Building Lifestyle Through Investments

Everything You Need to Know About Building a Granny Flat

by Aug 3, 2021

A “granny flat” often used to be a room, at best. Families would provide accommodation for elderly family members. They allocated a room, or two, at the back of the family home. They might have included a kettle for preparing hot drinks.

Those dark days are long gone. A modern granny flat is a quality, luxurious, self-contained dwelling. This article is a discussion on the modern granny flat and why you should consider building one on your property.

Why should you consider building a granny flat?

For many families, the home can become too cramped with a growing family. The children may be young adults, needing their own living area and the first taste of independence. A granny flat is a perfect solution. An affordable way of providing a modern and comfortable additional living space, delighting the children. Mum and Dad have the peace of mind of them living very nearby plus they get to stay in their own beloved family home.

If you are lucky enough to live in a popular holiday or tourism destination, you may find you often get visitors, taking advantage of your great living location. It may be you have a large family who enjoys an occasional get together. A granny flat makes a wonderful guest suite. You will have all the pleasure of entertaining friends or family without feeling overcrowded in your own home. Your visitors will have the luxury of having their own bathroom and kitchen while being a stone’s throw from you and those fabulous get-togethers.

Do you have members of the household working from home some, or all, of the time? Maybe you are working from the spare bedroom or the family dining table has become a desk. You will appreciate the desire for extra office space. A granny flat is a quick and cost-effective solution to your home-working dilemma. You will have plenty of space for storing documents and installing office furniture. You could use a bedroom as office space while reserving the living area for meetings, with built-in catering as a bonus!

If you are planning on renovating the family home or undergoing a major building project you will need to consider temporary accommodation for you and your family. A granny flat will provide a self-contained living space including secure, weather-proof storage space. Plus, you will be on-site to keep an eye on your building contractors.

Increasingly, granny flats are seen as a source of income. They are affordable and relatively quick to build on your own plot of land. The average weekly rent is $350-$450 per week along the NSW Central Coast. If you take out a property loan with interest-only repayments, your additional rental income could be over $1,000 per month.

If you are uncomfortable with the thought of having permanent tenants then using your granny flat for the provision of holiday lets is very popular. The Central Coast is the perfect location for holiday accommodation, with tourists and weekenders flocking to the cool, waterside lifestyle. Using holiday rental specialists or websites such as Air B’n’B or Stayz, you could be getting an income of over $200 each night that your granny flat is occupied. If you live in, or near, a town or city, you may also consider providing accommodation for business travellers. Businessmen and women tend to be very quiet guests, and they are out at work most of the time!

You could choose to have nobody staying at all for a period of time if you want some privacy. You may choose to keep your granny flat vacant when you need some guest quarters for your friends or family when they come to visit your family.

A granny flat on the Central Coast is a smart financial investment. Generally, property values increase over time so you instantly increase the value of your property portfolio by building a granny flat on your block. You have also improved the chances of a quick and profitable sale of your property in the future. By constructing a granny flat you will have increased the total number of bedrooms and bathrooms (plus kitchens and living areas) available when you sell the property. Potential buyers will view your property as a more attractive investment because of the additional space.

 

Why should you consider building a granny flat

Design possibilities

Your imagination is the limit when it comes to designing your granny flat.

Acrow Investments are granny flat experts based on the NSW Central Coast. We take the time to really understand your requirements and have a great reputation. We have more than 15 standard floor plans for you to begin with. All of which can be tailored to create the property of your dreams.

Our range includes properties with 1, 2 or 3 bedrooms with top quality kitchens, open plan living and dining and a luxurious modern bathroom. We can build multi-storey granny flats, giving you more property per square meter, dependent on council approval.

We will design your granny flat as an extension to your home or conversion of part of your home, often the garage. Detached granny flats are very popular, giving you an entirely separate, completely self-contained property on your current block. A detached property will obviously bring benefits in privacy for both dwellings.

Other design considerations cover the outside of your new property. Particularly if you will be living along the Central Coast, you may want a patio to enjoy al-fresco dining and the cool sea breeze in the evening. A garage will provide security and weather-proofing for your car. To fully embrace the waterside Central Coast lifestyle, your design could include a swimming pool to enjoy the luxury of swimming at home.

Design possibilities

Build considerations

As with any construction project the build quality of your granny flat is crucial. Fixtures and fittings that are classy, durable and will keep an as-new appearance are important for the future resale value of your granny flat. If the property is intended for use by your family or visitors you want it to look and feel luxurious and comfortable.

Potential renters will want to live in a particular location. It may be convenient for transport links to work or close to a great school. Some people will rent a property because it is where their friends or family live or because of the local shops and entertainment options. Ultimately though, the property itself must be desirable.

They will make their final decision to rent your property based on the quality of the fittings and flooring. They want modern, stylish living with easy maintenance.

Holiday renters are notoriously fickle and, while courteous and pleasant to you, they can leave savage reviews for the slightest inconvenience or perceived lack of quality. This will have a knock-on impact on your ability to attract more renters.

With effortless style inside and out, Acrow Investments have built granny flats for over two hundred delighted clients along the Central Coast. We are proud of the quality of our appliances and the materials used in our builds. We only use the best suppliers in Australia. Weathertex cladding and Colorbond Steel look great for years. Indoors, our premium, hardwood laminate flooring teamed with Dulux paints and Beaumont Tiles contribute to the stylish opulence that our customers value.

Acrow Investments use Harvey Norman to supply all of the appliances and fittings for our granny flats and we have an impressive range of inclusions. Your bathroom is constructed by our experts. The chrome-plated shower set has a screen and the vanity basin has a full ceramic top with a mirror-faced shaving cabinet above. There is a stainless steel laundry tub and plumbing pre-installed ready for your washing machine. The room has a 3 in 1 light, exhaust fan and heater combo for your convenience and comfort.

