Whether you are planning to have a house or granny flat built, one of the first things that you really need to determine is whether you can afford it. As such, one of the first questions that prospective property investors ask is the price.
But before delving into the topic of granny flat prices, there are a few things that you should first ascertain. Knowing these well ahead of time will allow you to save time, effort and money, and even protect you from potential heartbreaks. What are these?
One of the key reasons why granny flats have become popular in recent years is because many territories have relaxed their regulations pertaining to these structures. The main driver here is the housing shortage in many parts of Australia. Due to these, some local authorities are encouraging property owners to build granny flats, although that is not necessarily the case in some areas.
The regulations may have been relaxed but it is worthwhile to know that there are other factors to consider. In many territories, you can only build one granny flat on a single residential property and that should be your main residence. The size of the granny flat to be built is relative to the size of the property and should be self-contained units. This means that the flats should contain a bathroom and a kitchen. The property owner should also provide a different entry point to the granny flat while retaining some yard space on the property.
If you are in doubt, do not proceed with the construction of the granny flat. You can end up wasting your hard-earned money instead of earning from your granny flat. Go to your local council and clarify the regulations pertaining to these.
If your local council gives you the go-ahead signal, only then can you proceed to determining what it actually costs to build granny flats.
In terms of prices for granny flats, you will surely get a wide variety of estimates. This will range between $10,000 and as much as $120,000.
At the lower extreme of the price range, you will get a basic granny flat similar to those used in mining sites. These does not include the prices for other things like plumbing and electricity. Furthermore, you may have to spend more money to ensure that the structure complies with prevailing building codes.
At the mid-range price of $70,000, you can opt for granny flat kits which have an average area of 60 square metres. The advantage of these kits is that they comply with local regulations. A few thousand dollars more and you can have a two-bedroom granny flat.
Some property owners save money by using existing structures like a garage or a shed as the base for granny flats, and such an option is well worth considering.