility of constructing a granny flat on your property. After inspecting it, and taking your desires into consideration they could also give you a ballpark figure as to the cost of the building the granny flat. If your interest peaks, you could have it formalized and inked out and a few months later, actually benefit from having a Building a Granny Flat on your property.