The modern kitchen has an oven and hob with a range-hood overhead. the 20mm stone bench-top and tiles to kitchen splashback ensure ease of use and simple cleaning.

Your granny flat has energy-efficient LED down-lights throughout, to create a subtle, warm ambience. The split system air conditioner helps to ensure your comfort throughout the year.

The outside colour scheme will complement your property and the neighbourhood. An Acrow Investments granny flat radiates luxury and comfort. Our superb build quality means that your new property will look great for years to come.

Acrow forecast four to six weeks duration to obtain council approvals for the build. We expect our build duration to take ten weeks, dependent on the weather, of course. You could be stepping into your brand new granny flat in just four months!

 

Build considerations

Local council approvals

The New South Wales Government is keen to encourage the building of certain types of property. The good news for you is that homeowners on the Central Coast don’t need council approval to build a granny flat on their block. However, your property must meet certain requirements.

To be certain you can proceed with the construction of your granny flat you must ensure that your block meets the Minimum Site requirements, Setback requirements and Residential Zoning requirements.

  • Minimum Site requirements specify a minimum size and specific dimensions for your property, plus details of minimum distances from any buildings to the property boundaries and to tall trees.
  • The setback requirements define minimum distances which the granny flat must be set back from a street or road or any other place which is deemed to need protection.
  • To meet the Residential Zoning requirements, your property must be zoned residential in order for you to be allowed to build a granny flat there.

You are permitted one granny flat per block.

If your property does not meet the NSW government requirements to obtain ‘Complying Development Checklist’ (CDC) Approval it may still be possible to obtain Development Assessment (DA) Approval through your local council.

The overview, above, of the process for obtaining approval for building is a summary of the detail provided on Acrow Investments’ website.

Acrow Investments understand these requirements and have been through this process hundreds of times. As experienced local builders, get in touch with us today to arrange a free inspection of your site. Our package includes guidance through the entire approval process to ensure your granny flat experience is stress-free.

 

Local council approvals

Investors – pricing for profit

Smart investors are building granny flats with Acrow Investments. This is an efficient, cost-effective way of using your existing property to gain additional income from rentals. Granny flats can earn hundreds of dollars every week, helping to bring you closer to financial freedom.

Our starting price for a two-bedroom granny flat is $99,000 (ex. GST). Note that this price doesn’t include council fees (for approvals, etc.). Any external work needed for your block, such as demolition costs, driveways, landscaping or fences will be priced separately.

Average weekly rents on the Central Coast are between $350 – $450 per week. Our clients with an interest-only loan for their granny flat are earning $250 – $300 gross profit every week. Most of our granny flats on the Central Coast are receiving rental income above market rate, due to the stylish, high-quality build. The profits can start from the day your first tenant collects the key.

Another benefit of the Acrow build quality is the boost to the value of your property. According to the 2019 CoreLogic/Archistart Granny Flat Report, a granny flat can boost your home value by 30 per cent.

 

Investors - pricing for profit

Which location for a rental property

The central coast in New South Wales has a Waterside community Vibe about it. Popular with weekenders from Sydney and Newcastle and the growing tourist market. This is a perfect spot to build an investment rental property.

Locals are able to commute to work in Sydney or Newcastle and then return to the Central Coast. Imagine the contrast from bustling city crowds to relaxing in the cool evening sea breezes or a waterside stroll.

The Coast is a magnet for water sports enthusiasts with sheltered Lakes and safe, calm swimming areas.

Nestled among National parks for nature lovers. Perfect for walking or cycling or just visiting for a picnic. Those more energetic can cycle or walk along the many footpaths and walking trails alongside the lakes and ocean.

Shoppers will find all the usual supermarkets and chain stores alongside specialist boutique shops and pop-up markets. Locals love the community feel; meeting up with the neighbours and friends at cafes and restaurants in the evenings.

Acrow Investments – the local granny flat experts

Acrow Investments are based on the NSW Central Coast and have over 20 years of building industry experience. We build quality granny flats locally and we have a great reputation with both our suppliers and our clients.

We have a tried and tested end-to-end process, developed over time which guarantees our clients the best, stress-free property experience:

1. Consultation

You are important to us, we aim to deliver your dreams. We will meet to hear your ideas and answer your queries. We will conduct a free, no-obligation inspection of your proposed site before we continue to discuss your unique requirements and plan our joint project. Always transparent and honest, we are proud of the lasting relationships we build with our clients.

2. Approval

At this stage, the team are keen to start work on our project. Acrow will begin the formal approval process. We handle this so you don’t have to. We make sure this is stress-free for you. Acrow investments are locals and understand the various rules, regulations and processes needed to obtain council approval for your build. The approval process takes four to six weeks.

3. Turnkey Construction

When our team receive council approval to begin building your granny flat, we will meet you at our offices so you can choose the colour schemes and inclusions for your property. We’ll initiate the building contract so we can start work.

With our fixed-price contract and experienced team at work, you can look forward to moving into your granny flat in about ten weeks. We are proud of our reputation for completing our granny flats on schedule. We have never missed a project completion deadline.

4. Relationship Management

At Acrow Investments, we want to build a long-lasting partnership with all of our clients. We can put you in contact with our preferred real estate agent, to ensure you get competitive rental management rates. For our loyal, repeat customers, we offer discounts on future building projects and we have special offers and monthly giveaways, such as fencing, landscaping and upgrades.

 

Check out Acrow Investments’ website to view our off-the-page designs and to see examples of some of the beautiful granny flats we’ve constructed. For your reassurance, you can review some of the testimonials we’ve received from delighted clients before you decide to work with us.

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