Can granny flats solve our housing crisis?

Property researcher CoreLogic has released a heroic set of numbers that reveal granny flats could solve our residential accommodation problems.

The study claimed to have found 655,000 sites across Australia that could accommodate a granny flat, regardless of whether your grandmother was interested in being an occupier.

More than a third would be within 2km of a train station and 17% would be in the same suburb as a hospital. 

We could build 242,000 flats for granny in Sydney, another 230,000 in Melbourne and 185,000 in Brisbane, according to CoreLogic.

Councils are generally sympathetic to the concept of multigenerational homes, but neighbourhood concerns about building densities tend to dominate the conversation.

Nevertheless, the ability to build a retreat, granny flat or convert a garage into residential accommodation would significantly enhance the attractiveness and value of a property in the right circumstances.

These tips are worth considering if you are thinking of taking on such a project. 

Do this first

Check local regulations and zoning laws to see whether you could build additional residential accommodation on your land. 

Due diligence

You need to find all the required permits and approvals to make your granny flat a reality. These will include plumbing and electrical permits.

Your ROI

Avoid over-capitalising on your block. It could be an expensive mistake if you spend more money on this project than you could ever recoup. It’s worth talking to a trusted real estate agent about the value of a granny flat before finalising your budget.

Clear vision

Even the smallest rooms can be complex to build. So, it’s important to be clear on your budget, the size of the building and whether it requires a living area and/or kitchenette, as well as a bedroom and bathroom.

Money question

Explore various ways to finance the project. These might include delving into the equity in your mortgage, taking out a construction loan or accessing any available government grants.

Special features

Consider installing features such as a ramp, wider doorways and grab bars in the bathroom to provide more accessible housing options.

Privacy

Separate entrances and additional fencing are good approaches if you want to create privacy between the granny flat and the main residence.

Diplomacy

Discuss your plans with your neighbours so they’re fully aware of the reasons behind the project. Handling objections early in the planning can often prove highly advantageous.