In 2025, the long-term professional and emotional development of your family will largely be influenced by the monetary resources you have at your disposal and by your property’s available free space. We all need a room for extra-curricular activities from time to time, and what was once enough for our daily necessities might nowadays be too restricted in order to properly fulfil either our work obligations or pursue our hobbies.

Do you need more square footage? Are you on the lookout for a bigger property, but so far, the Sydney real estate market has let you down? If so, you will need an alternative, and that alternative might come in the form of the services provided by granny flat builders. Investing in a granny flat construction in Sydney is no longer a far-fetched idea, as these types of secondary dwellings have risen rapidly in popularity in recent years.

Cheap, easy to build and often only requiring a CDC, granny flats are, according to many, the future of expandable and affordable Australian dwellings. Therefore, investing in one, while the market is still growing, might represent one of your best ideas. Of course, there are also downsides. Granny flats are still subject to local council rules, they are limited in size and they will require ongoing maintenance. That said, at least in Australia, they represent one of the most financially prudent investments one can make.

When Should You Consider the Projects of Granny Flat Builders?

Let’s start with the basics. Are you worried about the general direction of Sydney’s real estate market? Are you thinking of taking advantage of the growing percentage of potential tenants on the lookout for small, but location-accessible properties? In that case, an ADU, when developed by granny flat builders, could be one of your most inspired decisions. Even in the most pessimistic of scenarios, a granny flat construction should not necessitate an investment above $180,000.

Of course, that’s a lot of money. But, at the same time, a granny flat construction should add at least 20% to the market value of your primary residence. Do you live in a suburb like Penrith, where the median price of listed properties is around $970,000? Well, in that case, your initial $180k investment will translate into $194,000 added to your dwelling’s market value. You will turn a profit, and that’s even before taking into consideration the long-term rental benefits of a standard ADU. In Penrith, for example, the median weekly rent of market-listed properties is around $570 per week.

But let’s assume you want to achieve a 95% occupancy rate, and because of this, you are open to renting your property at well below the market’s average, perhaps for around $450 per week. In such a scenario, before taxes and potential unit maintenance, your total rental income, per year, will be $21,000. You spend 10% of that for property upkeep, and you are taxed 30%? Then you will be left with around $13,000, which means you will recoup your total investment in around 10 years. That’s not too shabby, especially so when taking into consideration the market value increases that a granny flat construction in Sydney will bring to your already-in-use property.

Money Is Not Everything

The professional services of granny flat builders can be utilised for the construction of an ADU that you can rent out for significant monetary gains. But this doesn’t mean that granny flats are only a financial investment, designed with profits in mind. After all, the name granny flats should give us a clue about the first use cases of these constructions. Do you want to keep your elderly relatives close by, or construct a separate dwelling that will give your children the independence required after a certain age? If so, ADUs are ideal buildings, as their construction costs are relatively low and the documentation required for starting the build is relatively straightforward.

Whether you are looking to use the ADU as an external gym, a separate bedroom, or simply as a playing room or library for your children, ADUs typically only require a CDC before starting construction and all in all, the building should be finished in less than six months. Granny flats are multi-purpose constructions that can give you the flexibility required to pursue your passions, directly from the comfort of your own property. From home offices, retirement units, gyms, or gaming rooms, ADUs are versatile, and for this reason, they are one of the main selling points of popular market-listed properties.

What Are the Regulations in Place for NSW Granny Flats?

Per the specifications laid out in the State Environmental Planning Policy of 2021, NSW granny flats can only be constructed on lots with a total size of at least 450 m˛, they need to present a lot frontage of 12m, their floor plan cannot exceed 60 m˛, and their height cannot go over 8.5m. Plus, granny flats can only be constructed next to a primary residence, there is a limit of one ADU per lot, the building must maintain a 3m setback from the rear of the properties’ boundaries, and last but not least, it must be 3m away from any tree that’s more than 6m in height.

Does that sound too complicated? Well, in that case, an excellent idea would be to call on the expert help of granny flat builders. The specialists you contact will handle your CDC application, ensure that your project doesn’t need to go through the time-consuming process of obtaining a DA, will help you select BASIX-compliant materials that will fall in line with your design vision, and, not least, will offer maintenance of the building project for months or even years after the construction is finalised. Do you want to save yourself the hassle of dealing with a project like this all by your own? Then, going for the services of specialists will be more than worthwhile.

Oznake: Granny flat builders