Granny Flats Adding Value To Your Home
Granny flats have seen a surge in popularity recently. But do they add value? Belle Property Licensed Real Estate Agent Carolyn Wheatley says yes – but only if done correctly.
The demand for granny flats really depends on the location but work really well in our area due to our generally larger land sizes. They tend to be popular with families who can afford to lose a little space to gain either extra elbow room for the growing family; or gain a separate rental income. With property values being high, it can be difficult for buyers to get on the property ladder. A granny flat means you can split the mortgage with family or friends or rent out the additional space to support your existing mortgage. It’s also quite common in more affluent areas for people to use a granny flat as accommodation for a nanny or additional room from extended guest stays.
Things to consider
If possible, designing the area to be totally separate from the main house not only adds the most value, but keeps it lifestyle friendly for everybody. For the more savvy designer, positioning the granny flat in a location which can be easily joined to the main residence for example a breezeway or covered verandah; will cater for a larger range of buyers when the time comes to sell the property.
It’s also important to ensure the granny flat has full council approvals. Approvals must be noted in the contract for sale and not having the right ones can put buyers off. Also, if the structure is not approved, you won’t be able to have it managed as a rental property from a real estate agency under current regulations.
In Carolyn’s experience, granny flats do add value. However, if you’re thinking about building one, there are some suggestions she would make before going ahead.
“If it’s possible to provide a separate entrance then do so, and make sure the area is well lit. Parking is always an attractive feature, as is a separate outdoor area with privacy from the main dwelling. Finally, have the property separately metered. This gives the granny flat added independence from the main house and makes paying the bills transparent.